Zoom Communications’ (ZM) “Neutral” Rating Reiterated at Cantor Fitzgerald

Zoom Communications (NASDAQ:ZM)‘s stock had its “neutral” rating reissued by equities researchers at Cantor Fitzgerald in a research note issued on Wednesday, Benzinga reports. They presently have a $104.00 price target on the stock. Cantor Fitzgerald‘s price target would indicate a potential upside of 7.72% from the stock’s current price.

Other research analysts also recently issued research reports about the stock. Jefferies Financial Group dropped their target price on shares of Zoom Communications from $118.00 to $116.00 and set a “buy” rating on the stock in a report on Wednesday, August 26th. Weiss Ratings upgraded shares of Zoom Communications from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, October 8th. UBS Group dropped their target price on shares of Zoom Communications from $115.00 to $112.00 and set a “neutral” rating on the stock in a report on Wednesday. Yorkville Ives began coverage on shares of Zoom Communications in a report on Tuesday, October 6th. They issued an “outperform” rating and a $120.00 target price on the stock. Finally, Sanford C. Bernstein reiterated a “market perform” rating and issued a $108.00 target price on shares of Zoom Communications in a report on Wednesday, August 26th. Sixteen equities research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the company’s stock. According to MarketBeat, Zoom Communications presently has an average rating of “Moderate Buy” and a consensus target price of $114.48.

Zoom Communications Trading Up 0.4%

ZM traded up $0.35 during trading on Wednesday, hitting $96.55. The stock had a trading volume of 302,028 shares, compared to its average volume of 3,888,920. The firm has a market cap of $28.17 billion, a PE ratio of 8.90, a P/E/G ratio of 4.59 and a beta of 1.03. Zoom Communications has a 12 month low of $70.70 and a 12 month high of $114.74. The company has a 50 day simple moving average of $96.50 and a 200-day simple moving average of $95.10.

Zoom Communications (NASDAQ:ZM) last announced its earnings results on Tuesday, August 25th. The company reported $1.55 EPS for the quarter, topping the consensus estimate of $1.48 by $0.07. The firm had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.27 billion. Zoom Communications had a net margin of 65.19% and a return on equity of 10.86%. The business’s quarterly revenue was up 4.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.53 EPS. 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. As a group, sell-side analysts anticipate that Zoom Communications will post 4.27 earnings per share for the current fiscal year.

Insider Activity at Zoom Communications

In other news, insider Velchamy Sankarlingam sold 7,645 shares of the business’s stock in a transaction dated Monday, October 12th. The shares were sold at an average price of $99.26, for a total transaction of $758,842.70. Following the transaction, the insider owned 151,813 shares in the company, valued at approximately $15,068,958.38. The trade was a 4.79% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 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. Also, Director Santiago Subotovsky sold 7,911 shares of the business’s stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $101.33, for a total transaction of $801,621.63. Following the transaction, the director owned 127,060 shares in the company, valued at approximately $12,874,989.80. The trade was a 5.86% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 71,209 shares of company stock worth $6,938,989. Insiders own 8.83% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Pacer Advisors Inc. increased its holdings in shares of Zoom Communications by 10.8% during the 1st quarter. Pacer Advisors Inc. now owns 2,595,840 shares of the company’s stock worth $208,680,000 after purchasing an additional 253,181 shares during the period. Dimensional Fund Advisors LP increased its holdings in shares of Zoom Communications by 4.2% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,352,126 shares of the company’s stock worth $189,051,000 after purchasing an additional 94,043 shares during the period. Bank of America Corp DE increased its holdings in shares of Zoom Communications by 50.5% during the 1st quarter. Bank of America Corp DE now owns 1,767,728 shares of the company’s stock worth $142,108,000 after purchasing an additional 592,899 shares during the period. Bank of New York Mellon Corp increased its holdings in shares of Zoom Communications by 44.5% during the 1st quarter. Bank of New York Mellon Corp now owns 1,411,745 shares of the company’s stock worth $113,490,000 after purchasing an additional 434,981 shares during the period. Finally, First Trust Advisors LP increased its holdings in shares of Zoom Communications by 2.8% during the 1st quarter. First Trust Advisors LP now owns 1,362,501 shares of the company’s stock worth $109,531,000 after purchasing an additional 36,657 shares during the period. Institutional investors own 66.54% of the company’s stock.

Zoom Communications News Roundup

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

• Positive Sentiment: Analyst sentiment improved: Oppenheimer upgraded Zoom to Outperform with a $130 price target, citing the potential of its newer AI services. BTIG initiated a Buy rating, while RBC maintained an Outperform rating and Rosenblatt reaffirmed its Buy rating. Needham also reiterated Buy with a $130 target, implying substantial upside from recent levels. Oppenheimer upgrade article
• Positive Sentiment: AI expansion is the main growth catalyst: At Zoomtopia, the company introduced a Unified Context Layer and additional AI tools designed to convert meeting discussions into completed work across Zoom Workplace, customer experience, developer tools, and events. Management also presented long-term financial targets, strengthening the case for revenue reacceleration through enterprise adoption. Zoom AI strategy announcement
• Positive Sentiment: RBC analysts said enterprise growth is supporting Zoom’s revenue reacceleration, while recent coverage described the company’s AI services as impressive. These developments may help Zoom diversify beyond its traditional video-conferencing business. RBC revenue reacceleration article

Zoom Communications Company Profile

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.