Zoom Communications (NASDAQ:ZM) Announces Earnings Results

Zoom Communications (NASDAQ:ZM) posted its earnings results on Monday. The company reported $1.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.44 by $0.08, FiscalAI reports. The company had revenue of $1.23 billion during the quarter, compared to analysts’ expectations of $1.21 billion. Zoom Communications had a return on equity of 11.91% and a net margin of 24.99%.The firm’s quarterly revenue was up 4.4% compared to the same quarter last year. During the same quarter last year, the firm earned $1.38 earnings per share. Zoom Communications updated its FY 2026 guidance to 5.950-5.970 EPS and its Q4 2026 guidance to 1.480-1.490 EPS.

Zoom Communications Stock Down 0.0%

NASDAQ ZM traded down $0.03 on Monday, reaching $78.60. The company had a trading volume of 9,943,206 shares, compared to its average volume of 2,807,883. Zoom Communications has a 52 week low of $64.41 and a 52 week high of $92.80. The stock has a market cap of $23.78 billion, a price-to-earnings ratio of 20.74, a PEG ratio of 10.73 and a beta of 0.79. The stock’s 50 day moving average is $82.71 and its 200-day moving average is $79.67.

Insider Buying and Selling at Zoom Communications

In related news, CEO Eric S. Yuan sold 73,383 shares of Zoom Communications stock in a transaction dated Wednesday, October 22nd. The shares were sold at an average price of $82.65, for a total transaction of $6,065,104.95. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Michelle Chang sold 33,956 shares of the stock in a transaction on Friday, October 10th. The stock was sold at an average price of $82.00, for a total value of $2,784,392.00. Following the sale, the chief financial officer directly owned 20,539 shares in the company, valued at approximately $1,684,198. This trade represents a 62.31% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 391,848 shares of company stock valued at $32,508,712 in the last 90 days. 11.51% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Zoom Communications

A number of hedge funds have recently added to or reduced their stakes in ZM. Triumph Capital Management acquired a new stake in Zoom Communications in the 3rd quarter valued at $50,000. Geneos Wealth Management Inc. grew its position in Zoom Communications by 82.0% during the first quarter. Geneos Wealth Management Inc. now owns 881 shares of the company’s stock valued at $65,000 after buying an additional 397 shares during the period. Advisory Services Network LLC purchased a new stake in shares of Zoom Communications during the 3rd quarter worth approximately $145,000. Employees Retirement System of Texas raised its stake in Zoom Communications by 55.7% in the 3rd quarter. Employees Retirement System of Texas now owns 2,355 shares of the company’s stock valued at $194,000 after acquiring an additional 842 shares during the period. Finally, Aptus Capital Advisors LLC bought a new stake in shares of Zoom Communications in the third quarter valued at approximately $205,000. 66.54% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have commented on ZM. Cantor Fitzgerald restated a “neutral” rating and issued a $87.00 price objective on shares of Zoom Communications in a research note on Thursday, September 18th. Stifel Nicolaus raised their price objective on Zoom Communications from $80.00 to $90.00 and gave the stock a “hold” rating in a report on Thursday, September 18th. Dbs Bank upgraded Zoom Communications to a “moderate buy” rating in a research note on Tuesday, September 16th. Benchmark raised their target price on shares of Zoom Communications from $102.00 to $110.00 and gave the stock a “buy” rating in a report on Thursday, September 18th. Finally, Wall Street Zen lowered Zoom Communications from a “strong-buy” rating to a “buy” rating in a research report on Saturday, November 15th. One research 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’s stock. Based on data from MarketBeat, Zoom Communications currently has a consensus rating of “Hold” and a consensus price target of $92.35.

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.