Sanford C. Bernstein Cuts Zoom Communications (NASDAQ:ZM) Price Target to $88.00

Zoom Communications (NASDAQ:ZM) had its target price cut by Sanford C. Bernstein from $90.00 to $88.00 in a research note published on Thursday morning,Benzinga reports. They currently have a market perform rating on the stock.

Several other equities research analysts have also recently weighed in on ZM. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $100.00 price objective on shares of Zoom Communications in a research report on Tuesday, November 25th. Zacks Research downgraded shares of Zoom Communications from a “strong-buy” rating to a “hold” rating in a research report on Friday, February 13th. BTIG Research reduced their target price on Zoom Communications from $105.00 to $100.00 and set a “buy” rating on the stock in a report on Thursday. JPMorgan Chase & Co. boosted their price target on Zoom Communications from $85.00 to $90.00 and gave the stock a “neutral” rating in a report on Tuesday, November 25th. Finally, Piper Sandler raised their price objective on Zoom Communications from $85.00 to $91.00 and gave the company a “neutral” rating in a research note on Monday, January 5th. Fourteen analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Zoom Communications currently has an average rating of “Hold” and a consensus price target of $95.32.

Zoom Communications Trading Down 2.1%

Shares of ZM opened at $73.94 on Thursday. Zoom Communications has a 12 month low of $64.41 and a 12 month high of $97.58. The firm’s 50 day moving average is $87.63 and its 200-day moving average is $84.49. The stock has a market capitalization of $21.89 billion, a PE ratio of 11.93, a P/E/G ratio of 6.62 and a beta of 0.90.

Zoom Communications (NASDAQ:ZM) last issued its quarterly earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.04). The company had revenue of $1.25 billion for the quarter, compared to analyst estimates of $1.23 billion. Zoom Communications had a return on equity of 12.13% and a net margin of 39.03%.The company’s quarterly revenue was up 5.3% compared to the same quarter last year. During the same period in the prior year, the company earned $1.41 EPS. Zoom Communications has set its FY 2027 guidance at 5.770-5.810 EPS and its Q1 2027 guidance at 1.400-1.420 EPS. Equities research analysts predict that Zoom Communications will post 2.93 earnings per share for the current fiscal year.

Insider Transactions at Zoom Communications

In related news, CEO Eric S. Yuan sold 73,378 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $87.29, for a total value of $6,405,165.62. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Aparna Bawa sold 12,137 shares of Zoom Communications stock in a transaction that occurred on Friday, January 16th. The stock was sold at an average price of $81.37, for a total transaction of $987,587.69. Following the sale, the chief operating officer owned 1,978 shares in the company, valued at approximately $160,949.86. This represents a 85.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 183,089 shares of company stock valued at $15,751,383. 11.51% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Zoom Communications

Several large investors have recently modified their holdings of the business. Kera Capital Partners Inc. lifted its holdings in shares of Zoom Communications by 65.6% during the fourth quarter. Kera Capital Partners Inc. now owns 15,205 shares of the company’s stock worth $1,400,000 after purchasing an additional 6,024 shares during the period. Virtu Financial LLC bought a new position in Zoom Communications during the 4th quarter worth $554,000. Wick Capital Partners LLC acquired a new position in Zoom Communications during the 4th quarter worth about $497,000. T. Rowe Price Investment Management Inc. grew its position in shares of Zoom Communications by 7.9% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 4,637,903 shares of the company’s stock valued at $400,205,000 after buying an additional 341,104 shares during the last quarter. Finally, Compound Planning Inc. increased its stake in shares of Zoom Communications by 10.0% in the fourth quarter. Compound Planning Inc. now owns 7,940 shares of the company’s stock valued at $685,000 after buying an additional 725 shares during the period. Institutional investors own 66.54% of the company’s stock.

Key Zoom Communications News

Here are the key news stories impacting Zoom Communications this week:

• Positive Sentiment: Revenue and enterprise strength — Zoom reported Q4 revenue of ~$1.25B, up ~5% year‑over‑year, with enterprise revenue growing ~7% and more customers contributing >$100k ARR, showing continued strength in higher‑value customers. Zoom Communications Reports Fourth Quarter and Fiscal Year 2026 Financial Results
• Positive Sentiment: Share repurchase completed — Zoom finished a $2.7B buyback program, which supports EPS and signals capital‑allocation confidence. Zoom (ZM) Is Down 6.2% After Strong FY26 Results, New AI Launch And Buyback Completion
• Positive Sentiment: AI product launch — Zoom rolled out Virtual Agent 3.0 and is pushing embedded AI for customer service and collaboration, expanding monetization opportunities. Zoom (ZM) Is Down 6.2% After Strong FY26 Results, New AI Launch And Buyback Completion
• Neutral Sentiment: Revenue beat but slight EPS miss — Q4 non‑GAAP EPS was $1.44, just below consensus (reported misses ranged ~$0.04–$0.05), leaving fundamentals mixed. Zoom Q4 Earnings Miss Estimates, Revenues Increase Y/Y
• Neutral Sentiment: Macroeconomic and market context — softer futures and sector rotation (housing/manufacturing signals) and post‑earnings profit‑taking amplified the move. US Stock Market Today S&P 500 Futures Slip As Housing And Factory Signals Mix
• Neutral Sentiment: Unclear impact from AI-investment narrative — one analyst piece highlights early investments in Anthropic by pandemic‑era winners; relevance to Zoom is uncertain and should be treated cautiously. Want Exposure to Anthropic? Then Buy This AI Software Stock.
• Negative Sentiment: Profit/guidance disappointed some investors — Zoom’s FY‑27 and Q1 EPS guidance was viewed as conservative by some analysts, prompting concerns about near‑term EPS trajectory. Zoom forecasts quarterly profit below estimates amid tough competition
• Negative Sentiment: Analyst reactions and target moves — several firms adjusted targets/ratings (mixed raises and cuts; Sanford Bernstein trimmed its target to $88 with a Market Perform), increasing uncertainty for investors. Analyst coverage/target updates
• Negative Sentiment: Shares fell sharply after hours and into the next session as traders digested the mixed print and guidance, driving a notable pullback from recent gains. Zoom (ZM) Stock Trades Down, Here Is Why

About Zoom Communications

Zoom Video Communications, Inc (commonly referred to as Zoom) is a provider of cloud-based communications and collaboration solutions. The company’s platform supports video conferencing, voice calling, instant messaging, webinars and large-scale virtual events, and meeting room systems, marketed to businesses, educational institutions, government organizations and individual users. Zoom’s product lineup includes Zoom Meetings, Zoom Phone, Zoom Rooms, Zoom Video Webinars and Zoom Chat, and the company offers integrations and extensions through a developer marketplace and third-party apps.

Founded in 2011 by Eric S.