Federated Hermes Inc. Increases Position in Zoom Communications, Inc. $ZM

Federated Hermes Inc. boosted its holdings in shares of Zoom Communications, Inc. (NASDAQ:ZM) by 13.3% during the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 252,607 shares of the company’s stock after purchasing an additional 29,681 shares during the quarter. Federated Hermes Inc.’s holdings in Zoom Communications were worth $20,840,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also made changes to their positions in ZM. Norges Bank purchased a new position in shares of Zoom Communications during the 2nd quarter valued at approximately $539,998,000. Acadian Asset Management LLC raised its position in Zoom Communications by 41.1% during the second quarter. Acadian Asset Management LLC now owns 3,769,480 shares of the company’s stock worth $293,909,000 after acquiring an additional 1,097,333 shares during the period. Pacer Advisors Inc. lifted its holdings in Zoom Communications by 54.4% during the third quarter. Pacer Advisors Inc. now owns 2,695,193 shares of the company’s stock valued at $222,353,000 after purchasing an additional 949,829 shares in the last quarter. Wedge Capital Management L L P NC acquired a new stake in shares of Zoom Communications in the third quarter valued at about $63,357,000. Finally, Assenagon Asset Management S.A. grew its position in shares of Zoom Communications by 168.3% in the third quarter. Assenagon Asset Management S.A. now owns 1,025,274 shares of the company’s stock valued at $84,585,000 after purchasing an additional 643,074 shares during the period. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on ZM shares. Morgan Stanley upped their price target on shares of Zoom Communications from $85.00 to $92.00 and gave the stock an “equal weight” rating in a research report on Tuesday, November 25th. Rosenblatt Securities reissued a “buy” rating and set a $115.00 target price on shares of Zoom Communications in a report on Tuesday, November 25th. Piper Sandler lifted their price target on Zoom Communications from $85.00 to $91.00 and gave the stock a “neutral” rating in a research note on Monday, January 5th. BTIG Research began coverage on Zoom Communications in a research report on Tuesday, December 16th. They set a “buy” rating and a $105.00 price target for the company. Finally, Needham & Company LLC restated a “buy” rating and issued a $100.00 price objective on shares of Zoom Communications in a report on Tuesday, November 25th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $93.82.

Zoom Communications Stock Performance

NASDAQ:ZM opened at $92.10 on Friday. Zoom Communications, Inc. has a one year low of $64.41 and a one year high of $97.58. The stock has a market cap of $27.27 billion, a PE ratio of 17.92, a P/E/G ratio of 8.32 and a beta of 0.87. The stock has a 50 day moving average price of $86.67 and a 200 day moving average price of $82.25.

Zoom Communications (NASDAQ:ZM) last issued its earnings results on Monday, November 24th. The company reported $1.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.44 by $0.08. Zoom Communications had a return on equity of 12.20% and a net margin of 33.17%.The company had revenue of $1.23 billion during the quarter, compared to analysts’ expectations of $1.21 billion. During the same period in the prior year, the business earned $1.38 EPS. The firm’s quarterly revenue was up 4.4% on a year-over-year basis. Zoom Communications has set its FY 2026 guidance at 5.950-5.970 EPS and its Q4 2026 guidance at 1.480-1.490 EPS. As a group, analysts predict that Zoom Communications, Inc. will post 2.93 earnings per share for the current fiscal year.

Insider Activity at Zoom Communications

In other news, insider Velchamy Sankarlingam sold 7,568 shares of the firm’s stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $86.55, for a total transaction of $655,010.40. Following the completion of the sale, the insider owned 136,182 shares in the company, valued at $11,786,552.10. This trade represents a 5.26% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Aparna Bawa sold 12,137 shares of the company’s stock in a transaction that occurred on Friday, January 16th. The shares were sold at an average price of $81.37, for a total value of $987,587.69. Following the completion of the transaction, the chief operating officer owned 1,978 shares in the company, valued at $160,949.86. This represents a 85.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 317,745 shares of company stock valued at $27,002,595 over the last ninety days. Corporate insiders own 11.51% of the company’s stock.

Zoom Communications Company Profile

Zoom Video Communications, Inc (commonly referred to as Zoom) is a provider of cloud-based communications and collaboration solutions. The company’s platform supports video conferencing, voice calling, instant messaging, webinars and large-scale virtual events, and meeting room systems, marketed to businesses, educational institutions, government organizations and individual users. Zoom’s product lineup includes Zoom Meetings, Zoom Phone, Zoom Rooms, Zoom Video Webinars and Zoom Chat, and the company offers integrations and extensions through a developer marketplace and third-party apps.

Founded in 2011 by Eric S.