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Upturn stock ratingUpturn stock rating
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Zoom Video Communications Inc (ZM)

Upturn stock ratingUpturn stock rating
$80.28
Last Close (24-hour delay)
Profit since last BUY-3.84%
upturn advisory
WEAK BUY
BUY since 28 days
  • BUY Advisory
  • SELL Advisory (Profit)​
  • SELL Advisory (Loss)​
  • Profit
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Upturn Stock infoUpturn Stock info Stock price based on last close
*as per simulation
(see disclosures)
Time period over
  • ALL
  • YEAR
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Upturn Advisory Summary

10/10/2025: ZM (1-star) has a low Upturn Star Rating. Not recommended to BUY.

Upturn Star Rating

rating

Not Recommended Performance

These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.

Number of Analysts

rating

34 Analysts rated it

Highly popular stock, broad analyst coverage, trusted insights, strong investor interest.

1 Year Target Price $92.77

1 Year Target Price $92.77

Analysts Price Target For last 52 week
$92.77 Target price
52w Low $64.41
Current$80.28
52w High $92.8

Analysis of Past Performance

Type Stock
Historic Profit -22.63%
Avg. Invested days 36
Today’s Advisory WEAK BUY
Upturn Star Rating Upturn stock ratingUpturn stock rating
Upturn Advisory Performance Upturn Advisory Performance 2.0
Stock Returns Performance Upturn Returns Performance 1.0
Upturn Profits based on simulationUpturn Profits based on simulation Profits based on simulation
Upturn Profits based on simulationUpturn Profits based on simulation Last Close 10/10/2025

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 24.03B USD
Price to earnings Ratio 21.13
1Y Target Price 92.77
Price to earnings Ratio 21.13
1Y Target Price 92.77
Volume (30-day avg) 34
Beta 0.78
52 Weeks Range 64.41 - 92.80
Updated Date 10/11/2025
52 Weeks Range 64.41 - 92.80
Updated Date 10/11/2025
Dividends yield (FY) -
Basic EPS (TTM) 3.8

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 24.99%
Operating Margin (TTM) 26.43%

Management Effectiveness

Return on Assets (TTM) 5.64%
Return on Equity (TTM) 13.6%

Valuation

Trailing PE 21.13
Forward PE 13.66
Enterprise Value 16889166295
Price to Sales(TTM) 5.05
Enterprise Value 16889166295
Price to Sales(TTM) 5.05
Enterprise Value to Revenue 3.55
Enterprise Value to EBITDA 15.28
Shares Outstanding 266453609
Shares Floating 264140821
Shares Outstanding 266453609
Shares Floating 264140821
Percent Insiders 0.25
Percent Institutions 73.19

ai summary icon Upturn AI SWOT

Zoom Video Communications Inc

stock logo

Company Overview

overview logo History and Background

Zoom Video Communications, Inc. was founded in 2011 by Eric Yuan and launched its services in 2013. Initially focused on video conferencing, it gained significant traction during the COVID-19 pandemic as remote work and virtual interactions became prevalent. The company has expanded its offerings beyond video calls to encompass a broader suite of communication and collaboration tools.

business area logo Core Business Areas

  • Meetings: Zoom Meetings offers video, audio, and screen-sharing capabilities for meetings and collaboration.
  • Phone: Zoom Phone provides a cloud-based phone system integrated with the Zoom platform.
  • Webinars: Zoom Webinars allows users to host and participate in online events.
  • Team Chat: Zoom Team Chat facilitates persistent messaging and file sharing for teams.
  • Contact Center: Zoom Contact Center offers a cloud-based omnichannel solution for customer service.

leadership logo Leadership and Structure

Eric S. Yuan serves as the CEO and Chairman. The company has a typical corporate structure with departments for engineering, sales, marketing, finance, and operations. The organization is structured around product lines and geographic regions.

Top Products and Market Share

overview logo Key Offerings

  • Zoom Meetings: Zoom Meetings is the flagship product, offering video conferencing for businesses and individuals. As of 2023, it had a significant share of the video conferencing market, with estimates ranging around 25%-30%. Competitors include Microsoft Teams, Google Meet, and Cisco Webex.
  • Zoom Phone: Zoom Phone provides cloud-based phone services, integrated with the Zoom platform. Zoom Phone's market share is growing, competing with established players like RingCentral, 8x8, and Microsoft Teams Phone. Zoom Phone has over 7 million paid seats as of Q1 2024 and generating around $1 Billion in annual revenue.
  • Zoom Team Chat: Zoom Team Chat is Zoom's messaging platform that is embedded in the Zoom App and accessible across desktop, mobile, and web clients. Zoom Team Chat competes with Slack and Microsoft Teams.

Market Dynamics

industry overview logo Industry Overview

The unified communications and collaboration market is experiencing continuous growth driven by remote work trends and the need for seamless communication solutions. Cloud-based solutions are gaining popularity over on-premise systems. Competition is intense with a number of established players and new entrants.

Positioning

Zoom positions itself as a user-friendly and reliable communication platform with a strong focus on video quality and ease of use. Its competitive advantages include its established brand recognition and wide adoption, especially for video meetings.

Total Addressable Market (TAM)

The Unified Communications as a Service (UCaaS) market is expected to reach hundreds of billions of dollars in the coming years. Zoom is positioned to capture a significant portion of this market with its expanding product suite and existing customer base.

Upturn SWOT Analysis

Strengths

  • Strong brand recognition
  • User-friendly interface
  • Reliable video quality
  • Scalable platform
  • Extensive ecosystem of integrations

Weaknesses

  • Security concerns (historically)
  • Dependence on a single product (Meetings)
  • Competition from larger tech companies
  • Price sensitivity in some markets

Opportunities

  • Expansion into new markets
  • Development of new products and services
  • Partnerships with other companies
  • Increased adoption of remote work
  • Growth in demand for cloud-based communication solutions

Threats

  • Intense competition
  • Economic downturn
  • Security breaches
  • Changing customer preferences
  • Technological advancements

Competitors and Market Share

competitor logo Key Competitors

  • MSFT
  • GOOGL
  • CSCO

Competitive Landscape

Zoom's advantages include ease of use and strong brand recognition. Disadvantages include intense competition and potential security vulnerabilities. Microsoft and Google have the advantage of bundling their communication tools with their other services.

Major Acquisitions

Workvivo

  • Year: 2023
  • Acquisition Price (USD millions): 650
  • Strategic Rationale: Acquisition of Workvivo, an employee engagement platform, to enhance Zoomu2019s employee experience offerings and strengthen its position in the collaboration market.

Growth Trajectory and Initiatives

Historical Growth: Zoom experienced exponential growth during the pandemic due to the surge in demand for video conferencing solutions. Growth has since normalized.

Future Projections: Analysts project continued growth, albeit at a slower pace, driven by expansion into new markets and product diversification. Zoom is expected to have approximately 180,800 enterprise customers by the end of FY 2025.

Recent Initiatives: Recent initiatives include expanding its product portfolio with Zoom Contact Center and Zoom AI Companion. Company is investing in artificial intelligence and aiming for enhanced productivity and efficiency for its customers.

Summary

Zoom is a prominent player in the unified communications market, known for its user-friendly video conferencing platform. The company experienced significant growth during the pandemic, but growth has slowed as the market normalizes. Zoom's strengths lie in its brand recognition and ease of use. However, intense competition and security concerns remain challenges. Expanding its product portfolio and addressing security issues are crucial for future success.

Peer Comparison

Sources and Disclaimers

Data Sources:

  • Zoom Investor Relations
  • Market Research Reports
  • Analyst Estimates
  • Company Filings

Disclaimers:

This analysis is based on publicly available information and analyst estimates. Actual results may vary. This is not financial advice.

Upturn AI SummarizationUpturn AI Summarization AI Summarization is directionally correct and might not be accurate.

Upturn AI SummarizationUpturn AI Summarization Summarized information shown could be a few years old and not current.

Upturn AI SummarizationUpturn AI Summarization Fundamental Rating based on AI could be based on old data.

Upturn AI SummarizationUpturn AI Summarization AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.

About Zoom Video Communications Inc

Exchange NASDAQ
Headquaters San Jose, CA, United States
IPO Launch date 2019-04-18
Founder, President, CEO & Chairman Mr. Eric S. Yuan
Sector Technology
Industry Software - Application
Full time employees 7412
Full time employees 7412

Zoom Communications Inc. provides an Artificial Intelligence-first work platform for human connection 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, a cloud phone system; and Zoom Team Chat enables users to share messages, images, files, and content in desktop, laptop, tablet, and mobile devices. It also provides Zoom Mail and Calendar; Zoom Workflow Automation, a no-code workflow builder that helps users build workflows across Zoom Workplace and third-party applications; Zoom Docs, a modular workspace; Zoom Whiteboard, an interactive canvas; and Zoom Clips for capturing video and screen content. In addition, the company offers Zoom Contact Center, an omnichannel contact center solution; Zoom Revenue Accelerator, a conversation intelligence software for Zoom Meetings and Zoom Phone; Zoom Events to manage, host, market, and report on all of virtual and hybrid events; Zoom Sessions that allows customers to use the signature features; and Zoom Webinars which supports interactive video presentations to large audiences. Further, it provides Workvivo, an all-in-one employee experience platform; Zoom Rooms, a software-based conference room system; Workspace Reservation; Zoom Developer Platform; App Marketplace which integrates platform with other applications, platforms, websites, and services; and Zoom Apps. It serves individuals; and education, entertainment/media, enterprise infrastructure, finance, government, healthcare, manufacturing, non-profit/not for profit and social impact, retail/consumer products, and software/Internet industries. The company was formerly known as Zoom Video Communications, Inc. and changed its name to Zoom Communications, Inc. in November 2024. The company was incorporated in 2011 and is headquartered in San Jose, California.