At the last check on Monday, Zoom Video Communications Inc.’s (NASDAQ:ZM) stock was down -$0.83, moving down -1.19 percent to $69.06. The average number of shares traded per day over the past five days has been 2,633,660 shares. 1 time new highs have been achieved over the past 5 days, with a -$4.02 fall in that time frame. In the last twenty days, the average volume was 3,330,160, while in the previous 50 days, it was 3,736,128.
Since last month, ZM stock rose 6.76%. Shares of the company fell to $64.33 on 07/06/23, the lowest level in the past month. A 52-week high of $119.82 was reached on 02/07/23 after having rallying from a 52-week low of $60.45. Since the beginning of this year, ZM’s stock price has risen by 1.95% or $1.32, and marked a new high 9 times. However, the stock has declined by -42.36% since its 52-week high.
ZM stock investors should be aware that Zoom Video Communications Inc. (ZM) stock had its last reported insider trading activity 8 days ago on Jul 28. Steckelberg Kelly, the Chief Financial Officer of the company, disposed of 10,960 shares for $73.61 on Jul 28. It resulted in a $806,718 divestment by the insider. Chadwick Jonathan sold 5,000 shares at an average price of $75.00 on Jul 19. The insider now owns 882 shares following the transaction. On Jul 13, Chief Financial Officer Steckelberg Kelly sold 10,960 shares at $70.88 apiece. The transaction was valued at $776,816.
Valuation Metrics
The stock’s beta is -0.21. Besides these, the trailing price-to-sales (P/S) ratio of 4.60, the price-to-book (PB) ratio of 3.13, and the price-to-cash flow ratio of 18.95 may also be considered.
Financial Health
In the three months ended April 29, Zoom Video Communications Inc.’s quick ratio stood at 3.60, while its current ratio was 3.60, showing that the company is able to pay off its debt. On the profitability front, the trailing twelve-month gross margin is 75.20% percent. In the year ended April 29, EBITDA margin amounted to 14.02%, whereas operating margins totaled 1.50%. Based on annual data, ZM earned $3.29 billion in gross profit and brought in $4.39 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 1.60%. Return on equity (ROE) for the past 12 months was 0.10%.
According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. ZM’s revenue rose 2.86% to $824.71 million during the quarter, while net income inched up to $1.11 billion. While analysts expected Zoom Video Communications Inc. to report $0.89 quarterly earnings, the actual figure was $1.04 per share, beating the consensus estimate by 16.90%. During the quarter, the company generated $100.28 million in EBITDA. The liabilities of Zoom Video Communications Inc. were 2.01 billion at the end of its most recent quarter ended April 29, and its total debt was $91.13 million. The value of shareholders’ equity is $297.55 million.
Technical Picture
This quick technical analysis looks at Zoom Video Communications Inc.’s (ZM) price momentum. With a historical volatility rate of 29.14%, the RSI 9-day stood at 41.27% on 04 August.
With respect to its five-day moving average, the current Zoom Video Communications Inc. price is down by -5.50% percent or -$4.02. At present, ZM shares trade +5.16% above its 20-day simple moving average and +0.57% percent above its 100-day simple moving average. However, the stock is currently trading approximately +5.19% above its SMA50 and -9.95% below its SMA200.
Stochastic coefficient K was 16.43% and Stochastic coefficient D was 35.31%, while ATR was 2.22. Given the Stochastic reading of 8.00% for the 14-day period, the RSI (14) reading has been calculated as 46.32%. As of today, the MACD Oscillator reading stands at -1.61, while the 14-day reading stands at -1.64.
Analyst Ratings
MoffettNathanson upgraded its rating on Zoom Video Communications Inc. (NASDAQ: ZM) to a Market perform in a note to investors on May 23, 2023. The analysts firm previously had an Underperform rating on the stock.Zoom Video Communications Inc. (ZM) has been rated Hold by analysts. According to 1 brokerage firm, ZM is a sell, and 26 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 1 analyst rate Zoom Video Communications Inc. stock as buy, with 6 recommending it as overweight.
With a median target price of $80.00, the current consensus forecast for the stock is $65.00 – $105.00. Based on these forecasts, analysts predict Zoom Video Communications Inc. (ZM) will achieve an average price target of $82.84.
