BTIG Research Forecasts Strong Price Appreciation for Zoom Communications (NASDAQ:ZM) Stock

Zoom Communications (NASDAQ:ZM) had its target price upped by investment analysts at BTIG Research from $100.00 to $125.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has a “buy” rating on the stock. BTIG Research’s price objective would suggest a potential upside of 29.20% from the company’s previous close.

ZM has been the topic of a number of other research reports. KeyCorp raised Zoom Communications from an “underweight” rating to a “sector weight” rating in a research note on Friday. Jefferies Financial Group reissued a “buy” rating and issued a $118.00 target price on shares of Zoom Communications in a research note on Friday. Wall Street Zen lowered shares of Zoom Communications from a “buy” rating to a “hold” rating in a research report on Saturday, March 7th. Argus upgraded shares of Zoom Communications to a “hold” rating in a research report on Monday, March 9th. Finally, Needham & Company LLC restated a “buy” rating and set a $100.00 price target on shares of Zoom Communications in a research report on Friday, March 13th. Fourteen equities research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $102.65.

Zoom Communications Stock Down 2.7%

Shares of NASDAQ ZM opened at $96.75 on Friday. The company has a market capitalization of $28.51 billion, a PE ratio of 15.60, a PEG ratio of 5.69 and a beta of 1.00. The stock’s 50 day moving average price is $88.14 and its 200-day moving average price is $86.59. Zoom Communications has a twelve month low of $69.15 and a twelve month high of $111.56.

Zoom Communications (NASDAQ:ZM) last released its quarterly earnings results on Thursday, May 21st. The company reported $1.55 earnings per share for the quarter, topping the consensus estimate of $1.41 by $0.14. The firm had revenue of $1.24 billion for the quarter, compared to analysts’ expectations of $1.22 billion. Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The business’s quarterly revenue was up 5.5% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.43 earnings per share. Zoom Communications has set its FY 2027 guidance at 5.960-6.000 EPS and its Q2 2027 guidance at 1.450-1.470 EPS. As a group, research analysts expect that Zoom Communications will post 3.94 EPS for the current fiscal year.

Insider Buying and Selling at Zoom Communications

In other news, CFO Michelle Chang sold 8,489 shares of the stock in a transaction dated Friday, April 10th. The shares were sold at an average price of $81.32, for a total transaction of $690,325.48. Following the completion of the sale, the chief financial officer directly owned 30,467 shares in the company, valued at approximately $2,477,576.44. This represents a 21.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Aparna Bawa sold 12,886 shares of the stock in a transaction dated Friday, April 17th. The stock was sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the sale, the chief operating officer owned 1,978 shares of the company’s stock, valued at approximately $173,312.36. This represents a 86.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 144,329 shares of company stock valued at $12,364,989. 11.51% of the stock is currently owned by insiders.

Institutional Trading of Zoom Communications

A number of institutional investors have recently modified their holdings of the company. Leigh Baldwin & CO. LLC boosted its holdings in shares of Zoom Communications by 16.5% during the first quarter. Leigh Baldwin & CO. LLC now owns 5,732 shares of the company’s stock worth $461,000 after purchasing an additional 810 shares during the period. Bank of America Corp DE boosted its holdings in shares of Zoom Communications by 50.5% during the first quarter. Bank of America Corp DE now owns 1,767,728 shares of the company’s stock worth $142,108,000 after purchasing an additional 592,899 shares during the period. Edgestream Partners L.P. purchased a new stake in shares of Zoom Communications during the first quarter worth about $2,689,000. Bull Harbor Capital LLC purchased a new stake in shares of Zoom Communications during the first quarter worth about $939,000. Finally, Atreides Management LP purchased a new stake in shares of Zoom Communications during the first quarter worth about $105,761,000. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

Zoom Communications News Summary

Here are the key news stories impacting Zoom Communications this week:

• Positive Sentiment: Zoom reported first-quarter EPS of $1.55, ahead of consensus, and revenue of about $1.24 billion, also topping estimates, suggesting demand held up better than expected. Zoom Communications (ZM) Q1 Earnings and Revenues Top Estimates
• Positive Sentiment: Zoom raised full-year and next-quarter guidance, signaling management confidence that AI features and enterprise demand can support further growth and profitability. Zoom raises annual forecasts, banks on AI features to drive demand
• Positive Sentiment: Enterprise revenue rose 7.2% year over year, and the enterprise net dollar expansion rate improved to 99%, indicating healthier customer retention and cross-sell momentum. Zoom Communications Inc (ZM) Q1 2027 Earnings Call Highlights: Strong Revenue Growth and AI …
• Neutral Sentiment: Several previews and earnings recap articles focused on the same results, reinforcing the market’s attention on the quarter rather than introducing new catalysts. Zoom (ZM) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates
• Negative Sentiment: Management noted ongoing competitive pressure and a slight uptick in churn, which could limit how much upside investors assign to the growth story. Zoom Communications Inc (ZM) Q1 2027 Earnings Call Highlights: Strong Revenue Growth and AI …

Zoom Communications Company Profile

Zoom Video Communications, Inc (commonly referred to as Zoom) is a provider of cloud-based communications and collaboration solutions. The company’s platform supports video conferencing, voice calling, instant messaging, webinars and large-scale virtual events, and meeting room systems, marketed to businesses, educational institutions, government organizations and individual users. Zoom’s product lineup includes Zoom Meetings, Zoom Phone, Zoom Rooms, Zoom Video Webinars and Zoom Chat, and the company offers integrations and extensions through a developer marketplace and third-party apps.

Founded in 2011 by Eric S.