Zoom Communications (NASDAQ:ZM) Raised to “Hold” at Argus

Zoom Communications (NASDAQ:ZM) was upgraded by equities researchers at Argus to a “hold” rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Several other equities analysts have also recently commented on the company. Sanford C. Bernstein reduced their target price on Zoom Communications from $90.00 to $88.00 and set a “market perform” rating for the company in a research note on Thursday, February 26th. Zacks Research cut shares of Zoom Communications from a “strong-buy” rating to a “hold” rating in a report on Friday, February 13th. Piper Sandler raised their price objective on shares of Zoom Communications from $85.00 to $91.00 and gave the stock a “neutral” rating in a report on Monday, January 5th. Benchmark cut their target price on shares of Zoom Communications from $115.00 to $110.00 and set a “buy” rating on the stock in a research note on Tuesday, February 24th. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Zoom Communications in a research report on Monday, December 29th. Fourteen equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $95.32.

Zoom Communications Stock Performance

Shares of NASDAQ ZM opened at $76.38 on Monday. Zoom Communications has a 1 year low of $64.41 and a 1 year high of $97.58. The stock’s 50-day simple moving average is $86.02 and its 200-day simple moving average is $84.68. The firm has a market cap of $22.62 billion, a price-to-earnings ratio of 12.32, a PEG ratio of 4.40 and a beta of 0.93.

Zoom Communications (NASDAQ:ZM) last issued its quarterly earnings results on Wednesday, February 25th. The company reported $1.44 EPS for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.04). Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The business had revenue of $1.25 billion during the quarter, compared to analysts’ expectations of $1.23 billion. During the same period in the prior year, the company posted $1.41 EPS. The company’s revenue for the quarter was up 5.3% on a year-over-year basis. 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. As a group, research analysts predict that Zoom Communications will post 2.93 EPS for the current year.

Insiders Place Their Bets

In other Zoom Communications news, CFO Michelle Chang sold 8,417 shares of the firm’s stock in a transaction on Monday, January 12th. The stock was sold at an average price of $86.54, for a total value of $728,407.18. Following the sale, the chief financial officer directly owned 25,482 shares in the company, valued at approximately $2,205,212.28. This trade represents a 24.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Eric S. Yuan sold 73,378 shares of the business’s stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $87.29, for a total transaction of $6,405,165.62. The SEC filing for this sale provides additional information. In the last three months, insiders sold 180,494 shares of company stock worth $15,502,079. Corporate insiders own 10.78% of the company’s stock.

Institutional Trading of Zoom Communications

Several hedge funds have recently bought and sold shares of the company. NewEdge Advisors LLC boosted its stake in Zoom Communications by 16.8% during the 1st quarter. NewEdge Advisors LLC now owns 8,009 shares of the company’s stock valued at $591,000 after purchasing an additional 1,153 shares during the period. Intech Investment Management LLC grew its position in Zoom Communications by 59.1% in the 1st quarter. Intech Investment Management LLC now owns 16,785 shares of the company’s stock worth $1,238,000 after purchasing an additional 6,235 shares during the last quarter. Geneos Wealth Management Inc. increased its stake in shares of Zoom Communications by 82.0% in the first quarter. Geneos Wealth Management Inc. now owns 881 shares of the company’s stock valued at $65,000 after purchasing an additional 397 shares during the period. Sivia Capital Partners LLC acquired a new stake in shares of Zoom Communications in the second quarter valued at approximately $217,000. Finally, Envestnet Asset Management Inc. raised its holdings in shares of Zoom Communications by 68.2% during the second quarter. Envestnet Asset Management Inc. now owns 49,370 shares of the company’s stock valued at $3,850,000 after buying an additional 20,017 shares during the last quarter. 66.54% of the stock is currently owned by institutional investors.

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.