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ZM logo ZM
Upturn stock ratingUpturn stock rating
ZM logo

Zoom Video Communications Inc (ZM)

Upturn stock ratingUpturn stock rating
$78.38
Last Close (24-hour delay)
Profit since last BUY-2.05%
upturn advisory
SELL
SELL since 4 days
  • BUY Advisory
  • SELL Advisory (Profit)​
  • SELL Advisory (Loss)​
  • Profit
  • Loss
  • Pass (Skip investing)
Upturn Stock infoUpturn Stock info Stock price based on last close
*as per simulation
(see disclosures)
Time period over
  • ALL
  • YEAR
  • MONTH
  • WEEK

Upturn Advisory Summary

06/27/2025: ZM (1-star) is a SELL. SELL since 4 days. Profits (-2.05%). Updated daily EoD!

Upturn Star Rating

ratingratingratingratingrating

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

These Stocks/ETFs, based on Upturn Advisory, frequently surpass the market, reflecting reliable and trustworthy advice.

Year Target Price $89.16

Year Target Price $89.16

Analyst’s Price TargetsFor last 52 week
$89.16Target price
Low$55.06
Current$78.38
high$92.8

Analysis of Past Performance

Type Stock
Historic Profit -19.53%
Avg. Invested days 37
Today’s Advisory SELL
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 06/27/2025

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 23.71B USD
Price to earnings Ratio 23.54
1Y Target Price 90.62
Price to earnings Ratio 23.54
1Y Target Price 90.62
Volume (30-day avg) -
Beta 0.69
52 Weeks Range 55.06 - 92.80
Updated Date 06/30/2025
52 Weeks Range 55.06 - 92.80
Updated Date 06/30/2025
Dividends yield (FY) -
Basic EPS (TTM) 3.33

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 22.31%
Operating Margin (TTM) 20.57%

Management Effectiveness

Return on Assets (TTM) 5.02%
Return on Equity (TTM) 12.19%

Valuation

Trailing PE 23.54
Forward PE 13.59
Enterprise Value 15982336768
Price to Sales(TTM) 5.05
Enterprise Value 15982336768
Price to Sales(TTM) 5.05
Enterprise Value to Revenue 3.4
Enterprise Value to EBITDA 16.26
Shares Outstanding 260280000
Shares Floating 259561658
Shares Outstanding 260280000
Shares Floating 259561658
Percent Insiders 0.26
Percent Institutions 74.23

Analyst Ratings

Rating 3.65
Target Price 89.16
Buy 1
Strong Buy 12
Buy 1
Strong Buy 12
Hold 19
Sell 1
Strong Sell 1
Strong Sell 1

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 in 2013. Initially focused on enterprise video conferencing, it experienced rapid growth during the COVID-19 pandemic, becoming a household name for remote work and education. Since then, it has diversified its offerings beyond basic video meetings.

business area logo Core Business Areas

  • Meetings: Zoom Meetings is the core product, providing video and audio conferencing for businesses and individuals.
  • Phone: Zoom Phone offers cloud-based phone system services, integrating with Zoom Meetings for unified communication.
  • Webinar: Zoom Webinar provides a platform for hosting large online events and webinars with interactive features.
  • Team Chat: Zoom Team Chat is a messaging platform integrated within Zoom for team collaboration and communication.
  • Contact Center: Zoom Contact Center is a cloud-based omnichannel contact center solution.

leadership logo Leadership and Structure

Eric S. Yuan is the founder and CEO. The company operates with a functional organizational structure, with departments focusing on engineering, sales, marketing, finance, and operations. Board includes executives and independent members.

Top Products and Market Share

overview logo Key Offerings

  • Zoom Meetings: The core video conferencing platform, offering various features like screen sharing, recording, and breakout rooms. Competitors include Microsoft Teams, Google Meet, and Cisco Webex. Zoom held 25% market share as of 2023 (source: various reports), which has decreased from the peak during the pandemic.
  • Zoom Phone: A cloud-based phone system integrated with Zoom Meetings. Competitors include Microsoft Teams Phone, RingCentral, and 8x8. Revenue from Zoom Phone is growing rapidly.
  • Zoom Webinar: A platform for hosting and managing online webinars and events. Competitors include ON24 and GoToWebinar.

Market Dynamics

industry overview logo Industry Overview

The video conferencing market is dynamic and competitive, driven by remote work, globalization, and digital transformation. It is undergoing consolidation, and the hybrid work environment is the future.

Positioning

Zoom is positioned as a user-friendly and reliable video communication platform, focusing on ease of use and seamless integration across devices. It faces competition from larger tech companies with integrated communication solutions.

Total Addressable Market (TAM)

The global unified communications market is projected to reach hundreds of billions of dollars. Zoom is positioned to capture a significant portion of this market, particularly in video conferencing and unified communication segments.

Upturn SWOT Analysis

Strengths

  • User-friendly interface
  • Reliable platform
  • Strong brand recognition
  • Scalable infrastructure
  • Large user base

Weaknesses

  • Security vulnerabilities (previously)
  • Competition from larger tech companies
  • Dependence on remote work trends
  • Pricing pressure

Opportunities

  • Expansion into new markets
  • Integration with other enterprise software
  • Development of new features and services
  • Partnerships and acquisitions
  • Growth in hybrid work environments

Threats

  • Increased competition
  • Economic downturn
  • Security breaches
  • Changes in remote work trends
  • Technological advancements by competitors

Competitors and Market Share

competitor logo Key Competitors

  • MSFT
  • GOOG
  • CSCO
  • RNG

Competitive Landscape

Zoom has strong brand recognition and ease of use, but faces strong competition from larger tech companies like Microsoft and Google that offer integrated communication solutions. Its ability to innovate and adapt to changing market needs will be crucial.

Major Acquisitions

Workvivo

  • Year: 2023
  • Acquisition Price (USD millions): 650
  • Strategic Rationale: Acquisition of Workvivo, an employee engagement platform, strengthens Zoom's offering within the employee experience market.

Growth Trajectory and Initiatives

Historical Growth: Zoom experienced explosive growth during the COVID-19 pandemic, followed by a slowdown as the economy reopened and competition intensified.

Future Projections: Analysts project moderate growth for Zoom, driven by its expansion into new markets and services.

Recent Initiatives: Recent initiatives include expanding Zoom Phone offerings, investing in AI, and focusing on enterprise customers.

Summary

Zoom is a leading video communications platform with strong brand recognition, but it faces intense competition from larger tech companies. Its user-friendly interface and reliable platform are key strengths, while security vulnerabilities and dependence on remote work trends are challenges. To sustain growth, Zoom must focus on innovation, expansion into new markets, and strategic acquisitions.

Peer Comparison

Sources and Disclaimers

Data Sources:

  • Company SEC Filings
  • Industry Reports
  • Analyst Estimates
  • Public news sources

Disclaimers:

This analysis is for informational purposes only and does not constitute financial advice. Market conditions and company performance can change rapidly. Please consult with a financial professional before making any investment decisions.

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.