Needham & Company LLC Reiterates “Hold” Rating for Zoom Video Communications (NASDAQ:ZM)

Needham & Company LLC reiterated their hold rating on shares of Zoom Video Communications (NASDAQ:ZM) in a research note published on Friday morning, Benzinga reports.

A number of other brokerages also recently issued reports on ZM. Rosenblatt Securities reissued a buy rating and set a $78.00 price target on shares of Zoom Video Communications in a report on Friday, October 4th. Morgan Stanley lowered their price target on shares of Zoom Video Communications from $72.00 to $68.00 and set an equal weight rating on the stock in a report on Friday, June 14th. Benchmark increased their price target on shares of Zoom Video Communications from $83.00 to $85.00 and gave the stock a buy rating in a report on Thursday, October 10th. Wells Fargo & Company increased their price target on shares of Zoom Video Communications from $55.00 to $60.00 and gave the stock an underweight rating in a report on Thursday, August 22nd. Finally, Royal Bank of Canada reissued an outperform rating and set a $95.00 price target on shares of Zoom Video Communications in a report on Thursday, October 10th. Two investment analysts have rated the stock with a sell rating, fourteen have issued a hold rating and five have given a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of Hold and a consensus target price of $75.05.

Zoom Video Communications Price Performance

ZM stock opened at $67.89 on Friday. The firm’s fifty day simple moving average is $65.86 and its 200-day simple moving average is $62.47. The company has a market capitalization of $21.00 billion, a P/E ratio of 25.33, a price-to-earnings-growth ratio of 6.11 and a beta of -0.04. Zoom Video Communications has a 12 month low of $55.06 and a 12 month high of $74.77.

Zoom Video Communications (NASDAQ:ZM) last released its quarterly earnings data on Wednesday, August 21st. The company reported $1.39 EPS for the quarter, beating the consensus estimate of $1.21 by $0.18. The business had revenue of $1.16 billion for the quarter, compared to the consensus estimate of $1.15 billion. Zoom Video Communications had a net margin of 19.08% and a return on equity of 10.77%. The business’s revenue for the quarter was up 2.1% on a year-over-year basis. During the same period in the prior year, the firm earned $0.55 EPS. As a group, sell-side analysts forecast that Zoom Video Communications will post 2.74 earnings per share for the current year.

Insider Activity

In related news, COO Aparna Bawa sold 10,332 shares of the firm’s stock in a transaction dated Thursday, July 18th. The shares were sold at an average price of $56.81, for a total transaction of $586,960.92. Following the completion of the sale, the chief operating officer now directly owns 1,978 shares in the company, valued at approximately $112,370.18. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In related news, COO Aparna Bawa sold 10,332 shares of the firm’s stock in a transaction dated Thursday, July 18th. The shares were sold at an average price of $56.81, for a total transaction of $586,960.92. Following the completion of the sale, the chief operating officer now directly owns 1,978 shares in the company, valued at approximately $112,370.18. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Janet Napolitano sold 4,477 shares of the firm’s stock in a transaction dated Wednesday, October 9th. The stock was sold at an average price of $69.39, for a total transaction of $310,659.03. Following the sale, the director now owns 2,984 shares of the company’s stock, valued at approximately $207,059.76. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 145,074 shares of company stock worth $9,595,146 over the last three months. Insiders own 10.78% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of ZM. Creative Planning boosted its stake in shares of Zoom Video Communications by 18.5% in the third quarter. Creative Planning now owns 34,522 shares of the company’s stock valued at $2,408,000 after purchasing an additional 5,396 shares during the period. Harrington Investments INC raised its holdings in Zoom Video Communications by 12.4% during the third quarter. Harrington Investments INC now owns 18,645 shares of the company’s stock worth $1,300,000 after purchasing an additional 2,055 shares in the last quarter. Burns Matteson Capital Management LLC acquired a new stake in Zoom Video Communications during the third quarter worth approximately $397,000. Wynn Capital LLC increased its holdings in shares of Zoom Video Communications by 5.8% in the 3rd quarter. Wynn Capital LLC now owns 9,834 shares of the company’s stock valued at $686,000 after acquiring an additional 540 shares during the period. Finally, Livforsakringsbolaget Skandia Omsesidigt increased its holdings in shares of Zoom Video Communications by 340.9% in the 3rd quarter. Livforsakringsbolaget Skandia Omsesidigt now owns 3,104 shares of the company’s stock valued at $216,000 after acquiring an additional 2,400 shares during the period. Hedge funds and other institutional investors own 66.54% of the company’s stock.

About Zoom Video Communications

Zoom Video Communications, Inc provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices.