Why Zoom Video Stock Is Cratering Today | The Motley Fool.Why Zoom Shares Are Falling
Shares of Zoom Video Communications (NASDAQ: ZM) dropped 14% in February, according to data from S&P Global Market Intelligence. The average Zoom Video Communications price target is $, implying upside potential of %. Analyst price targets range from a low of.
Exceptional Financials and New Opportunities Should Stop Zoom’s (NASDAQ:ZM) Decline
Founded in by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources , and more.
Learn More. While the popular video calling platform beat analysts’ consensus revenue and earnings estimates, investors appear disappointed that customer growth is slowing. The tech stock had fallen by But despite the company beating analysts’ top- and bottom-line estimates, investors were focused on the company’s slowing customer growth. Zoom’s stock was a major pandemic play last year when schools went virtual, businesses weren’t conducting in-person meetings, and people were spending nearly all of their time at home.
But as some businesses and offices have opened back up and many schools have returned to in-person learning, some investors have sold off their Zoom shares. With today’s share price drop, the company’s stock is down The fact is that Zoom’s business is still growing, but with the company’s share price trading at 77 times the company’s forward earnings, some investors don’t believe Zoom is growing fast enough to justify the company’s premium pricing.
Cost basis and return based on previous market day close. Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of Discounted offers are only available to new members. Calculated by Time-Weighted Return since Volatility profiles based on trailing-three-year calculations of the standard deviation of service investment returns.
Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Premium Services. Stock Advisor. View Our Services. Our Purpose:. Latest Stock Picks. Today’s Change. Current Price. Investors aren’t happy with the company’s slowing customer growth. Image source: Zoom Video Communications.
Zoom Video Communications. Motley Fool Returns Market-beating stocks from our award-winning service. Stock Advisor Returns. Join Stock Advisor. Our Most Popular Articles. Wondering What’s Next for Inflation and Consumers? Walmart Just Released a Big Hint. Get Started Now. View Premium Services.