Zoom Communications, Inc.

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

In the fiscal year to Jan 2026, Americas was 72% and EMEA was 16% of revenue.

Quarters: Zoom Communications, Inc.'s SEC filings, named by the month they end. Fiscal years: Zoom Communications, Inc.'s annual reports to the SEC.

How it makes money

Of every $100 in revenue, $39.0 ends up as net income. Net margin rose from 2.4% to 39.0% over the past 3 years.

Circled: Oct 2025 (net 49.8%, operating 25.2%), Jan 2026 (net 54.1%, operating 20.0%), Jul 2026 (net 120.8%, operating 24.6%). Net margin is usually about 2 points above operating margin; in those quarters something below operating income (a tax charge or benefit, a gain or loss on investments, a write-down) moved it, not the business itself.

Each margin is that line of the income statement divided by revenue. Fiscal year: Zoom Communications, Inc.'s annual reports to the SEC; quarters: SEC filings.

Growth and margins together

Rule of 40 score 43.5 (growth 4.9% + FCF margin 38.6%): strong, clears the 40 line. Stock pay is 14.6% of revenue; counted as a cost, it brings the FCF margin down to 24.0%.

Zoom Communications trades at 4.3× revenue on 4.9% growth. SNOW grows fastest of its peers, 35.1%, and costs 19.4×.

Growth: revenue in the quarter ended Jul 2026 against the quarter ended Jul 2025. FCF margin: operating cash flow minus capex, over revenue, for the 4 quarters ended Jul 2026. From SEC filings.

Customers and suppliers

In its latest annual report Zoom Communications buys from NVIDIA, Meta Platforms, Amazon and 3 more.

Their suppliers

e.l.f. Beauty ELFto Amazon

United Parcel Service UPSto Amazon

Applied Optoelectronics AAOIto Amazon, Microsoft +1

AMD AMDto Meta Platforms, Microsoft +1

AppLovin APPto Meta Platforms

Celestica CLSto Meta Platforms, Amazon

CoreWeave CRWVto Microsoft, Meta Platforms

Coherent COHRto NVIDIA

IREN IRENto NVIDIA, Microsoft

Micron Technology MUto NVIDIA

Show 10

Suppliers

Amazon AMZN

Meta Platforms META

Microsoft MSFT

NVIDIA NVDA

Oracle ORCL

K

KBSIII Almaden Financial Plaza

 

ZMZoom Communications

Partners

Microsoft MSFTSoftware integrations with ZoomAlphabet GOOGLSoftware integrations with Zoom

OpenAIAI models for federated AI platform

Anthropic ANTAI models for federated AI platform

Palo Alto Networks PANWSoftware provider partnership

ZZendeskSoftware provider partnership

Box BOXSoftware provider partnership

Atlassian TEAMZoom Workplace integrations

Dropbox DBXZoom Workplace integrations

Salesforce CRMSoftware integrations with Zoom

Changes since the previous annual report (10-K filed Feb 28, 2025)

NVIDIA NVDANamed for the first time, as a supplier

Named in other companies’ filings

Figma FIGcalls it a partner · Product integrations and workflow collaboration

Only the companies Zoom Communications names in its 10-K filed Feb 27, 2026 (SEC). Named in other companies' filings: those whose own latest annual report or an 8-K since names Zoom Communications. The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Hover a name for the filing's own words.

Is it expensive?

EV/revenue of 4.3x, below the peer median of 7.0x.

EV/revenue below the peer median of 7.0x: cheaper than its peers.

Compared on enterprise value (market cap plus debt minus cash) per $1 of revenue: for companies that reinvest what they earn or borrow to grow (software, AI data centers), P/E can mislead.

What analysts expect

The average analyst price target is $119, 21% above the current price; 63% of 30 analysts rate it a buy; earnings beat estimates in 3 of the last 4 quarters.

Buy or Strong Buy: 19 analysts (63%). Sell or Strong Sell: 1.

Over the past year the average of the analysts' latest price targets went from $92.19 to $119.06 (+29%), while ZM went from $84.04 to $97.70 (+16%). In the past three months targets were raised twice and cut twice. 3 upgrades and no downgrades over the year; the latest: Oppenheimer moved it to Outperform from Perform on Oct 21, 2026.

The day after each of these reports the stock moved +9.8% (Oct 2025, beat); −13.7% (Jan 2026, missed); +6.3% (Apr 2026, beat); −10.5% (Jul 2026, beat).

For the quarter ending Oct 2026 (Zoom Communications reports on Nov 23, 2026), analysts expect adjusted earnings of $1.49 a share, 2% less than the $1.52 of a year earlier, and revenue of $1.3B, up 4% on a year earlier. For the fiscal year ending Jan 2027, they expect revenue of $5.1B, up 5% on the year before.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $1.9B in free cash flow over the year, of which $1.5B went back to shareholders (dividends plus buybacks), leaving $470M in the company.

Zoom Communications had 300M diluted shares in the quarter ended Jul 2026, 2.8% fewer than a year earlier, and 0.2% more each year on average since Apr 2020. It spent $1.5B on buybacks over the last four quarters. Over the last four quarters its earnings per share rose 184.2% and its net income rose 174.0%: fewer shares added about 10 points.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter. Shares: each quarter's diluted weighted average as filed with the SEC, since the stock's listing and its latest split.

Financial health

Current ratio 4.3, no pressure to repay short-term debt; debt-to-equity 0.0, debt is very low and the balance sheet is solid.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

In the filings of 1 member of Congress and 4 funds whose copy leaves ZM out (on the exchange, not in the app yet): Norges Bank, Swiss National Bank, Rob Bresnahan, Mirae Asset Global Investments, Canada Pension Plan Investment Board.

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 8 held ZM at the end of their latest quarter (for most, Q2 2026). Over that quarter 4 added shares, 4 cut and 1 sold all. The largest of them is Norges Bank, 7.97M shares worth $688M at Jun 30, 2026, 34.9% more than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of ZM at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.