Zoom Communications (NASDAQ:ZM) Rating Lowered to “Hold” at Zacks Research

Zoom Communications (NASDAQ:ZM) was downgraded by Zacks Research from a “strong-buy” rating to a “hold” rating in a note issued to investors on Monday,Zacks.com reports.

Other equities analysts have also recently issued research reports about the company. Wall Street Zen upgraded Zoom Communications from a “buy” rating to a “strong-buy” rating in a report on Sunday, September 28th. Cantor Fitzgerald reissued a “neutral” rating and issued a $87.00 price objective on shares of Zoom Communications in a research report on Thursday, September 18th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Zoom Communications in a report on Tuesday, October 14th. KeyCorp decreased their target price on Zoom Communications from $73.00 to $69.00 and set an “underweight” rating for the company in a research report on Friday, August 22nd. Finally, William Blair restated an “outperform” rating on shares of Zoom Communications in a report on Tuesday, September 30th. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, sixteen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $91.96.

Zoom Communications Stock Up 0.1%

Zoom Communications stock traded up $0.06 during midday trading on Monday, reaching $84.65. 95,950 shares of the stock traded hands, compared to its average volume of 2,780,278. Zoom Communications has a 12 month low of $64.41 and a 12 month high of $92.80. The stock’s fifty day moving average is $83.09 and its 200-day moving average is $79.44. The stock has a market cap of $25.61 billion, a P/E ratio of 22.36, a PEG ratio of 11.35 and a beta of 0.79.

Zoom Communications (NASDAQ:ZM) last posted its earnings results on Thursday, August 21st. The company reported $0.99 earnings per share for the quarter, missing analysts’ consensus estimates of $1.38 by ($0.39). Zoom Communications had a net margin of 24.99% and a return on equity of 11.91%. The business had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $1.20 billion. During the same period last year, the business posted $1.39 earnings per share. The company’s revenue for the quarter was up 4.7% compared to the same quarter last year. Zoom Communications has set its FY 2026 guidance at 5.810-5.840 EPS. Q3 2026 guidance at 1.420-1.44 EPS. On average, equities analysts predict that Zoom Communications will post 2.93 EPS for the current fiscal year.

Insider Transactions at Zoom Communications

In related news, CFO Michelle Chang sold 33,956 shares of the firm’s stock in a transaction dated Friday, October 10th. The stock was sold at an average price of $82.00, for a total transaction of $2,784,392.00. Following the sale, the chief financial officer owned 20,539 shares of the company’s stock, valued at $1,684,198. This trade represents a 62.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Eric S. Yuan sold 73,383 shares of the business’s stock in a transaction dated Wednesday, October 22nd. The stock was sold at an average price of $82.65, for a total transaction of $6,065,104.95. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 321,470 shares of company stock worth $26,684,150. Company insiders own 10.78% of the company’s stock.

Institutional Investors Weigh In On Zoom Communications

Several institutional investors have recently bought and sold shares of ZM. Norges Bank purchased a new stake in shares of Zoom Communications during the 2nd quarter valued at $539,998,000. Acadian Asset Management LLC boosted its stake in shares of Zoom Communications by 41.1% in the second quarter. Acadian Asset Management LLC now owns 3,769,480 shares of the company’s stock worth $293,909,000 after buying an additional 1,097,333 shares during the last quarter. Vanguard Group Inc. raised its position in Zoom Communications by 4.0% during the third quarter. Vanguard Group Inc. now owns 25,937,601 shares of the company’s stock valued at $2,139,852,000 after acquiring an additional 986,164 shares in the last quarter. Pacer Advisors Inc. boosted its position in Zoom Communications by 54.4% in the 3rd quarter. Pacer Advisors Inc. now owns 2,695,193 shares of the company’s stock worth $222,353,000 after purchasing an additional 949,829 shares in the last quarter. Finally, Robeco Institutional Asset Management B.V. boosted its holdings in Zoom Communications by 63.5% during the second quarter. Robeco Institutional Asset Management B.V. now owns 2,137,093 shares of the company’s stock worth $166,651,000 after buying an additional 830,393 shares in the last quarter. 66.54% of the stock is currently owned by institutional investors and hedge funds.

About Zoom Communications

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.