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ZM·Zoom Communications Inc.

$.
-. (-.%)
After Hours
High
$91.49
Open
$90.86
Market Cap
26.46B
52W High
$114.74
Low
$89.35
P. Close
$89.78
P/E
12.77
52W Low
$69.15
Fwd P/E
14.25
DailyIQ Est.
$118.39
Technical Score (1D)
68
BUY
News Sentiment
47
MIXED
Zoom’s CEO, Eric Yuan, sold 58,655 shares worth roughly $5.1 million to cover tax withholding on recently vested RSUs, a transaction that was strictly non‑discretionary. Because the sale was driven by tax obligations rather than a strategic decision, it does not alter the company’s long‑term outlook. Yuan still retains substantial indirect equity through trusts and derivative holdings, underscoring his continued confidence in Zoom’s prospects. The immediate effect of the sale is a modest reduction in the company’s short‑term liquidity, but this is unlikely to influence the stock’s price trajectory over the next 1–10 trading days. Market participants should therefore expect low volatility in the near term, as the move is routine and not indicative of any shift in sentiment. Nevertheless, any future discretionary insider sales could raise concerns about confidence in the company’s growth trajectory. Watch for subsequent trades by Yuan or other insiders that might signal a change in outlook. Additionally, keep an eye on upcoming corporate announcements—such as earnings releases or guidance updates—that could materially affect Zoom’s valuation. Finally, monitor broader industry trends in video‑conferencing demand, as shifts in user behavior or competitive dynamics could impact the company’s performance in the short run.
Earnings Summary
Zoom Communications, Inc. is a global provider of a unified communications platform that delivers high‑definition video conferencing, cloud‑based phone services, and a suite of collaborative tools such as team chat, whiteboards, and workflow automation, serving a broad spectrum of industries from education to finance. The company operates within the technology sector, specifically the software‑application sub‑industry, positioning itself as a comprehensive workplace solution. Recent quarterly performance shows a mixed pattern: Q4 2026 reported EPS of $1.44 versus an estimate of $1.5328 (a miss) and revenue of $1.24699 billion against an estimate of $1.26947 billion (also a miss), while Q1 2027 delivered EPS of $1.55 beating the $1.4601 estimate and revenue of $1.23901 billion falling short of the $1.26016 billion estimate. Compared to the prior two quarters (Q2 2025 and Q3 2025), which both beat estimates on EPS and saw revenue growth, the most recent quarters exhibit a reversal in EPS performance but maintain modest revenue gains, indicating a deceleration in earnings momentum but continued top‑line expansion. Historically, Zoom has shown a steady YoY revenue growth trajectory, with Q4 2026 up 5.3% from Q4 2024 and Q1 2027 up 5.7% from Q1 2025, while EPS has risen YoY—$1.44 in Q4 2026 versus $1.41 in Q4 2024 and $1.55 in Q1 2027 versus $1.43 in Q1 2025—yet the company has experienced a pattern of alternating EPS beats and misses against analyst estimates, suggesting earnings volatility amid consistent revenue growth. Recent news highlights the launch of a virtual‑agent receptionist and the pending acquisition of AI‑native Common Room, both aimed at embedding AI across Zoom’s ecosystem; these initiatives could open new revenue streams and improve margins, though analysts note current revenue growth remains under 5% and net revenue retention at 98.3%, signaling demand and retention challenges. Forward‑looking watch points for investors include monitoring the upcoming earnings release for guidance on revenue outlook, the pace of Common Room integration, and the adoption rate of the virtual‑agent receptionist, as well as any commentary on the Anthropic partnership that may influence AI‑driven product enhancements and competitive positioning.

EPS

EstBeatMiss
$1.27$1.35$1.43$1.51$1.59Q1'25Q2'25Q3'25Q4'26Q1'27Q2'27
QtrEstActual+/−
Q2'27$1.48 - -
Q1'27$1.46$1.55+6.2%
Q4'26$1.53$1.44-6.1%
Q3'25$1.44$1.52+5.8%
Q2'25$1.38$1.53+11.0%
Q1'25$1.31$1.43+9.5%

Revenue

EstBeatMiss
$1.2B$1.2B$1.2B$1.3B$1.3BQ1'25Q2'25Q3'25Q4'26Q1'27Q2'27
QtrEstActual+/−
Q2'27$1.3B - -
Q1'27$1.3B$1.2B-1.7%
Q4'26$1.3B$1.2B-1.8%
Q3'25 - $1.2B -
Q2'25 - $1.2B -
Q1'25 - $1.2B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

ZM Stock Snapshot

ZM is currently trading at $89.76, giving Zoom Communications Inc. a market cap of 26.46B and a P/E ratio of 12.8. Today's range spans $89.35–$91.49, with shares opening at $90.86 and moving down $0.02 (0.0%) from the prior close. DailyIQ's technical score sits at 68/100 (BUY) with a news sentiment reading of 47/100.

Over the past year ZM has traded between $69.15 and $114.74 - the current price is +29.8% off the 52-week low and -21.8% from the high. 40 analysts cover the stock with a Hold consensus and a mean 12-month target of $115.00 (range $79.00–$135.00), implying upside of +28.1%.

ZM carries a BUY signal on a 68/100 technical score, trades at $89.76 (in the middle of its 52-week range), and has neutral sentiment at 47/100. At 26.46B in Technology market cap (P/E: 12.8), the name has scale without the index-anchor inertia of mega-cap peers - which means when the bullish momentum runs, the percentage move can be meaningfully larger. Annual range: $69.15–$114.74.

Earnings revision cycles in large-cap Technology names tend to compound: when technicals confirm a BUY thesis (68/100) and news sentiment (47/100, neutral) supports the narrative, analyst upgrades follow price rather than lead it. At $89.76 (in the middle of its 52-week range), ZM's position within the $69.15–$114.74 annual range suggests there's room for multiple expansion before the stock encounters meaningful technical resistance.