Zoom Video Communications, Inc. (NASDAQ:ZM) Receives $75.44 Average PT from Brokerages

Zoom Video Communications, Inc. (NASDAQ:ZM) has been given a consensus recommendation of “Hold” by the nineteen brokerages that are covering the company, MarketBeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, eleven have assigned a hold recommendation and six have issued a buy recommendation on the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $75.44.

Several brokerages have commented on ZM. Jefferies Financial Group started coverage on Zoom Video Communications in a research note on Tuesday, March 19th. They set a “hold” rating and a $70.00 price target for the company. Wells Fargo & Company cut their price target on shares of Zoom Video Communications from $60.00 to $55.00 and set an “underweight” rating on the stock in a report on Friday, June 21st. Royal Bank of Canada reiterated an “outperform” rating and set a $95.00 price objective on shares of Zoom Video Communications in a research note on Tuesday, May 21st. Rosenblatt Securities raised their target price on shares of Zoom Video Communications from $75.00 to $78.00 and gave the company a “buy” rating in a research note on Tuesday, May 21st. Finally, Needham & Company LLC reaffirmed a “hold” rating on shares of Zoom Video Communications in a research report on Tuesday, May 21st.

Zoom Video Communications Stock Performance

ZM opened at $58.34 on Friday. Zoom Video Communications has a 1 year low of $55.63 and a 1 year high of $75.90. The company’s 50 day simple moving average is $61.20 and its 200 day simple moving average is $64.64. The stock has a market capitalization of $18.04 billion, a PE ratio of 21.77, a P/E/G ratio of 9.09 and a beta of -0.05.

Zoom Video Communications (NASDAQ:ZM) last announced its quarterly earnings results on Monday, May 20th. The company reported $0.74 earnings per share for the quarter, beating analysts’ consensus estimates of $0.51 by $0.23. The company had revenue of $1.14 billion for the quarter, compared to analyst estimates of $1.13 billion. Zoom Video Communications had a net margin of 18.37% and a return on equity of 10.55%. As a group, sell-side analysts expect that Zoom Video Communications will post 2.43 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CFO Kelly Steckelberg sold 5,007 shares of the stock in a transaction that occurred on Wednesday, June 26th. The stock was sold at an average price of $57.59, for a total transaction of $288,353.13. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, CFO Kelly Steckelberg sold 5,007 shares of the business’s stock in a transaction dated Wednesday, June 26th. The shares were sold at an average price of $57.59, for a total value of $288,353.13. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Velchamy Sankarlingam sold 3,791 shares of the company’s stock in a transaction dated Tuesday, April 9th. The shares were sold at an average price of $62.97, for a total transaction of $238,719.27. Following the completion of the sale, the insider now owns 91,721 shares in the company, valued at approximately $5,775,671.37. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 103,093 shares of company stock worth $6,326,899. 10.78% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. DekaBank Deutsche Girozentrale lifted its position in shares of Zoom Video Communications by 613.8% in the 1st quarter. DekaBank Deutsche Girozentrale now owns 529,041 shares of the company’s stock worth $34,980,000 after buying an additional 454,923 shares during the last quarter. Cetera Advisors LLC lifted its holdings in Zoom Video Communications by 52.1% in the first quarter. Cetera Advisors LLC now owns 6,307 shares of the company’s stock worth $412,000 after acquiring an additional 2,160 shares during the last quarter. Swedbank AB bought a new position in Zoom Video Communications in the first quarter worth about $2,100,000. Plato Investment Management Ltd boosted its stake in Zoom Video Communications by 549.3% in the first quarter. Plato Investment Management Ltd now owns 8,389 shares of the company’s stock valued at $548,000 after acquiring an additional 7,097 shares during the period. Finally, iA Global Asset Management Inc. grew its holdings in shares of Zoom Video Communications by 27.3% during the first quarter. iA Global Asset Management Inc. now owns 4,060 shares of the company’s stock valued at $265,000 after purchasing an additional 870 shares during the last quarter. Institutional investors and hedge funds own 66.54% of the company’s stock.

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.