Zoom Communications (NASDAQ:ZM) Stock: Insider Michelle Chang Sells 8,489 Shares

Zoom Communications, Inc. (NASDAQ:ZM) CFO Michelle Chang sold 8,489 shares of the business’s stock in a transaction that occurred on Monday, October 12th. The shares were sold at an average price of $99.46, for a total transaction of $844,315.94. Following the transaction, the chief financial officer owned 40,438 shares of the company’s stock, valued at approximately $4,021,963.48. This represents a 17.35% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at 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.

Zoom Communications Price Performance

NASDAQ ZM opened at $94.47 on Thursday. The business has a fifty day moving average price of $97.51 and a two-hundred day moving average price of $94.38. Zoom Communications, Inc. has a fifty-two week low of $70.70 and a fifty-two week high of $114.74. The stock has a market capitalization of $27.56 billion, a PE ratio of 27.04, a PEG ratio of 4.53 and a beta of 1.03.

Zoom Communications (NASDAQ:ZM) last issued its quarterly earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.48 by $0.07. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%. The company had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same quarter last year, the company posted $1.53 EPS. The company’s revenue for the quarter was up 4.9% compared to the same quarter last year. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. As a group, sell-side analysts expect that Zoom Communications, Inc. will post 4.27 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. T. Rowe Price Investment Management Inc. lifted its stake in Zoom Communications by 7.9% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 4,637,903 shares of the company’s stock worth $400,205,000 after purchasing an additional 341,104 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its position in Zoom Communications by 4.6% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 2,767,681 shares of the company’s stock valued at $238,823,000 after buying an additional 121,835 shares during the period. Pacer Advisors Inc. boosted its position in Zoom Communications by 10.8% during the first quarter. Pacer Advisors Inc. now owns 2,595,840 shares of the company’s stock valued at $208,680,000 after buying an additional 253,181 shares during the period. Dimensional Fund Advisors LP boosted its position in Zoom Communications by 4.2% during the first quarter. Dimensional Fund Advisors LP now owns 2,352,126 shares of the company’s stock valued at $189,051,000 after buying an additional 94,043 shares during the period. Finally, Altshuler Shaham Ltd grew its stake in shares of Zoom Communications by 1.2% during the fourth quarter. Altshuler Shaham Ltd now owns 2,043,218 shares of the company’s stock valued at $176,309,000 after buying an additional 24,246 shares during the last quarter. 66.54% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of research firms have issued reports on ZM. Royal Bank Of Canada reiterated an “outperform” rating and issued a $130.00 target price on shares of Zoom Communications in a research report on Wednesday, August 26th. KeyCorp reissued a “sector weight” rating on shares of Zoom Communications in a research note on Wednesday, August 26th. Cantor Fitzgerald reissued a “neutral” rating and issued a $104.00 target price on shares of Zoom Communications in a report on Monday, August 24th. Jefferies Financial Group dropped their target price on shares of Zoom Communications from $118.00 to $116.00 and set a “buy” rating for the company in a report on Wednesday, August 26th. Finally, Citizens Jmp restated a “market perform” rating on shares of Zoom Communications in a research note on Wednesday, August 26th. Fourteen investment analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $113.62.

Zoom Communications News Roundup

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

• Positive Sentiment: Zoomtopia could provide AI monetization evidence: RBC Capital Markets expects Zoomtopia to offer investors proof that the company can monetize its artificial-intelligence capabilities. Demonstrated customer adoption or increased AI-related revenue could support a renewed growth narrative for ZM. Zoom Communications’ Zoomtopia Expected to Offer AI Monetization Proof
• Positive Sentiment: Contact Center expands in Asia-Pacific: Toku is adding local numbering and PSTN connectivity for Zoom Contact Center, with the service selectable through Zoom’s web portal. The integration could improve regional competitiveness and encourage enterprise adoption. Toku Brings Carrier-Grade APAC Connectivity to Zoom Contact Center
• Neutral Sentiment: AI opportunity is promising, but conviction remains limited: A recent analysis described Zoom’s AI-driven growth potential as encouraging while stopping short of recommending the stock. The caution reflects uncertainty over whether AI can materially accelerate Zoom’s relatively modest growth and justify its valuation. Zoom Communications: AI-Driven Growth Inflection Appears Promising
• Negative Sentiment: Shares underperformed the broader market: ZM closed at $94.48 after a decline of 3.75% from the prior session, indicating weaker near-term investor sentiment. Zoom Communications Declines More Than Market
• Negative Sentiment: Several insiders sold stock: CFO Michelle Chang sold 8,489 shares, insider Velchamy Sankarlingam sold 7,645 shares, and Director Herbert Raymond McMaster sold 3,000 shares. The trades were made under pre-arranged plans, with two sales covering tax obligations, which reduces—but does not eliminate—the negative signaling effect. Zoom Communications Insider Selling

Zoom Communications Company Profile

Zoom Communications, Inc (NASDAQ:ZM), formerly known as Zoom Video Communications, is a cloud-based communications and collaboration technology company. Its platform enables organizations and individuals to connect through video meetings, voice communications, messaging, webinars and other digital collaboration tools.

The company’s Zoom Workplace platform includes products such as Zoom Meetings, Zoom Phone, Team Chat, Whiteboard and Zoom Rooms. Zoom also provides Zoom Contact Center, Zoom Events and other tools designed to support customer engagement, employee collaboration and hybrid work.