(ZM) Zoom Video Communications - Overview

Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US98980L1017

Stock:

Total Rating 45

Risk 91

Buy Signal -0.48

Software - Application +10.2
Application Software +7.7

Market Cap: 26,191m
Avg Trading Vol: 384M USD

ATR: 6.07%
Peers RS (IBD): 72.79

Risk 5d forecast
Volatility	33.9%
Relative Tail Risk	-7.09%

Reward TTM
Sharpe Ratio	0.11
Alpha	-16.54

Character TTM
Beta	0.962
Beta Downside	0.706

Drawdowns 3y
Max DD	25.45%
CAGR/Max DD	0.06

EPS (Earnings per Share)

EPS CAGR: 12.55%
EPS Trend: 17.5%

Last SUE: 4.00
Qual. Beats: 13

Revenue

Rev. CAGR: 3.75%
Rev. Trend: 97.7%

Last SUE: 2.10
Qual. Beats: 3

Description: ZM Zoom Video Communications

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.

Piotroski VR‑10 (Strict, 0-10) 6.5

Net Income: 1.59b TTM > 0 and > 6% of Revenue
FCF/TA: 0.18 > 0.02 and ΔFCF/TA 1.42 > 1.0
NWC/Revenue: 136.9% < 20% (prev 144.3%; Δ -7.40% < -1%)
CFO/TA 0.18 > 3% & CFO 2.06b > Net Income 1.59b
Net Debt (-1.18b) to EBITDA (1.23b): -0.96 < 3
Current Ratio: 4.36 > 1.5 & < 3
Outstanding Shares: last quarter (308.7m) vs 12m ago -1.75% < -2%
Gross Margin: 76.89% > 18% (prev 0.76%; Δ 7613 % > 0.5%)
Asset Turnover: 43.55% > 50% (prev 43.33%; Δ 0.22% > 0%)
Interest Coverage Ratio: -1.21 > 6 (EBITDA TTM 1.23b / Interest Expense TTM -910.2m)

Altman Z'' 8.41

A: 0.58 (Total Current Assets 8.54b - Total Current Liabilities 1.96b) / Total Assets 11.39b
B: 0.44 (Retained Earnings 5.03b / Total Assets 11.39b)
C: 0.10 (EBIT TTM 1.10b / Avg Total Assets 11.04b)
D: 2.39 (Book Value of Equity 5.04b / Total Liabilities 2.10b)
Altman-Z'' Score: 8.41 = AAA

Beneish M -2.94

DSRI: 0.88 (Receivables 417.7m/458.0m, Revenue 4.81b/4.63b)
GMI: 0.99 (GM 76.89% / 75.83%)
AQI: 1.35 (AQ_t 0.22 / AQ_t-1 0.16)
SGI: 1.04 (Revenue 4.81b / 4.63b)
TATA: -0.04 (NI 1.59b - CFO 2.06b) / TA 11.39b)
Beneish M-Score: -2.94 (Cap -4..+1) = A

What is the price of ZM shares?

As of March 01, 2026, the stock is trading at USD 73.94 with a total of 7,478,987 shares traded.
Over the past week, the price has changed by -18.11%, over one month by -21.71%, over three months by -12.97% and over the past year by +1.45%.

Is ZM a buy, sell or hold?

Zoom Video Communications has received a consensus analysts rating of 3.65. Therefor, it is recommend to hold ZM.

StrongBuy: 12
Buy: 1
Hold: 19
Sell: 1
StrongSell: 1

What are the forecasts/targets for the ZM price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	97.8	32.2%
Analysts Target Price	97.8	32.2%

ZM Fundamental Data Overview February 26, 2026

P/E Trailing = 17.0253
P/E Forward = 13.6612
P/S = 5.4497
P/B = 2.7501
P/EG = 2.7146
Revenue TTM = 4.81b USD
EBIT TTM = 1.10b USD
EBITDA TTM = 1.23b USD
Long Term Debt = 48.5m USD (from capitalLeaseObligations, last quarter)
Short Term Debt = 20.4m USD (from shortTermDebt, last quarter)
Debt = 48.5m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -1.18b USD (from netDebt column, last quarter)
Enterprise Value = 25.02b USD (26.19b + Debt 48.5m - CCE 1.22b)
Interest Coverage Ratio = -1.21 (Ebit TTM 1.10b / Interest Expense TTM -910.2m)
EV/FCF = 12.50x (Enterprise Value 25.02b / FCF TTM 2.00b)
FCF Yield = 8.00% (FCF TTM 2.00b / Enterprise Value 25.02b)
FCF Margin = 41.64% (FCF TTM 2.00b / Revenue TTM 4.81b)
Net Margin = 33.17% (Net Income TTM 1.59b / Revenue TTM 4.81b)
Gross Margin = 76.89% ((Revenue TTM 4.81b - Cost of Revenue TTM 1.11b) / Revenue TTM)
Gross Margin QoQ = 77.90% (prev 77.56%)
Tobins Q-Ratio = 2.20 (Enterprise Value 25.02b / Total Assets 11.39b)
Interest Expense / Debt = 69.10% (Interest Expense 33.5m / Debt 48.5m)
Taxrate = 22.88% (181.8m / 794.7m)
NOPAT = 847.4m (EBIT 1.10b * (1 - 22.88%))
Current Ratio = 4.36 (Total Current Assets 8.54b / Total Current Liabilities 1.96b)
Debt / Equity = 0.01 (Debt 48.5m / totalStockholderEquity, last quarter 9.29b)
Debt / EBITDA = -0.96 (Net Debt -1.18b / EBITDA 1.23b)
Debt / FCF = -0.59 (Net Debt -1.18b / FCF TTM 2.00b)
Total Stockholder Equity = 9.02b (last 4 quarters mean from totalStockholderEquity)
RoA = 14.44% (Net Income 1.59b / Total Assets 11.39b)
RoE = 17.67% (Net Income TTM 1.59b / Total Stockholder Equity 9.02b)
RoCE = 12.12% (EBIT 1.10b / Capital Employed (Equity 9.02b + L.T.Debt 48.5m))
RoIC = 9.40% (NOPAT 847.4m / Invested Capital 9.02b)
WACC = 9.44% (E(26.19b)/V(26.24b) * Re(9.46%) + (debt cost/tax rate unavailable))
Discount Rate = 9.46% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.27%
[DCF] Terminal Value 74.86% ; FCFF base≈1.89b ; Y1≈2.12b ; Y5≈2.83b
[DCF] Fair Price = 146.8 (EV 37.81b - Net Debt -1.18b = Equity 38.99b / Shares 265.6m; r=9.44% [WACC]; 5y FCF grow 14.12% → 2.90% )
EPS Correlation: 17.51 | EPS CAGR: 12.55% | SUE: 4.0 | # QB: 13
Revenue Correlation: 97.74 | Revenue CAGR: 3.75% | SUE: 2.10 | # QB: 3
EPS next Quarter (2026-04-30): EPS=0.82 | Chg7d=+0.001 | Chg30d=+0.001 | Revisions Net=-1 | Analysts=7
EPS next Year (2027-01-31): EPS=3.55 | Chg7d=+0.000 | Chg30d=+0.000 | Revisions Net=+5 | Growth EPS=-26.6% | Growth Revenue=+3.5%
[Analyst] Revisions Ratio: -0.20 (2 Up / 3 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = 3.6% (Discount Rate 9.5% - Earnings Yield 5.9%)
[Growth] Growth Spread = +0.4% (Analyst 4.0% - Implied 3.6%)

Additional Sources for ZM Stock

News: Wall Street Journal | Benzinga | Yahoo Finance
Fund Manager Positions: Dataroma | Stockcircle