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Zoom Video Communications (ZM) Stock Sinks As Market Gains: What You Should Know
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Zoom Video Communications (ZM - Free Report) closed the most recent trading day at $61.82, moving -1.86% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.18%. Meanwhile, the Dow gained 0.1%, and the Nasdaq, a tech-heavy index, added 0.3%.
Coming into today, shares of the video-conferencing company had lost 3.8% in the past month. In that same time, the Computer and Technology sector gained 3.65%, while the S&P 500 gained 3.08%.
Analysts and investors alike will be keeping a close eye on the performance of Zoom Video Communications in its upcoming earnings disclosure. The company's earnings report is set to go public on November 20, 2023. The company's earnings per share (EPS) are projected to be $1.08, reflecting a 0.93% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.12 billion, up 1.47% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.66 per share and a revenue of $4.49 billion, signifying shifts of +6.64% and +2.24%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Zoom Video Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. As of now, Zoom Video Communications holds a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Zoom Video Communications has a Forward P/E ratio of 13.51 right now. This denotes a discount relative to the industry's average Forward P/E of 35.01.
Meanwhile, ZM's PEG ratio is currently 0.4. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Internet - Software stocks are, on average, holding a PEG ratio of 1.55 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 59, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Zoom Video Communications (ZM) Stock Sinks As Market Gains: What You Should Know
Zoom Video Communications (ZM - Free Report) closed the most recent trading day at $61.82, moving -1.86% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.18%. Meanwhile, the Dow gained 0.1%, and the Nasdaq, a tech-heavy index, added 0.3%.
Coming into today, shares of the video-conferencing company had lost 3.8% in the past month. In that same time, the Computer and Technology sector gained 3.65%, while the S&P 500 gained 3.08%.
Analysts and investors alike will be keeping a close eye on the performance of Zoom Video Communications in its upcoming earnings disclosure. The company's earnings report is set to go public on November 20, 2023. The company's earnings per share (EPS) are projected to be $1.08, reflecting a 0.93% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.12 billion, up 1.47% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.66 per share and a revenue of $4.49 billion, signifying shifts of +6.64% and +2.24%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Zoom Video Communications. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. As of now, Zoom Video Communications holds a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Zoom Video Communications has a Forward P/E ratio of 13.51 right now. This denotes a discount relative to the industry's average Forward P/E of 35.01.
Meanwhile, ZM's PEG ratio is currently 0.4. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Internet - Software stocks are, on average, holding a PEG ratio of 1.55 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 59, putting it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.