Zoom Communications (NASDAQ:ZM) Given “Neutral” Rating at Cantor Fitzgerald

Zoom Communications (NASDAQ:ZM)‘s stock had its “neutral” rating restated by stock analysts at Cantor Fitzgerald in a research report issued to clients and investors on Wednesday, Benzinga reports. They presently have a $104.00 price target on the stock. Cantor Fitzgerald‘s price target indicates a potential upside of 6.71% from the stock’s current price.

A number of other equities analysts also recently weighed in on the company. Morgan Stanley boosted their target price on Zoom Communications from $105.00 to $107.00 and gave the stock an “equal weight” rating in a research note on Wednesday, August 26th. Rosenblatt Securities reiterated a “buy” rating and issued a $130.00 price objective on shares of Zoom Communications in a research note on Wednesday. KeyCorp reiterated a “sector weight” rating on shares of Zoom Communications in a research note on Wednesday, August 26th. Sanford C. Bernstein reiterated a “market perform” rating and issued a $108.00 price objective on shares of Zoom Communications in a research note on Wednesday, August 26th. Finally, Oppenheimer upgraded Zoom Communications from a “market perform” rating to an “outperform” rating and set a $130.00 price objective on the stock in a research note on Wednesday. Sixteen equities research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $114.61.

Zoom Communications Stock Performance

Shares of ZM opened at $97.46 on Wednesday. The stock has a 50 day moving average price of $96.88 and a two-hundred day moving average price of $94.88. The firm has a market capitalization of $28.44 billion, a P/E ratio of 9.02, a P/E/G ratio of 4.51 and a beta of 1.03. Zoom Communications has a 52 week low of $70.70 and a 52 week high of $114.74.

Zoom Communications (NASDAQ:ZM) last issued its quarterly earnings data on Tuesday, August 25th. The company reported $1.55 EPS for the quarter, topping analysts’ consensus estimates of $1.48 by $0.07. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%. The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.27 billion. During the same period in the previous year, the company posted $1.53 EPS. The company’s revenue for the quarter was up 4.9% on a year-over-year basis. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. On average, equities analysts forecast that Zoom Communications will post 4.27 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Santiago Subotovsky sold 2,637 shares of the stock in a transaction on Monday, October 5th. The stock was sold at an average price of $93.74, for a total value of $247,192.38. Following the sale, the director owned 121,786 shares in the company, valued at approximately $11,416,219.64. This trade represents a 2.12% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michelle Chang sold 8,489 shares of the stock in a transaction on Monday, October 12th. The stock was sold at an average price of $99.46, for a total value of $844,315.94. Following the completion of the sale, the chief financial officer owned 40,438 shares in the company, valued at $4,021,963.48. This trade represents a 17.35% decrease in their position. 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 71,209 shares of company stock valued at $6,938,989 in the last ninety days. 8.83% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Quadrant Capital Group LLC increased its stake in Zoom Communications by 2,161.0% in the 3rd quarter. Quadrant Capital Group LLC now owns 4,522 shares of the company’s stock worth $444,000 after purchasing an additional 4,322 shares during the period. Nisa Investment Advisors LLC lifted its position in Zoom Communications by 29.1% in the third quarter. Nisa Investment Advisors LLC now owns 10,484 shares of the company’s stock valued at $952,000 after purchasing an additional 2,364 shares during the last quarter. Bank Pictet & Cie Europe AG lifted its position in Zoom Communications by 5.9% in the third quarter. Bank Pictet & Cie Europe AG now owns 7,177 shares of the company’s stock valued at $651,000 after purchasing an additional 403 shares during the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd boosted its stake in shares of Zoom Communications by 0.4% during the third quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 26,215 shares of the company’s stock valued at $2,380,000 after purchasing an additional 107 shares during the period. Finally, CWA Asset Management Group LLC boosted its stake in shares of Zoom Communications by 10.0% during the third quarter. CWA Asset Management Group LLC now owns 106,383 shares of the company’s stock valued at $9,656,000 after purchasing an additional 9,698 shares during the period. 66.54% of the stock is owned by institutional investors.

Key Stories Impacting Zoom Communications

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

• Positive Sentiment: Oppenheimer upgraded Zoom Communications (ZM) from “market perform” to “outperform” and set a $130 price target, citing a more constructive outlook for the stock.
• Positive Sentiment: Rosenblatt Securities reaffirmed its “buy” rating with a $130 target, while BTIG Research maintained its “buy” rating and $125 target. The targets point to substantial potential appreciation from current levels.
• Positive Sentiment: At Zoomtopia, the company introduced a Unified Context Layer and additional AI-powered products intended to convert meeting conversations into completed work across Zoom Workplace, customer experience, developer tools, and events. The initiatives support management’s effort to expand Zoom beyond video conferencing and create new revenue opportunities. Zoom AI strategy announcement
• Positive Sentiment: Tools for Humanity joined Zoom’s ISV Exchange Program, adding capabilities related to proof of human access for business customers. The partnership could strengthen Zoom’s ecosystem and address authentication needs as AI-generated content becomes more prevalent. Tools for Humanity partnership
• Neutral Sentiment: Cantor Fitzgerald reaffirmed its “neutral” rating but increased or maintained its target at $104, suggesting limited upside relative to the more bullish analyst forecasts.
• Neutral Sentiment: Investor commentary is focusing on Zoom’s AI-first repositioning, cash-rich balance sheet, and potential to become a broader workplace platform. These arguments may support valuation, but execution and the company’s relatively modest growth remain important risks. Zoom investor session transcript

About Zoom Communications

Zoom Communications, Inc (NASDAQ: ZM) is a communications technology company that provides cloud-based collaboration and customer engagement solutions. Founded in 2011 and headquartered in San Jose, California, the company is best known for Zoom Meetings, its videoconferencing platform for online meetings, webinars and virtual events.

The company’s product portfolio also includes Zoom Phone, a cloud-based business phone service; Zoom Team Chat; Zoom Rooms for hybrid meeting spaces; Zoom Whiteboard; and Zoom Contact Center.