Citizens Jmp Reiterates Market Perform Rating for Zoom Communications (NASDAQ:ZM)

Zoom Communications (NASDAQ:ZM)‘s stock had its “market perform” rating reaffirmed by stock analysts at Citizens Jmp in a research note issued to investors on Wednesday,Benzinga reports.

A number of other equities research analysts have also recently weighed in on ZM. HSBC lifted their price objective on Zoom Communications from $107.00 to $133.00 and gave the company a “buy” rating in a research note on Tuesday, June 2nd. Robert W. Baird lifted their target price on Zoom Communications from $95.00 to $105.00 and gave the company an “outperform” rating in a research report on Tuesday, May 19th. UBS Group raised their price objective on shares of Zoom Communications from $105.00 to $115.00 and gave the company a “neutral” rating in a research note on Thursday, August 20th. Cantor Fitzgerald restated a “neutral” rating and issued a $104.00 price objective on shares of Zoom Communications in a report on Monday. Finally, Weiss Ratings downgraded shares of Zoom Communications from a “buy (b)” rating to a “buy (b-)” rating in a research note on Friday, August 14th. Sixteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $111.64.

Zoom Communications Stock Performance

NASDAQ:ZM opened at $100.92 on Wednesday. Zoom Communications has a fifty-two week low of $70.70 and a fifty-two week high of $114.74. The company has a 50 day moving average price of $94.00 and a 200 day moving average price of $91.30. The stock has a market capitalization of $29.59 billion, a P/E ratio of 14.82, a PEG ratio of 5.53 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM) last announced its earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.48 by $0.07. The company had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.27 billion. Zoom Communications had a return on equity of 11.87% and a net margin of 41.99%.During the same quarter in the previous year, the company earned $1.53 earnings per share. The firm’s quarterly revenue was up 4.9% compared to the same quarter last year. 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. Research analysts forecast that Zoom Communications will post 4.21 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Santiago Subotovsky sold 7,911 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $101.33, for a total transaction of $801,621.63. Following the sale, the director directly owned 127,060 shares in the company, valued at approximately $12,874,989.80. This represents a 5.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Velchamy Sankarlingam sold 7,644 shares of the firm’s stock in a transaction that occurred on Wednesday, July 15th. The shares were sold at an average price of $91.98, for a total transaction of $703,095.12. Following the completion of the sale, the insider directly owned 148,403 shares in the company, valued at approximately $13,650,107.94. This trade represents a 4.90% 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. Over the last quarter, insiders have sold 56,155 shares of company stock worth $5,654,761. 8.83% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Zoom Communications

Large investors have recently modified their holdings of the company. California State Teachers Retirement System grew its stake in shares of Zoom Communications by 8,620.6% during the second quarter. California State Teachers Retirement System now owns 31,999,864 shares of the company’s stock worth $2,761,908,000 after purchasing an additional 31,632,917 shares in the last quarter. Norges Bank purchased a new stake in Zoom Communications during the 4th quarter worth about $509,788,000. AQR Capital Management LLC lifted its holdings in Zoom Communications by 43.9% during the 4th quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company’s stock worth $1,052,328,000 after buying an additional 3,718,186 shares during the last quarter. Atreides Management LP purchased a new stake in Zoom Communications during the 1st quarter worth about $105,761,000. Finally, Two Sigma Investments LP acquired a new position in shares of Zoom Communications during the 3rd quarter worth about $86,709,000. 66.54% of the stock is owned by hedge funds and other institutional investors.

More Zoom Communications News

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

• Positive Sentiment: Zoom reported adjusted earnings of $1.55 per share and revenue of $1.28 billion, exceeding analyst estimates of $1.48 and $1.27 billion, respectively. Revenue increased 4.9% year over year, while enterprise revenue rose 7.8% to $787.5 million. Zoom Communications Reports Financial Results
• Positive Sentiment: Management raised fiscal 2027 adjusted EPS guidance to $6.08-$6.12, above the roughly $5.71 consensus cited in company updates. AI-powered deals, record contact-center bookings and larger enterprise wins were highlighted as drivers of future growth. Zoom Q2 2027 Earnings Call Highlights
• Neutral Sentiment: Analyst opinion remains divided. BTIG reaffirmed a Buy rating with a $125 price target, while Cantor Fitzgerald maintained a Neutral rating with a $104 target, reflecting uncertainty over the pace of Zoom’s growth and AI monetization. BTIG Buy Rating
• Negative Sentiment: Zoom’s third-quarter profit outlook came in below Wall Street expectations, despite revenue guidance near consensus. The forecast suggests that competition is pressuring margins and that AI investments have not yet produced enough incremental growth to satisfy investors. Zoom Forecasts Quarterly Profit Below Estimates
• Negative Sentiment: The earnings beat was relatively modest, with revenue growth remaining in the mid-single digits and online growth described as tempered. Reports characterized the outlook as flat or soft, causing the near-term guidance to overshadow the quarter’s better-than-expected results. Zoom’s Soft Q3 Guidance Overshadows Q2 Double Beat

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.