In the latest trading session, Zoom Video Communications (ZM - Free Report) closed at $95.51, marking a +0.02% move from the previous day. This move outpaced the S&P 500's daily loss of 1.09%. At the same time, the Dow lost 1.23%, and the tech-heavy Nasdaq lost 1.19%.
Coming into today, shares of the video-conferencing company had gained 12.17% in the past month. In that same time, the Computer and Technology sector gained 4.47%, while the S&P 500 gained 2.62%.
Investors will be hoping for strength from ZM as it approaches its next earnings release.
It is also important to note the recent changes to analyst estimates for ZM. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ZM is currently a Zacks Rank #2 (Buy).
Digging into valuation, ZM currently has a Forward P/E ratio of 5371.31. This represents a premium compared to its industry's average Forward P/E of 66.33.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.