Zoom Video Communications (NASDAQ:ZM) Issues Q4 Earnings Guidance

Zoom Video Communications (NASDAQ:ZM) issued an update on its fourth quarter earnings guidance on Monday morning. The company provided EPS guidance of $1.13-1.15 for the period, compared to the consensus EPS estimate of $1.09. The company issued revenue guidance of $1.125-1.130 billion, compared to the consensus revenue estimate of $1.13 billion.

Zoom Video Communications Stock Up 2.9 %

Shares of NASDAQ:ZM opened at $66.00 on Tuesday. The firm has a fifty day moving average of $64.83 and a two-hundred day moving average of $67.15. The firm has a market capitalization of $19.86 billion, a P/E ratio of 150.00, a price-to-earnings-growth ratio of 1.07 and a beta of -0.16. Zoom Video Communications has a 12-month low of $58.87 and a 12-month high of $85.13.

Zoom Video Communications (NASDAQ:ZM) last issued its earnings results on Monday, November 20th. The company reported $1.29 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.08 by $0.21. The company had revenue of $1.14 billion during the quarter, compared to analyst estimates of $1.12 billion. Zoom Video Communications had a net margin of 3.17% and a return on equity of 3.51%. The company’s revenue for the quarter was up 3.2% on a year-over-year basis. During the same quarter last year, the business posted $0.21 EPS. Equities research analysts expect that Zoom Video Communications will post 1.77 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

ZM has been the topic of a number of recent research reports. Benchmark restated a buy rating and set a $95.00 price target on shares of Zoom Video Communications in a report on Wednesday, October 4th. Stifel Nicolaus cut their price target on shares of Zoom Video Communications from $75.00 to $70.00 and set a hold rating on the stock in a report on Wednesday, October 4th. Royal Bank of Canada reiterated an outperform rating and issued a $95.00 target price on shares of Zoom Video Communications in a report on Thursday, October 12th. JPMorgan Chase & Co. dropped their target price on shares of Zoom Video Communications from $85.00 to $83.00 and set a neutral rating on the stock in a report on Tuesday, August 22nd. Finally, Mizuho reiterated a buy rating and issued a $100.00 target price on shares of Zoom Video Communications in a report on Tuesday, August 22nd. Seventeen investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. Based on data from MarketBeat.com, Zoom Video Communications has a consensus rating of Hold and a consensus price target of $81.55.

Insider Activity

In other news, CFO Kelly Steckelberg sold 10,960 shares of Zoom Video Communications stock in a transaction dated Wednesday, August 23rd. The shares were sold at an average price of $68.29, for a total transaction of $748,458.40. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. In other Zoom Video Communications news, CFO Kelly Steckelberg sold 10,960 shares of the business’s stock in a transaction dated Wednesday, August 23rd. The shares were sold at an average price of $68.29, for a total value of $748,458.40. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Velchamy Sankarlingam sold 1,586 shares of the business’s stock in a transaction dated Tuesday, September 12th. The shares were sold at an average price of $70.69, for a total transaction of $112,114.34. Following the completion of the transaction, the insider now owns 58,306 shares in the company, valued at $4,121,651.14. The disclosure for this sale can be found here. In the last three months, insiders have sold 157,375 shares of company stock worth $10,417,755. Corporate insiders own 11.28% of the company’s stock.

Hedge Funds Weigh In On Zoom Video Communications

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. raised its stake in shares of Zoom Video Communications by 0.8% in the first quarter. BlackRock Inc. now owns 12,837,056 shares of the company’s stock worth $947,888,000 after acquiring an additional 104,955 shares during the last quarter. Renaissance Technologies LLC raised its stake in shares of Zoom Video Communications by 61.0% in the first quarter. Renaissance Technologies LLC now owns 6,449,306 shares of the company’s stock worth $756,052,000 after acquiring an additional 2,444,294 shares during the last quarter. State Street Corp raised its stake in shares of Zoom Video Communications by 3.0% in the second quarter. State Street Corp now owns 5,162,552 shares of the company’s stock worth $350,434,000 after acquiring an additional 151,854 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of Zoom Video Communications by 1.3% in the first quarter. Geode Capital Management LLC now owns 3,218,518 shares of the company’s stock worth $237,451,000 after acquiring an additional 40,454 shares during the last quarter. Finally, First Trust Advisors LP raised its stake in shares of Zoom Video Communications by 12.4% in the first quarter. First Trust Advisors LP now owns 2,452,935 shares of the company’s stock worth $181,125,000 after acquiring an additional 270,970 shares during the last quarter. 54.85% of the stock is currently owned by institutional investors and hedge funds.

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.