Zoom Video Comms is set to give its latest quarterly earnings report on Monday, 2024-11-25. Here's what investors need to know before the announcement.

Analysts estimate that Zoom Video Comms will report an earnings per share (EPS) of $1.31.

The market awaits Zoom Video Comms's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

The company's EPS beat by $0.18 in the last quarter, leading to a 12.97% increase in the share price on the following day.

Here's a look at Zoom Video Comms's past performance and the resulting price change:

Tracking Zoom Video Comms's Stock Performance

Shares of Zoom Video Comms were trading at $81.2 as of November 21. Over the last 52-week period, shares are up 23.87%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analyst Observations about Zoom Video Comms

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Zoom Video Comms.

Analysts have given Zoom Video Comms a total of 6 ratings, with the consensus rating being Buy. The average one-year price target is $83.17, indicating a potential 2.43% upside.

Peer Ratings Overview

The analysis below examines the analyst ratings and average 1-year price targets of Tyler Technologies, PTC and Ansys, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.

Tyler Technologies received a Outperform consensus from analysts, with an average 1-year price target of $678.91, implying a potential 736.1% upside.

PTC is maintaining an Outperform status according to analysts, with an average 1-year price target of $216.2, indicating a potential 166.26% upside.

The consensus outlook from analysts is an Outperform trajectory for Ansys, with an average 1-year price target of $365.0, indicating a potential 349.51% upside.

Summary of Peers Analysis

The peer analysis summary outlines pivotal metrics for Tyler Technologies, PTC and Ansys, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Zoom Video Comms ranks at the bottom for Revenue Growth among its peers. It is also at the bottom for Gross Profit. However, it is in the middle for Return on Equity.

Discovering Zoom Video Comms: A Closer Look

Zoom Video Communications ( ZM ) provides a communications platform that connects people through video, voice, chat, and content sharing. The company's cloud-native platform enables face-to-face video and connects users across various devices and locations in a single meeting. Zoom, which was founded in 2011 and is headquartered in San Jose, California, serves companies of all sizes from all industries around the world.

Understanding the Numbers: Zoom Video Comms's Finances

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, Zoom Video Comms showcased positive performance, achieving a revenue growth rate of 2.09% as of 31 July, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Zoom Video Comms's net margin excels beyond industry benchmarks, reaching 18.84%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 2.6%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Zoom Video Comms's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 2.11%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Zoom Video Comms's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.01.

To track all earnings releases for Zoom Video Comms visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.