Zoom Video Communications (NASDAQ:ZM) Issues Q2 2023 Earnings Guidance

Zoom Video Communications (NASDAQ:ZM – Get Rating) updated its second quarter 2023 earnings guidance on Monday. The company provided EPS guidance of $0.90-$0.92 for the period, compared to the consensus EPS estimate of $0.88. The company issued revenue guidance of $1.11 billion-$1.12 billion, compared to the consensus revenue estimate of $1.11 billion.Zoom Video Communications also updated its FY 2023 guidance to $3.70-$3.77 EPS.

A number of research firms have weighed in on ZM. Royal Bank of Canada decreased their price objective on Zoom Video Communications from $200.00 to $150.00 in a research report on Tuesday, May 24th. CICC Research began coverage on Zoom Video Communications in a report on Monday, February 14th. They issued an outperform rating and a $182.92 price target for the company. Wolfe Research cut Zoom Video Communications from an outperform rating to a peer perform rating and reduced their price target for the company from $140.00 to $100.00 in a report on Wednesday, March 2nd. Evercore ISI reduced their price target on Zoom Video Communications from $235.00 to $145.00 and set an inline rating for the company in a report on Tuesday, March 1st. Finally, Deutsche Bank Aktiengesellschaft reduced their price target on Zoom Video Communications from $155.00 to $105.00 in a report on Tuesday, May 24th. Fifteen research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of Hold and a consensus target price of $167.00.

Zoom Video Communications stock opened at $109.42 on Monday. The company has a market capitalization of $32.73 billion, a price-to-earnings ratio of 26.56, a PEG ratio of 3.29 and a beta of -0.67. Zoom Video Communications has a one year low of $79.03 and a one year high of $406.48. The company’s fifty day moving average price is $104.41 and its two-hundred day moving average price is $140.34.

Zoom Video Communications (NASDAQ:ZM – Get Rating) last posted its earnings results on Monday, May 23rd. The company reported $0.47 EPS for the quarter, topping the consensus estimate of $0.35 by $0.12. Zoom Video Communications had a net margin of 29.91% and a return on equity of 16.56%. The firm had revenue of $1.07 billion for the quarter, compared to the consensus estimate of $1.07 billion. During the same period in the prior year, the business posted $0.97 earnings per share. The business’s quarterly revenue was up 12.3% on a year-over-year basis. Equities research analysts forecast that Zoom Video Communications will post 1.75 EPS for the current year.

In other news, COO Aparna Bawa sold 2,000 shares of the firm’s stock in a transaction that occurred on Tuesday, May 31st. The shares were sold at an average price of $108.47, for a total transaction of $216,940.00. Following the completion of the sale, the chief operating officer now owns 82,260 shares of the company’s stock, valued at $8,922,742.20. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Velchamy Sankarlingam sold 2,256 shares of the firm’s stock in a transaction that occurred on Tuesday, April 12th. The stock was sold at an average price of $111.69, for a total transaction of $251,972.64. Following the sale, the insider now directly owns 5,836 shares of the company’s stock, valued at approximately $651,822.84. The disclosure for this sale can be found here. Insiders have sold 65,234 shares of company stock valued at $7,085,377 over the last 90 days. Corporate insiders own 11.24% of the company’s stock.

Several institutional investors have recently modified their holdings of ZM. Renaissance Technologies LLC increased its holdings 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 valued at $756,052,000 after purchasing an additional 2,444,294 shares in the last quarter. Morgan Stanley increased its holdings in shares of Zoom Video Communications by 6.4% in the second quarter. Morgan Stanley now owns 12,384,701 shares of the company’s stock valued at $4,793,252,000 after purchasing an additional 742,240 shares in the last quarter. Deutsche Bank AG increased its holdings in shares of Zoom Video Communications by 113.7% in the fourth quarter. Deutsche Bank AG now owns 726,710 shares of the company’s stock valued at $133,649,000 after purchasing an additional 386,594 shares in the last quarter. Alyeska Investment Group L.P. acquired a new stake in shares of Zoom Video Communications in the first quarter valued at approximately $19,232,000. Finally, Federated Hermes Inc. increased its holdings in shares of Zoom Video Communications by 10,456.3% in the first quarter. Federated Hermes Inc. now owns 83,289 shares of the company’s stock valued at $9,764,000 after purchasing an additional 82,500 shares in the last quarter. 55.94% of the stock is owned by institutional investors and hedge funds.

Zoom Video Communications Company Profile (Get Rating)

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.

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