Company Performance - Zoom Communications closed at $78.38, with a daily increase of +1.85%, outperforming the S&P 500's gain of 0.52% [1] - Over the past month, Zoom's shares have decreased by 3.73%, while the Computer and Technology sector and the S&P 500 have increased by 9.55% and 5.95%, respectively [1] Earnings Forecast - The upcoming earnings report is expected to show an EPS of $1.37, reflecting a 1.44% decline from the same quarter last year [2] - Revenue is forecasted to be $1.2 billion, indicating a 3.02% growth compared to the same quarter last year [2] - For the full year, analysts expect earnings of $5.59 per share and revenue of $4.81 billion, representing changes of +0.9% and +2.99% from the previous year [3] Analyst Estimates and Rankings - Recent changes to analyst estimates for Zoom are being monitored, as they reflect short-term business trends [4] - Positive estimate revisions are seen as a sign of optimism regarding the business outlook [4] - The Zacks Rank system, which incorporates estimate changes, currently ranks Zoom Communications as 2 (Buy) [6] Valuation Metrics - Zoom Communications has a Forward P/E ratio of 13.78, which is lower than the industry average Forward P/E of 28.26 [7] - The company's PEG ratio stands at 7.39, compared to the Internet - Software industry's average PEG ratio of 2.23 [7] Industry Context - The Internet - Software industry is part of the Computer and Technology sector and holds a Zacks Industry Rank of 48, placing it in the top 20% of all industries [8] - The top 50% rated industries are shown to outperform the bottom half by a factor of 2 to 1 [8]
Why Zoom Communications (ZM) Outpaced the Stock Market Today