Zoom Communications (NASDAQ:ZM) Issues FY 2026 Earnings Guidance

Zoom Communications (NASDAQ:ZM) updated its FY 2026 earnings guidance on Thursday. The company provided EPS guidance of 5.810-5.840 for the period, compared to the consensus EPS estimate of 5.585. The company issued revenue guidance of $4.8 billion-$4.8 billion, compared to the consensus revenue estimate of $4.8 billion. Zoom Communications also updated its Q3 2026 guidance to 1.420-1.44 EPS.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Robert W. Baird cut their price objective on Zoom Communications from $100.00 to $95.00 and set an “outperform” rating on the stock in a research report on Friday. William Blair reaffirmed an “outperform” rating on shares of Zoom Communications in a research report on Thursday, May 22nd. JPMorgan Chase & Co. lifted their price objective on Zoom Communications from $80.00 to $85.00 and gave the company a “neutral” rating in a research report on Thursday, May 22nd. Morgan Stanley lifted their price objective on Zoom Communications from $79.00 to $85.00 and gave the company an “equal weight” rating in a research report on Thursday, May 22nd. Finally, Scotiabank lifted their price objective on Zoom Communications from $75.00 to $85.00 and gave the company a “sector perform” rating in a research report on Friday, May 16th. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, fifteen have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $89.00.

Zoom Communications Stock Up 12.7%

Shares of NASDAQ ZM opened at $82.47 on Friday. Zoom Communications has a twelve month low of $64.41 and a twelve month high of $92.80. The firm has a market cap of $24.95 billion, a P/E ratio of 21.76, a PEG ratio of 19.15 and a beta of 0.68. The company has a 50 day moving average of $75.08 and a 200 day moving average of $76.71.

Zoom Communications (NASDAQ:ZM) last announced its quarterly earnings data on Wednesday, May 21st. The company reported $1.43 earnings per share for the quarter, topping analysts’ consensus estimates of $1.30 by $0.13. The company had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.17 billion. Zoom Communications had a net margin of 24.99% and a return on equity of 11.95%. The firm’s revenue for the quarter was up 2.9% on a year-over-year basis. During the same period in the previous year, the business earned $1.35 EPS. As a group, equities analysts expect that Zoom Communications will post 2.93 earnings per share for the current fiscal year.

Insider Buying and Selling at Zoom Communications

In other Zoom Communications news, Director Herbert Raymond Mcmaster sold 500 shares of the business’s stock in a transaction on Monday, July 14th. The shares were sold at an average price of $75.00, for a total transaction of $37,500.00. Following the completion of the sale, the director directly owned 10,901 shares in the company, valued at approximately $817,575. The trade was a 4.39% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Velchamy Sankarlingam sold 7,661 shares of the business’s stock in a transaction on Thursday, July 10th. The shares were sold at an average price of $77.50, for a total transaction of $593,727.50. Following the sale, the insider owned 129,377 shares of the company’s stock, valued at approximately $10,026,717.50. This represents a 5.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 87,542 shares of company stock worth $6,609,623. 11.51% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Zoom Communications

Hedge funds have recently added to or reduced their stakes in the stock. State Street Corp increased its stake in shares of Zoom Communications by 6.0% in the 2nd quarter. State Street Corp now owns 7,189,501 shares of the company’s stock worth $560,637,000 after purchasing an additional 410,051 shares in the last quarter. Ameriprise Financial Inc. increased its stake in shares of Zoom Communications by 142.0% in the 2nd quarter. Ameriprise Financial Inc. now owns 457,623 shares of the company’s stock worth $35,678,000 after purchasing an additional 268,538 shares in the last quarter. Worldquant Millennium Advisors LLC purchased a new stake in shares of Zoom Communications in the 2nd quarter worth $12,549,000. Treasurer of the State of North Carolina increased its stake in shares of Zoom Communications by 61.4% in the 2nd quarter. Treasurer of the State of North Carolina now owns 266,537 shares of the company’s stock worth $20,785,000 after purchasing an additional 101,437 shares in the last quarter. Finally, Ieq Capital LLC increased its stake in shares of Zoom Communications by 68.5% in the 2nd quarter. Ieq Capital LLC now owns 212,286 shares of the company’s stock worth $16,554,000 after purchasing an additional 86,319 shares in the last quarter. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

Zoom Communications Company Profile

Zoom Video Communications, Inc provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices.