ZM logo
Zoom Communications Inc.
ZM
77.27 (-0.37%) 0.29
23.38(B)
Information Technology
Software
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.
My Holdings:
(?% ownership)
Shares:
Cost basis:
Market cap:$23.38(B)
EV:$14.25(B)
Total Equity:$8.90(B)
Div. yield:0.00%
Earnings date:Aug-18-2025
P/E:22.59
P/E (fwd):13.77
P/FCF:13.77
P/S:5.05
P/B:2.63
EPS:$3.4
EPS (fwd):$5.6
FCF/share:$5.6
Dividend/share:$0.0
Book value/share:$29.3
ROIC:12.1%
ROA:9.9%
ROE:12.2%

ZM Valuation & Price Targets

  Current Price
77.27
PE Valuation
N/A
PEvaluation is not available for ZM.
Analyst targets
N/A
No analyst estimates for ZM.
DCF
N/A
Adjust your assumptions to reach a valid valuation.
DCF (exit mult.)
N/A
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Future P/E
N/A
Adjust your assumptions to reach a valid valuation.
Peter Lynch FV
N/A
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Graham No.
N/A
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DDM
N/A
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PEvaluation

20% undervalued
Low
$69.6
Mid
$92.8
High
$116.0
Current price
$77.3
Fair P/E
Margin of safety
Market Model
Shares outstan...ROICRevenue growthDebt/FCFAssets/Liabili...
Economic moat: Medium

Analyst Price Targets

15% undervalued
Low
$65.0
Mid
$89.0
High
$115.0
Current price
$77.3
Strong Buy3
Buy13
Hold18
Sell0
Strong Sell1

Estimated EPS

LowAvgHigh#
FY+15.55.66.029
FY+25.25.76.831
FY+35.05.97.515
FY+45.05.96.54
FY+55.16.16.84

Discounted Cash Flow

Forecast years
Terminal Growth Rate
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%

Discounted Cash Flow (exit mult.)

Forecast years
Exit FCF Multiple
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%

Future P/E Valuation

Projection Years
Base Revenue
Revenue Growth Rate
Final Net Margin
Final P/E Ratio
Discount Rate

Peter Lynch Fair Value

Earnings Per Share
Growth Rate (*)

(*) Growth rate is capped between 0 and 25

Graham Formula

Earnings Per Share
Expected Growth Rate
Government Bond Rate

(*) Growth rate is capped to 25

Dividend Discount Model

Annual Dividend
First Stage Length (Years)
First Stage Growth Rate
Final Growth Rate
Discount Rate

(*) First stage rowth rate is capped to 20%

Based on 0 valuation methods, the average fair value estimate for ZM is $N/A (NaN% overvalued).

Valuations range from $1.7976931348623157e+308 (N/A) to $0.0 (N/A).

TTM Financials

Income (TTM)

RevenueGrossNet
Revenue$4.70(B)
Gross profit$3.56(B)
EBITDA$984.50(M)
Net income$1.05(B)
Gross margin75.8%
Operating margin18.1%
Net margin22.3%
Shares outstanding:302.55(M)

Balance sheet

Cash & ST inv.Other ST assetsLong term assetsCurrent liabilitiesLong term debtOther LT liabilitiesEquity
Total assets$10.95(B)
Current assets$8.67(B)
Total liabilities$2.05(B)
Current liabilities$1.90(B)
Cash & Short-term inv.$7.79(B)
Long-term debt$0
Total intangibles$362.65(M)
PP&E$365.43(M)

Cash flow (TTM)

CFOCFICFF
FCF$1.70(B)
CapEx$-143.96(M)
Dividends paid$0
Stock issued$67.85(M)
Stock repurchased$-1.44(B)
Stock-based comp.$903.45(M)
Debt issued$0
Debt repaid$0

Per share data (TTM)

Price: $77.3
Revenue: $15.3 (5.1x | 19.8%) Gross profit: $11.8 (6.6x | 15.2%) Earnings: $3.42 (22.6x | 4.4%)
FCF: $5.61 (13.8x | 7.3%) Stock-based Comp.: $2.99 (25.9x | 3.9%) Dividend: $0.00 (N/A | 0.0%)
Total Assets: $36.2 (2.1x | 46.8%) Total Liabilities: $6.77 (11.4x | 8.8%) Book Value: $29.3 (2.6x | 38.0%) Cash & ST inv.: $25.8 (3.0x | 33.3%) Debt: $0.00 (N/A | 0.0%)

Growth Estimates

Revenue

CAGR: 3.0%
FY+1FY+2FY+3FY+4FY+5
FY+1$4.81(B)
FY+2(+3.0%)$4.95(B)
FY+3(+3.8%)$5.14(B)
FY+4(+2.3%)$5.26(B)
FY+5(+2.9%)$5.42(B)

Net Income

CAGR: 2.4%
FY+1FY+2FY+3FY+4FY+5
FY+1$1.75(B)
FY+2(+2.0%)$1.78(B)
FY+3(+4.2%)$1.86(B)
FY+4(+0.3%)$1.86(B)
FY+5(+3.2%)$1.92(B)

EPS

CAGR: 2.0%
FY+1FY+2FY+3FY+4FY+5
FY+1$5.61
FY+2(+1.1%)$5.67
FY+3(+4.6%)$5.93
FY+4(-1.0%)$5.87
FY+5(+3.4%)$6.07

FCF per share

CAGR: 4.4%
FY+1FY+2FY+3FY+4FY+5
FY+1$6.36
FY+2(+9.3%)$6.95
FY+3(+6.5%)$7.40
FY+4(+1.6%)$7.52
FY+5(+0.5%)$7.56

Historical Financials

Showing limited histrical data. Access 10+ years of financials now! Upgrade
YearlyQuarterly
Income
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025TTM5Y avg5Y CAGR
Revenue2.65(B)4.10(B)4.39(B)4.53(B)4.67(B)4.70(B)4.07(B)15%
COGS821.99(M)1.05(B)1.10(B)1.08(B)1.13(B)1.13(B)1.04(B)8%
Gross Profit1.83(B)3.05(B)3.29(B)3.45(B)3.54(B)3.56(B)3.03(B)18%
Total OpEx.1.17(B)1.98(B)3.05(B)2.92(B)2.72(B)2.71(B)2.37(B)24%
  R&D164.08(M)362.99(M)774.06(M)803.19(M)852.41(M)852.27(M)591.35(M)51%
  SG&A1.01(B)1.62(B)2.27(B)2.12(B)1.87(B)1.86(B)1.78(B)17%
Operating Income659.85(M)1.06(B)245.43(M)525.28(M)813.29(M)851.87(M)661.49(M)5%
Interest Expense0.000.000.000.000.000.000.00N/A%
Interest Income18.19(M)0.000.000.000.000.003.64(M)-100%
Pre-tax income678.03(M)1.10(B)249.28(M)832.31(M)1.32(B)1.34(B)835.37(M)18%
Income tax-5.72(M)274.01(M)-145.56(M)-194.85(M)-305.35(M)-290.85(M)-75.49(M)170%
Net Income672.32(M)1.38(B)103.71(M)637.46(M)1.01(B)1.05(B)759.87(M)11%
Cash flow
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
Stock-based Comp.FCFCFONet IncomeD&ACFFStock IssuedStock RepurchasedDebt IssuedDebt RepaidDividend PaidCFIAcquisitionsDivestituresCapital Expenditures
Balance sheet
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
Total AssetsTotal LiabilitiesCurrent assetsCash and EquivalentsShort-term investmentsInventoriesReceivablesNon-current assetsNet PP&EIntangible AssetsGoodwillCurrent liabilitiesAccounts payableNon-current liabilitiesLong-Term DebtTotal Equity
Per share data
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
EPS (Basic)FCF/ShareDividend/ShareEPS (Diluted)Book value/ShareCash & ST inv./ShareDebt/Share
Ratios
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
P/EP/SEV/EarningsP/FCFP/BEV/FCFDebt/EquityPayout ratio
Margins
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
Net Income MarginOperating MarginGross MarginEBITDA MarginFCF Margin
Returns
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
ROICROAROCEROE
Shares outstanding
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
Shares (Basic)Shares (Diluted)
Market Cap.
FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025
Market Cap.

Similar Companies

Ownership

Major holders

Insiders: 0.25%
Institutions: 74.25%
Other: 25.50%

Institutional ownership

58.67% Vanguard Group Inc41.65% Blackrock Inc.22.47% FMR, LLC21.80% NORGES BANK17.52% AQR Capital Management...16.04% State Street Corporati...15.19% T. Rowe Price Investme...13.69% Newlands Management Op...12.96% JPMORGAN CHASE & CO11.29% Geode Capital Manageme...-157.03% Others

Insider transactions

Show:
Buys
Sells
Grants
DateSharesTotal ($)Price ($)NameTitle
Sell2025-06-102,595208,27580.3SANKARLINGAM VELCHAMYOfficer
Sell2025-06-032,475199,66380.7SUBOTOVSKY SANTIAGODirector
Sell2025-05-052,475195,08778.8SUBOTOVSKY SANTIAGODirector
Sell2025-04-2412,500937,92675.0CHADWICK JONATHAN CDirector
Sell2025-04-242,475186,68475.4SUBOTOVSKY SANTIAGODirector
Sell2025-04-1512,500907,16272.6CHADWICK JONATHAN CDirector
Sell2025-04-1516,0991,168,62372.6BAWA APARNAChief Operating Officer
Sell2025-04-1511,839851,34271.9SANKARLINGAM VELCHAMYOfficer
Sell2025-04-1441,1212,968,22972.2YUAN ERIC S.Chief Executive Officer
Sell2025-03-242,475192,70277.9SUBOTOVSKY SANTIAGODirector
Sell2025-03-05166,66412,514,32675.1YUAN ERIC S.Chief Executive Officer
Sell2025-02-05166,66414,365,93586.2YUAN ERIC S.Chief Executive Officer
Sell2025-01-1525,0002,008,19580.3CHADWICK JONATHAN CDirector
Sell2025-01-1412,075955,79679.2BAWA APARNAChief Operating Officer
Sell2025-01-14201,36915,929,34379.1YUAN ERIC S.Chief Executive Officer
Sell2025-01-101,412111,10478.7CREHAN SHANEOfficer
Sell2025-01-109,317733,12578.7BAWA APARNAChief Operating Officer
Sell2025-01-1010,817851,17078.7SANKARLINGAM VELCHAMYOfficer
Sell2025-01-0833,7512,655,80978.7YUAN ERIC S.Chief Executive Officer
Sell2024-12-101,551131,74084.9CREHAN SHANEOfficer
Sell2024-12-103,618307,30984.9SANKARLINGAM VELCHAMYOfficer
Sell2024-12-05166,66613,958,66683.8YUAN ERIC S.Chief Executive Officer
Sell2024-12-0419316,00082.9SUBOTOVSKY SANTIAGODirector
Sell2024-11-06261,90420,371,68577.8YUAN ERIC S.Chief Executive Officer
Sell2024-10-2912,500937,99575.0CHADWICK JONATHAN CDirector
Sell2024-10-2271,4365,131,29271.8YUAN ERIC S.Chief Executive Officer
Sell2024-10-1412,500854,50768.4CHADWICK JONATHAN CDirector
Sell2024-10-1410,520721,52968.6BAWA APARNAChief Operating Officer
Sell2024-10-101,776123,45169.5CREHAN SHANEOfficer
Sell2024-10-1058,4544,037,54869.1YUAN ERIC S.Chief Executive Officer
Sell2024-10-1010,338718,60469.5SANKARLINGAM VELCHAMYOfficer
Sell2024-10-0914,151963,96668.1STECKELBERG KELLYChief Financial Officer
Sell2024-10-094,477310,65069.4NAPOLITANO JANET ANNDirector
Sell2024-10-084,861333,96468.7CREHAN SHANEOfficer
Sell2024-10-0810,871740,53368.1BAWA APARNAChief Operating Officer
Sell2024-10-028,901603,43667.8STECKELBERG KELLYChief Financial Officer
Sell2024-09-188,901591,67166.5STECKELBERG KELLYChief Financial Officer
Sell2024-09-113,013201,09966.7CREHAN SHANEOfficer
Sell2024-09-1083155,08366.3BAWA APARNAChief Operating Officer
Sell2024-09-103,614241,66866.9SANKARLINGAM VELCHAMYOfficer
Sell2024-09-0588059,91968.1BAWA APARNAChief Operating Officer
Sell2024-09-054,840329,29868.0YUAN ERIC S.Chief Executive Officer
Sell2024-09-048,901609,18768.4STECKELBERG KELLYChief Financial Officer
Sell2024-08-215,013299,29859.7STECKELBERG KELLYChief Financial Officer
Sell2024-08-075,007283,60156.6STECKELBERG KELLYChief Financial Officer
Sell2024-08-064,840271,63756.1YUAN ERIC S.Chief Executive Officer
Sell2024-07-245,007293,61258.6STECKELBERG KELLYChief Financial Officer
Sell2024-07-1810,332586,96456.8BAWA APARNAChief Operating Officer
Sell2024-07-1019,4041,104,31856.9STECKELBERG KELLYChief Financial Officer
Sell2024-07-1058,7203,335,72756.8YUAN ERIC S.Chief Executive Officer
Sell2024-07-1016,231921,77056.8SANKARLINGAM VELCHAMYOfficer
Sell2024-07-094,860280,51657.7CREHAN SHANEOfficer
Sell2024-07-0911,060632,07957.1BAWA APARNAChief Operating Officer
Sell2024-06-265,007288,35257.6STECKELBERG KELLYChief Financial Officer
Sell2024-06-1883647,49356.8BAWA APARNAChief Operating Officer

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