(ZM) Zoom Video Communications - Ratings and Ratios

Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US98980L1017

ZM: Video Conferencing, Cloud Phone, Chat, Virtual Events, Webinars

Zoom Video Communications, Inc. (NASDAQ: ZM) is a leading provider of a unified communications platform designed to simplify and enhance video conferencing, phone systems, messaging, and virtual events. Its platform is accessible across the Americas, the Asia Pacific, Europe, the Middle East, and Africa, making it a global player in the digital communication space.

The companys core offerings include Zoom Meetings, which provides HD video, voice, chat, and content sharing capabilities across various devices such as mobile phones, desktops, laptops, and conference room systems. Zoom Phone is its enterprise-grade cloud phone system, offering a scalable and secure solution for businesses to manage voice communications. Zoom Chat enables seamless messaging, file sharing, and collaboration across desktop, mobile, and tablet devices.

Zoom also provides Zoom Rooms, a software-based conference room system that integrates with existing hardware to create modern, collaborative meeting spaces. Zoom Conference Room Connector acts as a bridge for SIP/H.323 endpoints to join Zoom meetings, ensuring compatibility with legacy systems. For larger-scale engagements, Zoom Events and Zoom Webinars allow users to host and manage virtual events, from internal meetings to external presentations for large audiences.

OnZoom is a unique platform that empowers users to create, host, and monetize virtual events, targeting both consumers and businesses. This prosumer-focused approach highlights Zooms ability to cater to a broad range of users, from individuals to large enterprises. Additionally, the Zoom Developer Platform and App Marketplace enable third-party developers to build custom applications and integrations, further expanding the ecosystem around Zooms core offerings.

The company serves a diverse range of industries, including education, entertainment, healthcare, finance, government, and retail. This broad market reach underscores Zooms versatility and its ability to meet the communication needs of different sectors. Founded in 2011 and headquartered in San Jose, California, Zoom has established itself as a key player in the application software industry, with a market capitalization of over $26 billion as of recent data.

From a financial perspective, Zooms valuation metrics, such as its P/E ratio of 29.00 and forward P/E of 16.00, provide insight into its growth potential and market expectations. The price-to-sales ratio of 5.83 reflects its revenue generation capabilities, while the price-to-book ratio of 3.08 indicates its asset valuation in the market. These metrics are critical for investors and fund managers assessing the companys position in the competitive landscape of enterprise software.

Additional Sources for ZM Stock

ZM Stock Overview

Market Cap in USD 22,844m
Sector Technology
Industry Software - Application
GiC Sub-Industry Application Software
IPO / Inception 2019-04-18

ZM Stock Ratings

Growth 5y -27.5%
Fundamental 49.1%
Dividend 0.0%
Rel. Strength 14.5
Analysts 3.7/5
Fair Price Momentum 65.53 USD
Fair Price DCF 159.07 USD

ZM Dividends

No Dividends Paid

ZM Growth Ratios

Growth Correlation 3m -57.8%
Growth Correlation 12m 79.3%
Growth Correlation 5y -81.8%
CAGR 5y -9.56%
CAGR/Max DD 5y -0.11
Sharpe Ratio 12m 0.33
Alpha 8.68
Beta 0.253
Volatility 33.28%
Current Volume 1961.6k
Average Volume 20d 1965.8k
What is the price of ZM stocks?
As of April 01, 2025, the stock is trading at USD 73.77 with a total of 1,961,570 shares traded.
Over the past week, the price has changed by -5.66%, over one month by +0.09%, over three months by -9.61% and over the past year by +13.97%.
Is Zoom Video Communications a good stock to buy?
Partly, yes. Based on ValueRay Fundamental Analyses, Zoom Video Communications (NASDAQ:ZM) is currently (April 2025) ok to buy, but has to be watched. It has a ValueRay Fundamental Rating of 49.14 and therefor a somewhat positive outlook according to the companies health.
Based on ValueRays Analyses, Dividends and Discounted-Cash-Flow, the Fair Value of ZM as of April 2025 is 65.53. This means that ZM is currently overvalued and has a potential downside of -11.17%.
Is ZM a buy, sell or hold?
Zoom Video Communications has received a consensus analysts rating of 3.70. Therefor, it is recommend to hold ZM.
  • Strong Buy: 11
  • Buy: 2
  • Hold: 19
  • Sell: 1
  • Strong Sell: 0
What are the forecast for ZM stock price target?
According to ValueRays Forecast Model, ZM Zoom Video Communications will be worth about 71 in April 2026. The stock is currently trading at 73.77. This means that the stock has a potential downside of -3.75%.
Issuer Forecast Upside
Wallstreet Target Price 91.1 23.5%
Analysts Target Price 92.2 24.9%
ValueRay Target Price 71 -3.8%