Zoom Communications, Inc. (ZM) Stock

Zoom Communications, Inc. (ZM) is a Technology stock trading at $91.12 (as of 2026-07-17), with a market capitalization of $27.36B and a trailing P/E of 13.2. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Zoom Communications, Inc. engages in the provision of a communications and collaboration platform. It operates through the following geographical segments: Americas, Asia Pacific, and Europe, Middle East, and Africa. The company was founded by Eric S. Yuan in 2011 and is headquartered in San Jose, CA.

Understand Zoom Communications, Inc.: how it makes money

Zoom provides a communications and collaboration platform, and it generates revenue from its Enterprise customers and its Online (non-Enterprise) customers.

The profit model is driven by very high gross margin (77.9%), which helps translate revenue into a relatively strong operating margin (25.1%).

Revenue by segment (latest quarter)
Ent$0.8B
Online$0.5B

Business quality (Solid): The provided facts include only revenue mix (Enterprise and Online) plus gross and operating margins, with limited operational detail beyond those items.

Valuation: Trades at 14× trailing earnings · $28B market cap.

Bull case

  • High profitability from each dollar of revenue: Gross margin is 77.9%, supporting an operating margin of 25.1%.
  • Clear revenue split between Enterprise and Online: Enterprise revenue is 0.76B and Online revenue is 0.48B, which can help investors track where growth or softness shows up.

Bear case

  • Operating margin sensitivity to margin pressure: If gross margin falls from current levels, the strong operating margin (25.1%) would be at risk.
  • Business mix shift risk between customer groups: Because revenue is split between Enterprise (0.76B) and Online (0.48B), weakness in one category could pressure total results.
Valuation — source: SEC EDGAR (first-party)
Price$91.12
Market Cap$27.36B
P/E Ratio13.2
EV / EBITDA20.0
Price / Book2.74
Price / Sales5.55
FCF Yield7.2%
DCF Value (model)$125.02
DCF Upside vs Price37.2%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$4.87B
Net Margin39.0%
Revenue Growth (YoY)5.5%
EPS Growth (YoY)72.6%
FCF Growth (YoY)8.0%
Financial Health — source: SEC EDGAR
Altman Z-Score9.86 (safe)
Valuation vs Sector & Industry
Stock P/E13.2
Sector P/E (Technology)34.7
Industry P/E (Business Services)30.7
vs Sector-61.9%
vs Industry-57.0%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderVANGUARD GROUP INC ($2.33B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorTechnology
IndustryBusiness Services
CEOEric S. Yuan
Employees7,412
CountryUS
IPO Date2019-04-18

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ZM earnings history · ZM institutional & insider holders · ZM KPIs & operating metrics · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-07-17.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.