QRG Capital Management Inc. Grows Position in Zoom Communications, Inc. $ZM

QRG Capital Management Inc. increased its holdings in Zoom Communications, Inc. (NASDAQ:ZM) by 19.3% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 33,780 shares of the company’s stock after acquiring an additional 5,460 shares during the quarter. QRG Capital Management Inc.’s holdings in Zoom Communications were worth $2,915,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. Mitsubishi UFJ Asset Management Co. Ltd. lifted its stake in Zoom Communications by 10.5% in the third quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 238,753 shares of the company’s stock worth $19,697,000 after acquiring an additional 22,704 shares during the period. Strive Asset Management LLC purchased a new stake in Zoom Communications in the third quarter worth about $1,238,000. LSV Asset Management lifted its stake in Zoom Communications by 5.0% in the third quarter. LSV Asset Management now owns 1,069,440 shares of the company’s stock worth $88,229,000 after acquiring an additional 50,579 shares during the period. Krilogy Financial LLC purchased a new stake in Zoom Communications in the third quarter worth about $1,963,000. Finally, Boston Common Asset Management LLC purchased a new stake in Zoom Communications in the fourth quarter worth about $2,163,000. 66.54% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Zoom Communications

In related news, insider Velchamy Sankarlingam sold 7,645 shares of the stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $85.44, for a total value of $653,188.80. Following the completion of the transaction, the insider directly owned 141,971 shares of the company’s stock, valued at $12,130,002.24. This trade represents a 5.11% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Aparna Bawa sold 12,886 shares of the stock in a transaction that occurred on Friday, April 17th. The shares were sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the completion of the transaction, the chief operating officer directly owned 1,978 shares of the company’s stock, valued at $173,312.36. The trade was a 86.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 144,329 shares of company stock worth $12,364,989 over the last ninety days. 11.51% of the stock is currently owned by insiders.

Key Stories Impacting Zoom Communications

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

• Positive Sentiment: Product & leadership moves that support growth thesis — Zoom named a new Chief Product Officer and is pushing AI?focused product initiatives aimed at SMBs and “solopreneurs,” which investors view as diversification beyond meetings. Read More.
• Positive Sentiment: New customer/market programs — the Solopreneur 50 grants and related research highlight efforts to monetize AI?enabled one?person businesses and extend addressable market. Read More.
• Positive Sentiment: Technical momentum & institutional support — the stock cleared a cup?with?handle breakout and received an IBD upgrade, and large institutions have added meaningful positions recently, which can attract momentum flows. Read More.
• Neutral Sentiment: Company fundamentals & valuation — Zoom slightly missed EPS in February ($1.44 vs. $1.48 est.), provided FY?2027 guidance, and debate continues about valuation (~18x earnings for some observers). These are background fundamentals rather than an immediate catalyst. Read More.
• Negative Sentiment: Insider selling — CEO Eric Yuan sold 12,100 shares (avg ~$106.60) and a director also sold shares; both trades were executed under Rule 10b5?1 plans, but such filings can create near?term selling pressure and prompt caution from momentum traders. Read More.
• Negative Sentiment: Short?term profit?taking & sector rotation — ZM recently snapped a six?session winning streak and fell in the prior session amid profit?taking and a broader rotation away from high?beta cloud/software names, a risk that can compress multiples. Read More.

Zoom Communications Stock Up 3.1%

Shares of Zoom Communications stock opened at $108.36 on Friday. The firm has a market capitalization of $31.93 billion, a P/E ratio of 17.48, a PEG ratio of 6.01 and a beta of 1.00. The company has a 50 day moving average price of $83.24 and a 200 day moving average price of $85.37. Zoom Communications, Inc. has a 52 week low of $69.15 and a 52 week high of $109.50.

Zoom Communications (NASDAQ:ZM) last announced its quarterly earnings data on Wednesday, February 25th. The company reported $1.44 EPS for the quarter, missing the consensus estimate of $1.48 by ($0.04). The company had revenue of $1.25 billion during the quarter, compared to analysts’ expectations of $1.23 billion. Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The business’s revenue for the quarter was up 5.3% compared to the same quarter last year. During the same period in the previous year, the business earned $1.41 earnings per share. Zoom Communications has set its FY 2027 guidance at 5.770-5.810 EPS and its Q1 2027 guidance at 1.400-1.420 EPS. As a group, research analysts anticipate that Zoom Communications, Inc. will post 3.94 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on ZM. Wall Street Zen lowered shares of Zoom Communications from a “buy” rating to a “hold” rating in a research note on Saturday, March 7th. Argus raised shares of Zoom Communications to a “hold” rating in a research report on Monday, March 9th. Weiss Ratings raised shares of Zoom Communications from a “buy (b-)” rating to a “buy (b)” rating in a research report on Friday, May 1st. Citigroup raised shares of Zoom Communications from a “neutral” rating to a “buy” rating and increased their price target for the company from $94.00 to $106.00 in a research report on Monday, January 12th. Finally, Citizens Jmp reissued a “market perform” rating on shares of Zoom Communications in a research report on Tuesday, February 24th. Fourteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $95.32.

About Zoom Communications

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.