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Zoom Video Communications (ZM) Outperforms Broader Market: What You Need to Know
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In the latest market close, Zoom Video Communications (ZM - Free Report) reached $63.53, with a +0.67% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.48% for the day. On the other hand, the Dow registered a gain of 0.32%, and the technology-centric Nasdaq increased by 0.75%.
Shares of the video-conferencing company witnessed a gain of 4.76% over the previous month, beating the performance of the Computer and Technology sector with its gain of 1.47% and the S&P 500's gain of 2%.
Market participants will be closely following the financial results of Zoom Video Communications in its upcoming release. The company plans to announce its earnings on May 20, 2024. The company is expected to report EPS of $1.19, up 2.59% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.13 billion, up 1.81% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.89 per share and a revenue of $4.6 billion, indicating changes of -6.14% and +1.64%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Zoom Video Communications. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Zoom Video Communications is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Zoom Video Communications is currently exchanging hands at a Forward P/E ratio of 12.89. This represents a discount compared to its industry's average Forward P/E of 29.91.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 68, this industry ranks in the top 27% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Zoom Video Communications (ZM) Outperforms Broader Market: What You Need to Know
In the latest market close, Zoom Video Communications (ZM - Free Report) reached $63.53, with a +0.67% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.48% for the day. On the other hand, the Dow registered a gain of 0.32%, and the technology-centric Nasdaq increased by 0.75%.
Shares of the video-conferencing company witnessed a gain of 4.76% over the previous month, beating the performance of the Computer and Technology sector with its gain of 1.47% and the S&P 500's gain of 2%.
Market participants will be closely following the financial results of Zoom Video Communications in its upcoming release. The company plans to announce its earnings on May 20, 2024. The company is expected to report EPS of $1.19, up 2.59% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.13 billion, up 1.81% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.89 per share and a revenue of $4.6 billion, indicating changes of -6.14% and +1.64%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Zoom Video Communications. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Zoom Video Communications is holding a Zacks Rank of #3 (Hold) right now.
From a valuation perspective, Zoom Video Communications is currently exchanging hands at a Forward P/E ratio of 12.89. This represents a discount compared to its industry's average Forward P/E of 29.91.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 68, this industry ranks in the top 27% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.