Zoom Video Communications (NASDAQ:ZM) Reaches New 1-Year High – What’s Next?

Zoom Video Communications, Inc. (NASDAQ:ZM) shares hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $76.83 and last traded at $76.24, with a volume of 174295 shares. The stock had previously closed at $75.54.

Analyst Ratings Changes

ZM has been the topic of several recent research reports. Robert W. Baird reduced their price target on shares of Zoom Video Communications from $84.00 to $77.00 and set an “outperform” rating on the stock in a report on Thursday, August 22nd. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $95.00 target price on shares of Zoom Video Communications in a research note on Thursday, October 10th. Needham & Company LLC reissued a “hold” rating on shares of Zoom Video Communications in a research report on Friday, October 11th. Benchmark upped their price objective on Zoom Video Communications from $83.00 to $85.00 and gave the company a “buy” rating in a research report on Thursday, October 10th. Finally, UBS Group upgraded Zoom Video Communications to a “hold” rating in a research report on Friday, July 26th. Two analysts have rated the stock with a sell rating, thirteen have issued a hold rating and six have assigned a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $75.32.

Zoom Video Communications Stock Performance

The company has a market cap of $24.53 billion, a price-to-earnings ratio of 28.56, a price-to-earnings-growth ratio of 6.51 and a beta of -0.05. The stock’s fifty day simple moving average is $70.01 and its two-hundred day simple moving average is $63.80.

Zoom Video Communications (NASDAQ:ZM) last posted its quarterly earnings results on Wednesday, August 21st. The company reported $1.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.21 by $0.18. The firm had revenue of $1.16 billion during the quarter, compared to the consensus estimate of $1.15 billion. Zoom Video Communications had a return on equity of 10.77% and a net margin of 19.08%. The firm’s quarterly revenue was up 2.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.55 earnings per share. Analysts predict that Zoom Video Communications, Inc. will post 2.74 EPS for the current fiscal year.

Insider Activity at Zoom Video Communications

In other news, Director Jonathan Chadwick sold 12,500 shares of the firm’s stock in a transaction on Tuesday, October 29th. The shares were sold at an average price of $75.04, for a total value of $938,000.00. Following the transaction, the director now owns 1,514 shares of the company’s stock, valued at approximately $113,610.56. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. In other Zoom Video Communications news, CFO Kelly Steckelberg sold 5,013 shares of the company’s stock in a transaction that occurred on Wednesday, August 21st. The stock was sold at an average price of $59.70, for a total value of $299,276.10. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Jonathan Chadwick sold 12,500 shares of Zoom Video Communications stock in a transaction that occurred on Tuesday, October 29th. The shares were sold at an average price of $75.04, for a total transaction of $938,000.00. Following the sale, the director now owns 1,514 shares in the company, valued at $113,610.56. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 193,550 shares of company stock worth $13,361,571. Company insiders own 10.78% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in ZM. Wealth Enhancement Advisory Services LLC lifted its holdings in Zoom Video Communications by 128.4% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 11,038 shares of the company’s stock worth $722,000 after buying an additional 6,206 shares in the last quarter. Private Advisor Group LLC grew its stake in shares of Zoom Video Communications by 181.4% during the first quarter. Private Advisor Group LLC now owns 13,503 shares of the company’s stock valued at $883,000 after acquiring an additional 8,704 shares in the last quarter. Larson Financial Group LLC increased its position in shares of Zoom Video Communications by 331.1% during the first quarter. Larson Financial Group LLC now owns 1,940 shares of the company’s stock worth $127,000 after acquiring an additional 1,490 shares during the last quarter. Duality Advisers LP acquired a new position in shares of Zoom Video Communications in the first quarter worth about $967,000. Finally, Sciencast Management LP purchased a new position in Zoom Video Communications in the first quarter valued at about $1,008,000. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

About Zoom Video Communications

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.