Zoom Communications (ZM) Q4 Earnings and Revenues Beat Estimates

Company Performance - Zoom Communications reported quarterly earnings of $1.41 per share, exceeding the Zacks Consensus Estimate of $1.31 per share, but slightly down from $1.42 per share a year ago, representing an earnings surprise of 7.63% [1] - The company posted revenues of $1.18 billion for the quarter ended January 2025, surpassing the Zacks Consensus Estimate by 0.50% and showing an increase from $1.15 billion year-over-year [2] - Over the last four quarters, Zoom has consistently surpassed consensus EPS and revenue estimates [2] Stock Outlook - The immediate price movement of Zoom's stock will largely depend on management's commentary during the earnings call and future earnings expectations [3] - Year-to-date, Zoom shares have increased by approximately 1.1%, compared to a 2.2% gain in the S&P 500 [3] Earnings Estimates - The current consensus EPS estimate for the upcoming quarter is $1.29 on revenues of $1.18 billion, while for the current fiscal year, the estimate is $5.29 on revenues of $4.79 billion [7] - The estimate revisions trend for Zoom is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Internet - Software industry, to which Zoom belongs, is currently ranked in the top 34% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]