Zoom Video Communications, Inc. shares have been in strong demand lately. The technical chart pattern looks positive which may give rise to new gains.
Summary
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The company has solid fundamentals for a short-term investment strategy.
Strengths
● According to sales estimates from analysts polled by Standard & Poor's, the company is among the best with regard to growth.
● The group's high margin levels account for strong profits.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Over the last 4 months, analysts have significantly revised upwards the company's estimated sales.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The stock is in a well-established, long-term rising trend above the technical support level at 138.56 USD
Weaknesses
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● Based on current prices, the company has particularly high valuation levels.
● With an expected P/E ratio at 351.31 and 274 respectively for both the current and next fiscal years, the company operates with high earnings multiples.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.
Zoom Video Communications, Inc. provides an all-in-one intelligent collaboration platform. It provides a unified communications and collaboration platform that delivers fundamentally changes how people interact, connecting them through frictionless and secure meetings, phone, chat, content sharing and more. Its products are grouped under various categories: Core Communications, AI, Employee Experience, Customer Experience and Developer Ecosystem. Core Communications products include Zoom Meetings, Zoom Phone, Zoom Team Chat and others. AI products, such as Zoom AI Companion. Employee Experience products include Zoom Rooms, Workspace Reservation, Zoom Docs and other. Customer Experience products, such as Zoom Contact Center, Zoom Virtual Agent, Zoom Events and others. Developer Ecosystem products include Zoom Developer Platform, Zoom App Marketplace and Zoom Apps. It serves various industries, including education, entertainment/media, enterprise infrastructure, finance, and others.