Zoom stock surged more than 10% during the extended hours of trading. Analysts had predicted the company to post breakeven earnings on revenue of about $111 million. Zoom reported adjusted earnings of 3 cents per share on revenue of $122 million. Zoom Video Communications ( Nasdaq: ZM), which provides video and audio conferencing services, topped Wall Street’s views for its first quarter of fiscal 2020. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines. On the date of publication, Dana Blankenhorn held long positions in GOOGL and MSFT. So far, Zoom Video bulls are just nibbling on it, suggesting investors use options to limit their risk.Ĭaution seems wise. To earn even its current valuation, it must continue to grow on both the top and bottom lines. It must also stay on top of security problems that could deliver bad headlines.Īt seven times revenue, Zoom is still being priced like a growth stock, yet it only grew 12% year-over-year in its latest quarter. Whether Zoom has bottomed out depends on whether CEO Yuan can keep finding bargains like Solvvy that increase Zoom’s revenue opportunities. Even their highest price target is less than half the all-time high. At its low, just nine of 23 at Tipranks are telling clients to buy it. The Bottom Line on ZM StockĪnalysts loved Zoom Video stock at its height. Solvvy will be integrated into Zoom’s Contact Center. Instead, Zoom is buying Solvvy, a customer support company. Five9 how has a market cap below $7 billion.
#Zoom stock earnings software#
This was an effort last July to buy Five9 (NASDAQ: FIVN), a call center software company, for $14.7 billion in stock. The company also sells ads and hardware and invests in startups. Conferences that combine audio, video and chat are also easy to set up since it’s all in the cloud.
#Zoom stock earnings free#
Zoom’s rise against these giants came from a “freemium” business model, offering free basic services and add-ons via subscriptions.
#Zoom stock earnings Pc#
A tiny camera has been a fixture over PC screens for a decade. Cloud Czars like Alphabet (NASDAQ: GOOG, NASDAQ: GOOGL) and Microsoft (NASDAQ: MSFT) have also integrated video calls into their tools. The word Zoom became a verb.Īt the time of the pandemic, Cisco Systems (NASDAQ: CSCO) - where Zoom founder Eric Yuan had previously worked - had been trying to make money in videoconferencing for 15 years. As a result, people rushed to it when the pandemic hit. It just made it popular with simple, web-based software and a price that started at free. Two weeks before the latest earnings release came out, Piper Sandlin analyst James Fish finally pulled back his bullish call. Once people saw how high the sky was, the stock fell from it. It booked $1.07 billion for the last quarter of 2022. Zoom booked $882 million in revenue for its last quarter of fiscal 2021. At its height, roughly 30% of the money was reported as net income.īut growth did slow. Revenue has gone from a pre-pandemic $623 million to last year’s $4.1 billion. The fall of Zoom stock is hard to find in Zoom’s financial results, which have been excellent. Exxon Mobil is now worth over $400 billion. With oil prices in the dumper as people stayed home, the company was briefly worth more than Exxon Mobil (NYSE: XOM). At the height of the pandemic in October 2020, Zoom Video sold for almost $590.