Company Performance - Zoom Communications' stock increased by 1.54% to $72.06, outperforming the S&P 500's gain of 1.47% on the same day [1] - Over the past month, Zoom's shares declined by 9.68%, underperforming the Computer and Technology sector's gain of 3.41% and the S&P 500's gain of 0.64% [1] Upcoming Earnings Report - The company is set to release its earnings report on August 21, 2025, with an expected EPS of $1.37, reflecting a 1.44% decrease from the same quarter last year [2] - Quarterly revenue is anticipated to be $1.2 billion, which is a 3.02% increase compared to the previous year [2] Full Year Estimates - For the full year, earnings are projected at $5.59 per share and revenue at $4.81 billion, indicating increases of 0.9% and 2.99% respectively from the prior year [3] Analyst Estimates and Confidence - Recent adjustments to analyst estimates for Zoom Communications are being monitored, as they often indicate changing business trends [4] - Positive revisions in estimates suggest analysts' confidence in the company's performance and profit potential [4] Zacks Rank and Valuation - Zoom Communications currently holds a Zacks Rank of 2 (Buy), with the consensus EPS estimate remaining unchanged over the last 30 days [6] - The company is trading at a Forward P/E ratio of 12.7, which is below the industry average of 27.5 [7] - Zoom's PEG ratio stands at 6.72, compared to the industry average PEG ratio of 2.23 [7] Industry Context - The Internet - Software industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 79, placing it in the top 32% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]
Zoom Communications (ZM) Laps the Stock Market: Here's Why