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Tag: ZM STOCK PRICE

  • Zoom Video Communications, Inc. (ZM) Stock in Decline Despite Robust Quarterly Results

    Zoom Video Communications, Inc. (ZM) Stock in Decline Despite Robust Quarterly Results

    Zoom Video Communications, Inc. (ZM), a company providing a video-first communications platform, has declined 6.80% in aftermarket trading session. Consequently, ZM stock is trading at $225.80 at the time of the writing. On Monday, ZM closed the day at $242.28 after declining 3.59% during regular trading hours. The company has faced a consistent decline despite the release of outstanding quarterly results.

    ZM Q3 2021 Financial Highlights

    On Monday, ZM released the financial results for the third quarter of the fiscal year 2021. The quarter ended on 30th September 2021. The company had cash and cash equivalents of $1.32 billion on 30th September 2021. The total revenue generated by the company during the period was $1.05 billion against $777.19 million for the same period of 2020. The total operating expenses for the period were $488.94 million against $326.22 million for the same period of 2020. The net income generated by the company during the period was $340.38 million against $198.64 million for the same period of 2020. The net income per basic and diluted share for the period was $1.14 and $1.11 respectively against $0.70 and $0.66 for the same three-month period of 2020.

    Financial Outlook

    Alongside the financial results, ZM also reported the financial outlook for the upcoming quarter and complete fiscal 2021. The company believed that the total revenue for the fourth quarter of 2021 would stand between $1.051 and $1.053 billion. The non-GAAP income from the operations was expected in the range of $361 million and $363 million. The non-GAAP diluted EPS was estimated to stand between $1.06 and $1.07. For the full fiscal year 2021, the total revenue was expected to range between $4.079 billion to $4.081 billion. The non-GAAP income from operations was expected to lie between $1.598 billion and $1.600 billion. The non-GAAP diluted EPS was expected to range between $4.84 and $4.85.

    Executive Commentary

    ZM founder and CEO, Eric S. Yuan, while commenting on the results said that the company has continued and would continue to deliver happiness to its customers through innovation and dedication. He further said that looking forward; the company expects to close the year on a high in terms of financial performance. He expressed his pleasure over the fact that the company is on its way to becoming the indispensable platform for different sections of society to connect and collaborate.  

    What Lies Ahead for ZM?

    Statistics reveal that ZM stock has faced an abysmal performance during the last 12 months. That is quite surprising; given the fact that how the company has performed during the pandemic. But analysts believe that the strong competition to the company other market giants have caused its stock to suffer. In the long run, however, ZM stock is expected to depict strong performance.

  • Top 3 Work-From-Home Stocks in 2021

    Top 3 Work-From-Home Stocks in 2021

    A little over a year ago, people were not even familiar with the term ‘work from home’ and now, because of this worldwide pandemic, almost everyone has worked from home one way or the other. The COVID-19 pandemic proved to be catastrophic for many companies but it also opened up many opportunities for companies as well as investors. With the introduction of work from home, this pandemic has changed the business model of many companies. Many big corporations such as Google and Facebook have even adopted this work from home for long term. This shift towards working online has created demand for digital platforms that are designed to help meet the requirements of working from home. A survey conducted by research and advisory firm Gartner showed that almost 80% company leaders are planning on allowing employees to work from home part time and 47% are planning to allow their employees to work from home full time. In another survey conducted by PwC of 669 CEOs, almost 78% agreed that work from home will be implemented in the long run. Since office based work is substituted by work from home, we’ll be looking at some of the best work from home stocks in 2021. Here are top 3 work from home stocks for 2021:

    Zoom Video Communications, Inc. (ZM)

    Zoom has witnessed an immense increase in its demand amidst this global pandemic. Zoom’s model has helped businesses all over the world because of its remote working model. The company currently carries Zacks rank #3 (Hold). In February 2020, Zoom’s stock was valued at $87.66 and as of yesterday it closed at an astonishing $337.43. This accounts to an increment of almost 285% in little over a year. Every day, almost 200 million people login to Zoom, compared to 10 million users just before the pandemic. In the US, Zoom is the most used conferencing application and has 43% market share. The fundamentals of this company looks promising, and investors should surely keep their eyes on this stock’s movements.

    DocuSign Inc. (DOCU)

    DocuSign is an organization that provides e-signature solutions and allows companies to manage agreements online. DocuSign has benefited many organizations that transferred to work from home amidst the global pandemic. Since many companies have shifted their business model online, this e-signature solution is to benefit them in long term. Organizations such as Oracle and Microsoft have integrated themselves with DocuSign which will further help them grow their customer base. The company carries a Zacks Rank #3 (hold). To date, the company’s shares have soared up to 143% in a year. In March 2020 the stock price was $84.02 and it has increased to $204.31 as of 5th March 2021. According to Zacks Consensus Estimate for fiscal year 2022, the earnings has estimated to be moved up by 28.2% to $1.09 per share over the same time frame.

    Dropbox (DBX)

    Dropbox, a cloud service provider, has become a crucial part of many organizations in this digital age. Dropbox has an estimate of over 600 million users. During the coronavirus pandemic, cloud storage and other online service providers saw a dramatic increase in their usage and demand as consumers shifted towards these platforms. Dropbox witnessed a rise of nearly 25% in daily trials of its premium package. Dropbox has been consistently profitable and for 8 consecutive quarters their earnings per share have risen. Dropbox stock has risen up by 30% to date, as compared to the price before the coronavirus pandemic.