Zoom Video Communications (NASDAQ:ZM) Announces Quarterly Earnings Results

Zoom Video Communications (NASDAQ:ZM) posted its earnings results on Monday. The company reported $0.78 EPS for the quarter, missing analysts’ consensus estimates of $1.31 by ($0.53), Zacks reports. Zoom Video Communications had a return on equity of 10.98% and a net margin of 20.34%. Zoom Video Communications updated its FY 2026 guidance to 5.340-5.370 EPS and its Q1 2026 guidance to 1.290-1.310 EPS.

Zoom Video Communications Price Performance

ZM stock traded down $1.40 during mid-day trading on Monday, reaching $81.10. 6,380,200 shares of the company traded hands, compared to its average volume of 2,402,271. The company has a fifty day moving average price of $83.18 and a 200-day moving average price of $76.37. Zoom Video Communications has a 52-week low of $55.06 and a 52-week high of $92.80. The company has a market capitalization of $24.86 billion and a P/E ratio of 27.03.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on ZM shares. Jefferies Financial Group raised shares of Zoom Video Communications from a “hold” rating to a “buy” rating and boosted their target price for the stock from $85.00 to $100.00 in a report on Thursday, December 19th. Hsbc Global Res upgraded Zoom Video Communications to a “strong-buy” rating in a report on Tuesday, November 26th. Stifel Nicolaus raised their price target on shares of Zoom Video Communications from $70.00 to $90.00 and gave the stock a “hold” rating in a report on Tuesday, November 26th. Morgan Stanley lifted their target price on shares of Zoom Video Communications from $86.00 to $96.00 and gave the stock an “equal weight” rating in a research note on Wednesday, December 18th. Finally, JMP Securities reissued a “market perform” rating on shares of Zoom Video Communications in a research report on Tuesday, November 26th. Sixteen analysts have rated the stock with a hold rating, eight have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $89.48.

Insider Transactions at Zoom Video Communications

In related news, insider Velchamy Sankarlingam sold 3,618 shares of the company’s stock in a transaction that occurred on Tuesday, December 10th. The shares were sold at an average price of $84.94, for a total value of $307,312.92. Following the transaction, the insider now directly owns 107,826 shares in the company, valued at approximately $9,158,740.44. This represents a 3.25 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Aparna Bawa sold 9,317 shares of Zoom Video Communications stock in a transaction that occurred on Friday, January 10th. The shares were sold at an average price of $78.69, for a total transaction of $733,154.73. Following the sale, the chief operating officer now owns 14,053 shares of the company’s stock, valued at approximately $1,105,830.57. The trade was a 39.87 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 382,242 shares of company stock valued at $31,230,938. 10.78% of the stock is currently owned by corporate insiders.

Zoom Video 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.