Zoom Communications (NASDAQ:ZM) Director Herbert Raymond Mcmaster Sells 3,000 Shares of Company Stock

Zoom Communications, Inc. (NASDAQ:ZM) Director Herbert Raymond Mcmaster sold 3,000 shares of the company’s stock in a transaction dated Thursday, October 8th. The stock was sold at an average price of $94.71, for a total transaction of $284,130.00. Following the sale, the director directly owned 8,479 shares in the company, valued at $803,046.09. This represents a 26.13% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Zoom Communications Trading Up 0.2%

NASDAQ ZM opened at $98.16 on Wednesday. Zoom Communications, Inc. has a 1-year low of $70.70 and a 1-year high of $114.74. The company has a 50 day moving average of $97.63 and a 200-day moving average of $94.28. The firm has a market cap of $28.64 billion, a price-to-earnings ratio of 26.98, a PEG ratio of 4.52 and a beta of 1.03.

Zoom Communications (NASDAQ:ZM) last announced its earnings results on Tuesday, August 25th. The company reported $1.55 EPS for the quarter, topping the consensus estimate of $1.48 by $0.07. The business had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.27 billion. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%. Zoom Communications’s revenue was up 4.9% compared to the same quarter last year. During the same period in the previous year, the business earned $1.53 EPS. 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. On average, analysts forecast that Zoom Communications, Inc. will post 4.27 earnings per share for the current year.

More Zoom Communications News

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

• Positive Sentiment: Expanded Zoom Contact Center connectivity: Toku is bringing local numbering and PSTN connectivity to Zoom Contact Center in Asia Pacific, allowing enterprises to select the provider directly through Zoom’s web portal. The integration could improve Zoom’s regional competitiveness and support Contact Center adoption. Toku Brings Carrier-Grade APAC Connectivity to Zoom Contact Center
• Positive Sentiment: AI growth opportunity remains a catalyst: A recent analysis argues that Zoom’s AI initiatives could create a growth inflection, while its prior quarterly results showed earnings and revenue modestly ahead of expectations. The company reported $1.55 in quarterly EPS on $1.28 billion in revenue, with revenue up 4.9% year over year. Zoom Communications: AI-Driven Growth Inflection Appears Promising – Still Not A Buy
• Neutral Sentiment: Valuation tempers optimism: The same analysis views AI-driven growth as promising but stops short of recommending the stock, reflecting concerns that ZM’s valuation may already discount a meaningful improvement in growth. The shares trade near their 50-day average and below the 52-week high, with a reported P/E ratio of about 27 and PEG ratio of 4.52.
• Negative Sentiment: Multiple insiders sold shares: CFO Michelle Chang sold 8,489 shares for approximately $844,316, while insider Velchamy Sankarlingam sold 7,645 shares for about $758,843. Director Herbert Raymond McMaster also sold 3,000 shares. The transactions were conducted under pre-arranged Rule 10b5-1 plans; the Chang and Sankarlingam sales were specifically made to cover tax withholding on vested equity awards, reducing—but not eliminating—the bearish signal. Zoom Communications Insider Trading Report

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on the company. Needham & Company LLC reissued a “buy” rating and issued a $130.00 target price on shares of Zoom Communications in a research note on Wednesday, August 26th. KeyCorp reaffirmed a “sector weight” rating on shares of Zoom Communications in a research note on Wednesday, August 26th. Rosenblatt Securities reiterated a “buy” rating and issued a $130.00 price target on shares of Zoom Communications in a report on Friday, August 21st. Bank of America began coverage on Zoom Communications in a report on Wednesday, August 19th. They issued a “buy” rating and a $130.00 price target on the stock. Finally, Royal Bank Of Canada reiterated an “outperform” rating and issued a $130.00 price objective on shares of Zoom Communications in a research report on Wednesday, August 26th. Fourteen equities research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $113.62.

Hedge Funds Weigh In On Zoom Communications

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ZM. T. Rowe Price Investment Management Inc. boosted its stake in Zoom Communications by 7.9% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 4,637,903 shares of the company’s stock worth $400,205,000 after acquiring an additional 341,104 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its holdings 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 purchasing an additional 121,835 shares during the period. Pacer Advisors Inc. increased its stake in Zoom Communications by 10.8% in the first quarter. Pacer Advisors Inc. now owns 2,595,840 shares of the company’s stock valued at $208,680,000 after purchasing an additional 253,181 shares in the last quarter. Dimensional Fund Advisors LP increased its stake in Zoom Communications by 4.2% in the first quarter. Dimensional Fund Advisors LP now owns 2,352,126 shares of the company’s stock valued at $189,051,000 after purchasing an additional 94,043 shares in the last quarter. Finally, Altshuler Shaham Ltd raised its holdings in Zoom Communications by 1.2% in the fourth quarter. Altshuler Shaham Ltd now owns 2,043,218 shares of the company’s stock worth $176,309,000 after purchasing an additional 24,246 shares during the period. Institutional investors own 66.54% of the company’s stock.

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.