Short Interest in Zoom Video Communications, Inc. (NASDAQ:ZM) Grows By 27.4%

Zoom Video Communications, Inc. (NASDAQ:ZM) saw a large growth in short interest during the month of August. As of August 31st, there was short interest totalling 10,510,000 shares, a growth of 27.4% from the August 15th total of 8,250,000 shares. Based on an average daily volume of 3,540,000 shares, the days-to-cover ratio is currently 3.0 days.

Analyst Ratings Changes

ZM has been the topic of a number of recent research reports. Royal Bank of Canada reiterated an “outperform” rating and issued a $95.00 price objective on shares of Zoom Video Communications in a report on Tuesday, May 21st. Citigroup lifted their price objective on shares of Zoom Video Communications from $76.00 to $77.00 and gave the company a “neutral” rating in a report on Tuesday, May 21st. Benchmark reiterated a “buy” rating and issued a $83.00 price objective on shares of Zoom Video Communications in a report on Monday, August 5th. Morgan Stanley lowered their price objective on shares of Zoom Video Communications from $72.00 to $68.00 and set an “equal weight” rating on the stock in a report on Friday, June 14th. Finally, Deutsche Bank Aktiengesellschaft boosted their target price on shares of Zoom Video Communications from $71.00 to $75.00 and gave the stock a “hold” rating in a report on Friday, August 23rd. Two analysts have rated the stock with a sell rating, fourteen have assigned a hold rating and six have issued a buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $75.10.

Insider Activity

In other news, CEO Eric S. Yuan sold 2,420 shares of the firm’s stock in a transaction dated Monday, August 5th. The shares were sold at an average price of $56.12, for a total value of $135,810.40. Following the transaction, the chief executive officer now owns 90,354 shares of the company’s stock, valued at approximately $5,070,666.48. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, COO Aparna Bawa sold 11,060 shares of Zoom Video Communications stock in a transaction that occurred on Tuesday, July 9th. The shares were sold at an average price of $57.15, for a total transaction of $632,079.00. Following the transaction, the chief operating officer now owns 12,310 shares of the company’s stock, valued at approximately $703,516.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Eric S. Yuan sold 2,420 shares of the firm’s stock in a transaction that occurred on Monday, August 5th. The stock was sold at an average price of $56.12, for a total transaction of $135,810.40. Following the sale, the chief executive officer now owns 90,354 shares in the company, valued at $5,070,666.48. The disclosure for this sale can be found here. In the last quarter, insiders have sold 120,014 shares of company stock valued at $7,070,162. 10.78% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Zoom Video Communications

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. KBC Group NV increased its position in shares of Zoom Video Communications by 134.3% during the 4th quarter. KBC Group NV now owns 561,558 shares of the company’s stock valued at $40,382,000 after purchasing an additional 321,921 shares during the last quarter. Vanguard Group Inc. increased its position in shares of Zoom Video Communications by 3.2% during the 4th quarter. Vanguard Group Inc. now owns 23,417,464 shares of the company’s stock valued at $1,683,950,000 after purchasing an additional 721,923 shares during the last quarter. Ossiam increased its position in shares of Zoom Video Communications by 1,917.4% during the 4th quarter. Ossiam now owns 231,474 shares of the company’s stock valued at $16,645,000 after purchasing an additional 220,000 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. increased its position in shares of Zoom Video Communications by 9.7% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 441,168 shares of the company’s stock valued at $30,171,000 after purchasing an additional 38,924 shares during the last quarter. Finally, Contrarius Investment Management Ltd increased its position in shares of Zoom Video Communications by 31.2% during the 4th quarter. Contrarius Investment Management Ltd now owns 1,164,674 shares of the company’s stock valued at $83,752,000 after purchasing an additional 277,257 shares during the last quarter. 66.54% of the stock is owned by hedge funds and other institutional investors.

Zoom Video Communications Trading Up 1.6 %

Shares of NASDAQ ZM opened at $67.59 on Friday. The company has a market cap of $20.80 billion, a price-to-earnings ratio of 25.22, a PEG ratio of 5.84 and a beta of -0.05. Zoom Video Communications has a 12 month low of $55.06 and a 12 month high of $74.77. The stock has a 50-day moving average price of $61.69 and a two-hundred day moving average price of $62.41.

Zoom Video Communications (NASDAQ:ZM) last posted its quarterly earnings results on Wednesday, August 21st. The company reported $1.39 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.21 by $0.18. Zoom Video Communications had a return on equity of 10.77% and a net margin of 19.08%. The firm had revenue of $1.16 billion for the quarter, compared to analysts’ expectations of $1.15 billion. During the same period in the prior year, the business earned $0.55 EPS. The company’s revenue for the quarter was up 2.1% compared to the same quarter last year. On average, sell-side analysts predict that Zoom Video Communications will post 2.69 earnings per share for the current year.

About Zoom Video Communications

Zoom Video Communications, Inc provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices.