Zoom Communications (ZM) Stock Price, News & Analysis

Company Overview

Zoom Video Communications, Inc. (NASDAQ: ZM) is a leading provider of enterprise video communications and collaboration solutions. Founded in April 2011 by Eric S. Yuan, the company is headquartered in San Jose, California. Since its inception, Zoom has focused on delivering easy-to-use, reliable video conferencing software that supports high-quality audio, video and content sharing across desktop, mobile and browser platforms.

The company’s core offerings include Zoom Meetings, Zoom Phone, Zoom Rooms and Zoom Webinars. Zoom Meetings provides real-time video and audio conferencing, chat and screen sharing for individuals and teams. Zoom Phone is a cloud-based telephony solution that integrates with the company’s video platform, while Zoom Rooms delivers purpose-built hardware and software for conference spaces. Zoom Webinars and Zoom Events extend the platform to large-scale, interactive virtual gatherings and marketing events.

Zoom serves a diverse customer base spanning education, healthcare, finance, government and enterprise customers of all sizes. Its platform is available in more than 100 countries and supports multiple languages and compliance certifications to meet regional privacy and security requirements. By leveraging a global network of data centers, Zoom optimizes call quality and reliability for attendees regardless of geographic location.

Under the leadership of Founder and Chief Executive Officer Eric S. Yuan, Zoom has expanded its product portfolio with features such as Zoom Chat for persistent messaging and Zoom Whiteboard for collaborative brainstorming. The executive team also includes Chief Financial Officer Kelly Steckelberg, who joined the company in 2017. With a focus on innovation and user experience, Zoom continues to enhance its unified communications platform to address the evolving needs of hybrid work and digital engagement.

Key Stats

• Today's Range: $81.05 to $82.65
• 50-Day Range: $69.77 to $86.83
• 52-Week Range: $64.41 to $92.80
• Volume: 2.15 million shs
• Average Volume: 2.83 million shs
• Market Capitalization: $24.88 billion
• P/E Ratio: 21.70
• Dividend Yield: N/A
• Price Target: $91.74
• Consensus Rating: Moderate Buy

Zoom Communications Stock Analysis - MarketRank™

Zoom Communications scored higher than 90% of companies evaluated by MarketBeat, and ranked 99th out of 671 stocks in the computer and technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.2 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

Zoom Communications has received a consensus rating of Moderate Buy. The company's average rating score is 2.50, and is based on 11 buy ratings, 14 hold ratings, and 1 sell rating.

Upside Potential

Zoom Communications has a consensus price target of $91.74, representing about 12.5% upside from its current price of $81.57.

Amount of Analyst Coverage

Zoom Communications has been the subject of 17 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.3 / 5
• Proj. Earnings Growth: -4.10%

Earnings Growth

Earnings for Zoom Communications are expected to decrease by -4.10% in the coming year, from $2.93 to $2.81 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Zoom Communications is 21.51, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 282.99.

Price to Earnings Ratio vs. Sector

The P/E ratio of Zoom Communications is 21.51, which means that it is trading at a less expensive P/E ratio than the Computer and Technology sector average P/E ratio of about 454.60.

Price to Earnings Growth Ratio

Zoom Communications has a PEG Ratio of 11.39. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Zoom Communications has a P/B Ratio of 2.76. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.72% of the outstanding shares of Zoom Communications have been sold short.

Short Interest Ratio / Days to Cover

Zoom Communications has a short interest ratio ("days to cover") of 1.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Zoom Communications has recently decreased by 8.11%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 0.0 / 5
• Dividend Strength: N/A

Dividend Yield

Zoom Communications does not currently pay a dividend.

Dividend Growth

Zoom Communications does not have a long track record of dividend growth.

Sustainability and ESG

• Score: 3.8 / 5
• Environmental Score: -0.34

Percentage of Shares Shorted

1.72% of the outstanding shares of Zoom Communications have been sold short.

Short Interest Ratio / Days to Cover

Zoom Communications has a short interest ratio ("days to cover") of 1.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Zoom Communications has recently decreased by 8.11%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 2.1 / 5
• News Sentiment: 0.73

News Sentiment

Zoom Communications has a news sentiment score of 0.73. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This news sentiment score is similar to the average news sentiment of Computer and Technology companies.

News Coverage This Week

MarketBeat has tracked 17 news articles for Zoom Communications this week, compared to 21 articles on an average week.

Search Interest

42 people have searched for ZM on MarketBeat in the last 30 days. This is an increase of 27% compared to the previous 30 days.

MarketBeat Follows

Only 7 people have added Zoom Communications to their MarketBeat watchlist in the last 30 days. This is a decrease of -22% compared to the previous 30 days.

Company Ownership

• Score: 3.3 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Zoom Communications insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $6,871,114.00 in company stock.

Percentage Held by Insiders

11.51% of the stock of Zoom Communications is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

66.54% of the stock of Zoom Communications is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

ZM Stock Analysis - Frequently Asked Questions

How have ZM shares performed this year?

Zoom Communications' stock was trading at $81.61 at the beginning of 2025. Since then, ZM shares have decreased by 0.0% and is now trading at $81.57.

How were Zoom Communications' earnings last quarter?

Zoom Communications, Inc. (NASDAQ:ZM) announced its earnings results on Wednesday, May, 21st. The company reported $1.43 EPS for the quarter, beating analysts' consensus estimates of $1.30 by $0.13. The firm's revenue for the quarter was up 2.9% on a year-over-year basis.
Read the conference call transcript.

When did Zoom Communications IPO?

Zoom Communications (ZM) raised $627 million in an initial public offering (IPO) on Thursday, April 18th 2019. The company issued 20,900,000 shares at a price of $28.00-$32.00 per share. Morgan Stanley, J. P. Morgan, Goldman Sachs and Credit Suisse acted as the underwriters for the IPO and BofA Merriil Lynch, RBC Capital Markets, Wells Fargo Securities, JMP Securities, KeyBanc Capital Markets, Piper Jaffray, Stifel and William Blair were co-managers.

Who are Zoom Communications' major shareholders?

Top institutional investors of Zoom Communications include Praxis Investment Management Inc.. Insiders that own company stock include Santiago Subotovsky, Kelly Steckelberg, Velchamy Sankarlingam, Herbert Raymond Mcmaster, Jonathan Chadwick, Shane Crehan, Janet Napolitano, Aparna Bawa and Eric S Yuan.
View institutional ownership trends.

How do I buy shares of Zoom Communications?

Shares of ZM stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Zoom Communications own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Zoom Communications investors own include NVIDIA (NVDA), Tesla (TSLA), Meta Platforms (META), Advanced Micro Devices (AMD), Netflix (NFLX), PayPal (PYPL) and Visa (V).

Company Calendar

• Last Earnings: 5/21/2025
• Today: 10/02/2025
• Next Earnings (Estimated): 11/24/2025
• Fiscal Year End: 1/31/2026

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Computer and Technology
• Industry: INTERNET SOFTWARE
• Sub-Industry: Computer Software
• Current Symbol: NASDAQ:ZM
• CIK: 1585521
• Web: www.zoom.us
• Phone: (888) 799-9666
• Fax: N/A
• Employees: 7,412
• Year Founded: 2011

Price Target and Rating

• Average Price Target for Zoom Communications: $91.74
• High Price Target: $115.00
• Low Price Target: $69.00
• Potential Upside/Downside: +12.9%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.50
• Research Coverage: 28 Analysts

Profitability

• EPS (Trailing Twelve Months): $3.79
• Trailing P/E Ratio: 21.45
• Forward P/E Ratio: 27.74
• P/E Growth: 11.39
• Net Income: $1.01 billion
• Net Margins: 24.99%
• Pretax Margin: 31.44%
• Return on Equity: 11.91%
• Return on Assets: 9.67%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 4.45
• Quick Ratio: 4.45

Sales & Book Value

• Annual Sales: $4.67 billion
• Price / Sales: 5.27
• Cash Flow: $4.23 per share
• Price / Cash Flow: 19.20
• Book Value: $29.58 per share
• Price / Book: 2.75

Miscellaneous

• Outstanding Shares: 302,550,000
• Free Float: 267,725,000
• Market Cap: $24.59 billion
• Optionable: Optionable
• Beta: 0.78