Zoom Communications (NASDAQ:ZM) Coverage Initiated by Analysts at Bank of America

Research analysts at Bank of America initiated coverage on shares of Zoom Communications (NASDAQ:ZM) in a research report issued to clients and investors on Wednesday. The firm set a “buy” rating and a $130.00 price target on the stock. Bank of America‘s price objective indicates a potential upside of 21.61% from the stock’s previous close.

Several other brokerages have also recently weighed in on ZM. Weiss Ratings cut Zoom Communications from a “buy (b)” rating to a “buy (b-)” rating in a research note on Friday. Wells Fargo & Company boosted their price target on Zoom Communications from $90.00 to $105.00 and gave the stock an “equal weight” rating in a research report on Friday, May 22nd. Needham & Company LLC reaffirmed a “buy” rating and set a $130.00 price objective on shares of Zoom Communications in a research report on Thursday, July 2nd. Robert W. Baird boosted their target price on Zoom Communications from $95.00 to $105.00 and gave the stock an “outperform” rating in a research report on Tuesday, May 19th. Finally, Rosenblatt Securities restated a “buy” rating and set a $130.00 target price on shares of Zoom Communications in a research report on Thursday, July 23rd. Sixteen investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $110.27.

Zoom Communications Trading Up 2.1%

Shares of Zoom Communications stock traded up $2.19 during trading on Wednesday, hitting $106.89. The stock had a trading volume of 162,067 shares, compared to its average volume of 4,118,477. The business’s 50-day moving average is $92.79 and its 200 day moving average is $90.81. Zoom Communications has a 12 month low of $70.70 and a 12 month high of $114.74. The firm has a market cap of $31.34 billion, a price-to-earnings ratio of 15.71, a P/E/G ratio of 5.68 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM) last announced its quarterly earnings data on Thursday, May 21st. The company reported $1.55 EPS for the quarter, beating the consensus estimate of $1.42 by $0.13. The firm had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.22 billion. Zoom Communications had a return on equity of 11.87% and a net margin of 41.99%.The company’s revenue was up 5.5% on a year-over-year basis. During the same period in the prior year, the company earned $1.43 EPS. Zoom Communications has set its FY 2027 guidance at 5.960-6.000 EPS and its Q2 2027 guidance at 1.450-1.470 EPS. As a group, equities analysts expect that Zoom Communications will post 4.21 EPS for the current year.

Insider Buying and Selling

In other news, CEO Eric S. Yuan sold 12,100 shares of Zoom Communications stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $100.17, for a total value of $1,212,057.00. Following the transaction, the chief executive officer directly owned 22,998 shares in the company, valued at approximately $2,303,709.66. This trade represents a 34.47% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Velchamy Sankarlingam sold 7,644 shares of the company’s stock in a transaction on Wednesday, July 15th. The stock was sold at an average price of $91.98, for a total value of $703,095.12. Following the transaction, the insider directly owned 148,403 shares in the company, valued at approximately $13,650,107.94. The trade was a 4.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 56,155 shares of company stock valued at $5,654,761. 8.83% of the stock is owned by insiders.

Institutional Trading of Zoom Communications

Large investors have recently bought and sold shares of the business. Allianz Asset Management GmbH raised its holdings in shares of Zoom Communications by 15.6% in the fourth quarter. Allianz Asset Management GmbH now owns 2,112,815 shares of the company’s stock valued at $182,315,000 after purchasing an additional 285,626 shares during the last quarter. Hsbc Holdings PLC grew its holdings in shares of Zoom Communications by 43.6% in the 4th quarter. Hsbc Holdings PLC now owns 422,470 shares of the company’s stock valued at $36,460,000 after acquiring an additional 128,174 shares in the last quarter. Sherry Group Inc. bought a new position in shares of Zoom Communications in the 4th quarter valued at about $894,000. United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund acquired a new stake in shares of Zoom Communications in the fourth quarter valued at about $13,312,000. Finally, Geode Capital Management LLC raised its holdings in Zoom Communications by 3.1% during the fourth quarter. Geode Capital Management LLC now owns 5,139,583 shares of the company’s stock worth $445,254,000 after acquiring an additional 152,862 shares in the last quarter. Institutional investors and hedge funds own 66.54% of the company’s stock.

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.