Despite macro risks, I recommend rotating into value stocks like Zoom, which is undervalued relative to its strong fundamentals and cash position. The Company continues to add enterprise clients, improve churn rates, and has raised its full-year outlook, signaling ongoing stability and growth. ZM's profitability focus, strong free cash flow, and expanding AI capabilities make it a standout value in the S&P 500.
ZM sees strong enterprise growth and AI adoption, with Zoom AI Companion usage up 40% QoQ, which investors can see as a compelling entry point now.
Zoom (ZM) has been upgraded to a Zacks Rank #2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
19 May 2025 Date | | 1.31 Cons. EPS | 1.43 EPS |
24 Feb 2025 Date | | 1.35 Cons. EPS | 1.41 EPS |
25 Nov 2024 Date | | 1.31 Cons. EPS | 1.38 EPS |
18 Nov 2024 Date | | - Cons. EPS | - EPS |
21 Aug 2024 Date | | 1.21 Cons. EPS | 1.39 EPS |
19 May 2025 Date | | 1.31 Cons. EPS | 1.43 EPS |
24 Feb 2025 Date | | 1.35 Cons. EPS | 1.41 EPS |
25 Nov 2024 Date | | 1.31 Cons. EPS | 1.38 EPS |
18 Nov 2024 Date | | - Cons. EPS | - EPS |
21 Aug 2024 Date | | 1.21 Cons. EPS | 1.39 EPS |
Software - Application Industry | Technology Sector | Mr. Eric S. Yuan CEO | BCBA Exchange | US98980L1017 ISIN |
US Country | 7,412 Employees | - Last Dividend | - Last Split | 18 Apr 2019 IPO Date |
Zoom Video Communications, Inc., with its headquarters in San Jose, California, is a leading provider of unified communications platforms globally, including the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Since its incorporation in 2011, Zoom has grown to serve not just individual users but also a wide array of industries such as education, healthcare, finance, government, and more. Initially known as Zoom Communications, Inc., the company rebranded to Zoom Video Communications, Inc. in May 2012, reflecting its expanded offerings beyond just video communications. Zoom aims to connect people through its suite of collaborative tools, enabling more efficient and effective communication for users across various sectors.