Pinnacle Associates Ltd. Invests $571,000 in Zoom Communications, Inc. $ZM

Pinnacle Associates Ltd. acquired a new position in Zoom Communications, Inc. (NASDAQ:ZM) in the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor acquired 6,620 shares of the company’s stock, valued at approximately $571,000.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the company. Toth Financial Advisory Corp purchased a new position in shares of Zoom Communications in the fourth quarter valued at about $28,000. Root Financial Partners LLC purchased a new position in shares of Zoom Communications in the third quarter valued at about $33,000. Sound Income Strategies LLC lifted its position in shares of Zoom Communications by 94.8% in the fourth quarter. Sound Income Strategies LLC now owns 411 shares of the company’s stock valued at $33,000 after acquiring an additional 200 shares in the last quarter. Cloud Capital Management LLC purchased a new position in shares of Zoom Communications in the third quarter valued at about $42,000. Finally, Activest Wealth Management lifted its position in shares of Zoom Communications by 4,318.2% in the fourth quarter. Activest Wealth Management now owns 486 shares of the company’s stock valued at $42,000 after acquiring an additional 475 shares in the last quarter. 66.54% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several brokerages have recently commented on ZM. Argus upgraded Zoom Communications to a “hold” rating in a research report on Monday, March 9th. Citizens Jmp reaffirmed a “market perform” rating on shares of Zoom Communications in a report on Tuesday, February 24th. Wolfe Research raised shares of Zoom Communications from a “peer perform” rating to an “outperform” rating and set a $115.00 price objective for the company in a report on Thursday, February 5th. Weiss Ratings raised shares of Zoom Communications from a “buy (b-)” rating to a “buy (b)” rating in a report on Friday, May 1st. Finally, Wall Street Zen lowered shares of Zoom Communications from a “buy” rating to a “hold” rating in a report on Saturday, March 7th. Fourteen equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $96.57.

Insider Activity at Zoom Communications

In related news, COO Aparna Bawa sold 12,886 shares of the company’s stock in a transaction on Friday, April 17th. The shares were sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the sale, the chief operating officer owned 1,978 shares of the company’s stock, valued at $173,312.36. This represents a 86.69% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Eric S. Yuan sold 12,100 shares of the company’s stock in a transaction on Monday, May 4th. The shares were sold at an average price of $106.60, for a total transaction of $1,289,860.00. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 144,329 shares of company stock valued at $12,364,989 over the last quarter. 10.78% of the stock is currently owned by insiders.

Zoom Communications Price Performance

NASDAQ ZM opened at $98.87 on Tuesday. The stock has a market capitalization of $29.13 billion, a PE ratio of 15.95, a P/E/G ratio of 5.73 and a beta of 1.00. The business has a 50 day simple moving average of $86.89 and a two-hundred day simple moving average of $86.31. Zoom Communications, Inc. has a 1-year low of $69.15 and a 1-year high of $111.56.

Zoom Communications (NASDAQ:ZM) last released its quarterly earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share for the quarter, missing the consensus estimate of $1.48 by ($0.04). The firm had revenue of $1.25 billion for the quarter, compared to analysts’ expectations of $1.23 billion. Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The business’s quarterly revenue was up 5.3% compared to the same quarter last year. During the same quarter in the prior year, the business 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. On average, analysts anticipate that Zoom Communications, Inc. will post 3.94 EPS for the current fiscal year.

Zoom Communications Company Profile

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.