Getting to Know the Facts About Zoom Video Communications

Shares of Zoom Video Communications have moved -1.4% today, and are now trading at a price of $69.9. In contrast, the S&P 500 index saw a 0.6% change. Today's trading volume is 1,687,415 compared to the stock's average volume of 3,652,570.

Zoom Video Communications, Inc. provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Based in San Jose, United States the company has 8,422 full time employees and a market cap of $20,433,307,648.

The company is now trading -18.9% away from its average analyst target price of $86.19 per share. The 30 analysts following the stock have set target prices ranging from $67 to $105, and on average give Zoom Video Communications a rating of hold.

Over the last year, ZM shares have gone down by -58.5%, which represents a difference of -41.4% when compared to the S&P 500. The stock's 52 week high is $179.9 per share and its 52 week low is $63.55. With strong EPS growth and increasing cash flows, Zoom's disappointing share price performance is not necessarily indicative of the strength of its underlying business.

2019-01-31 2020-01-31 2021-01-31 2022-01-31
Revenue (MM) $331 $623 $2,651 $4,100
Revenue Growth n/a 88.39% 325.81% 54.63%
Gross Margins 81.5% 81.5% 69.0% 74.3%
Gross Margins Growth n/a 0.0% -15.34% 7.68%
Operating Margins 1.9% 2.0% 24.9% 25.9%
Operating Margins Growth n/a 5.26% 1145.0% 4.02%
Earnings Per Share $0.03 $0.09 $2.25 $4.5
EPS Growth n/a 200.0% 2400.0% 100.0%
Free Cash Flow (MM) $21 $114 $1,385 $1,460
FCF Growth n/a 444.33% 1118.79% 5.36%
Capital Expenditures (MM) -$30 -$38 -$86 -$146
Net Debt / EBITDA -4.83 -7.23 -3.1 -0.9
The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.