12:21 PM EDT, 10/20/2025 (MT Newswires) -- Zoom Communications ( ZM ) core Meetings business shows saturation, but there is potential upside coming from newer products like Phone, Contact Center, and Virtual Agent, UBS Securities said in a note emailed Monday.

UBS projects low- to mid-single-digit revenue growth for Zoom over the next two years, forecasting 3.8% growth in fiscal year 2026/current year 2025 and 3.4% in FY2027/CY2026, noting that the market for the company's flagship Meetings product is highly saturated.

The firm's analysts highlight that Zoom's Phone and Contact Center could add $80 million and $44 million to fiscal 2027 revenue, respectively, while its Custom Artificial Intelligence Companion has influenced fewer than 10% of deals so far.

The company consistently exceeds operating margin guidance, showing strong cost control amid slow growth, UBS added.

UBS has initiated a neutral rating on the stock, with price target unchanged at $85.

Shares of the company were up 2.2% in recent trading.

Price: 81.73, Change: +1.72, Percent Change: +2.15