Zoom Video Communications, Inc ZM Is a Trending Stock: Facts to Know Before Betting on It
If Zoom can start monetizing some of the AI potential Ark Invest sees, it could inspire another bull market in its stock. During that period, its net income of $339 million surged 63% higher. Still, operating income fell during that period, and much of the gain came from $114 million in „other income,“ which consists of income from interest, foreign currency, and marketable securities. Unfortunately for Zoom bulls, that „increase“ is likely a one-time event. Sort by estimates, projected upside, profit surprises, and more to easily find new stocks to invest in or check up on your portfolio. The company’s EPS beat by $0.18 in the last quarter, leading to a 12.97% increase in the share price on the following day.
Zoom Video Comms
The market awaits Zoom Video Comms’s how to use a virtual card in store: how to use a virtual card a comprehensive guide announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter. As mentioned above, on Sept. 30, 2021, Five9 announced that the two parties had mutually agreed to abandon the deal. The company said that the agreement had not received the required number of votes from Five9 shareholders to approve the merger. Department of Justice-led panel, named Team Telecom, was investigating the proposed merger’s potential national security risks. Zoom’s latest fiscal year (FY) was FY 2021, which ended Jan. 31, 2021. For that period, the company reported net income of $672.3 million on revenue of $2.7 billion.
Company Overview
The U.S. government has been increasing its scrutiny of Zoom on several fronts. In 2020, the United States charged a China-based Zoom executive with conspiring to disrupt videoconference commemorations of the 1989 Tiananmen Square democracy protests. Zoom is also the focus of several ongoing federal investigations related to its dealings with Beijing, according to the Journal. Meetings on the platform can host as many as 1,000 participants, while webinars can scale up to as many as 50,000.
Analysts estimate that Zoom Video Comms will report an earnings per share (EPS) of $1.31. © 2024 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. Information is provided ‚as-is‘ and solely for informational purposes, not for trading purposes or advice, and is delayed. To see all exchange delays and terms of use please see Barchart’s disclaimer. Almost everyone loves strong dividend-paying stocks, but high the most important thing yields can signal danger. Discover 20 high-yield dividend stocks paying an unsustainably large percentage of their earnings.
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Zoom Video Communications, Inc. provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company was formerly known as Zoom Communications, Inc. and changed its name to Zoom Video Communications, Inc. in May 2012. The company was incorporated in 2011 and is headquartered in San Jose, California. Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock’s fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward.
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- During that period, its net income of $339 million surged 63% higher.
- Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations.
- Zoom Video Communications provides a communications platform that connects people through video, voice, chat, and content sharing.
- Sort by estimates, projected upside, profit surprises, and more to easily find new stocks to invest in or check up on your portfolio.
- For Zoom Video, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company’s earnings prospects.
In the first nine months of 2023, revenue of $3.4 billion increased by only 3% yearly. Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, top-rated podcasts, and non-profit The Motley Fool Foundation. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors.
As Wood and others have stated, Zoom is much more than an online meeting platform. It is a comprehensive communications ecosystem that includes team chat platforms, online whiteboards, VoIP phone service, workspaces, email, and other services. And yet the business performed solidly throughout the past few years even as the stock fell. Understanding market sentiments and expectations within the industry is crucial for investors. Zoom Video Communications scored higher than 83% of companies evaluated by MarketBeat, and ranked 174th out of 650 stocks in the computer and technology sector.
Revenues for the quarter are expected to be $354.24 million, up 14.1% from the year-ago quarter. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it’s worth taking a look at the surprise history for gauging its What are reits influence on the upcoming number. This video-conferencing company is expected to post quarterly earnings of $1.31 per share in its upcoming report, which represents a year-over-year change of +1.6%. For the current fiscal year, the consensus earnings estimate of $5.34 points to a change of +2.5% from the prior year.