Zoom Communications (ZM) Stock: Buy, Sell, or Hold?

ZM - Zoom Communications, Inc. Class A Common Stock

SERVICES-COMPUTER PROGRAMMING, DATA PROCESSING, ETC.
$94.77
0.57 (0.61%) ▲
5d: +4.41%
30d: -1.73%
90d: +5.44%
HOLD
LOW Confidence
Protect Your ZM Gains
Analysis Updated: Oct 7, 2026 12:00 AM ET
Earnings: Nov 23, 2026
Smart Money Distribution

Options positioning is turning defensive after a sharp run-up - a pattern consistent with institutional profit-taking. View Scanner →

Signal fired Oct 2, 2026 at $92.88 · last confirmed Oct 7, 2026

Strength: 7.3/10

Get Alerted When ZM Hits Your Target Price

Join 10,000+ traders who never miss a move

You're in! Check your email to confirm and set your target price.
100% Free No spam, ever Unsubscribe anytime

Interactive Price Chart (1 Month)

Loading chart...

Loading historical data...

💡
Bottom Line:
📊 HOLD: ZM is fairly valued with market pricing in 2.7% annual growth. Fine to hold or accumulate slowly on dips.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$28.99
Based on -18.3% avg growth
INTRINSIC VALUE TODAY
$18.00
Trading above historical range

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 24.7x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: ZM is currently trading at $94.77, which is considered fair relative to its 30-day fair value range of $90.23 to $96.54. The stock's valuation (Forward PE: 26.7) is in line with its historical norms (24.7). At these levels, the market is pricing in 2.7% annual earnings growth. This growth rate appears achievable given the company's track record, suggesting the valuation is rational.

Technical Outlook: Technically, ZM is in a downtrend. The price is approaching resistance at $95.17. A breakout above this level would be a bullish signal, while rejection here could lead to consolidation.

Market Sentiment: ZM scores 64/100 on our bottoming-setup gauge — the chart has corrected and is stabilizing (RSI reset, momentum turning up), historically a favorable entry zone. Wall Street analysts see significant upside, with an average price target of $118.24 (+24.8%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.

Quick Decision Summary

Current Position FAIR
Historical Trading Range $90.23 - $96.54
Company Quality Score 58/100 (HOLD)
Volume Confirmation HIGH
Confidence Score 84.3%

Protect Your Profits

Holding ZM? Use our AI-powered strategies to protect your downside while keeping your long-term position.

View Profit Protection Plan

All Signals

  • NEUTRAL: Price in fair range
  • BULLISH: Strong technical setup (64/100)
  • BULLISH: High volume confirmation
  • BULLISH: Trading 24.8% below Wall St target ($118.24)
  • NEUTRAL: Market pricing in 2.7% annual earnings growth - fairly valued
  • CAUTION: Bottoming setup, but lagging the sector by 10% over 20 days — wait for relative strength

Trading Range Analysis

30-Day Trading Range $90.23 - $96.54
Current vs Trading Range FAIR

Support & Resistance Levels

Support Level $85.38
Resistance Level $95.17
Current Trend Downtrend
Technical data as of Oct 7, 2026

Fundamental Context

Forward P/E (Next Year Est.) 26.70
Wall Street Target $118.24 (+24.8%)
Revenue Growth (YoY) 4.9%
Earnings Growth (YoY) 342.3%
Profit Margin 65.2%
Valuation Premium vs History +2.7% premium
PE vs Historical 26.7 vs 24.7 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): +2.7% (market-implied from PE analysis)
1-Year Target $97.33 (+3%)
2-Year Target $99.96 (+6%)
3-Year Target $102.66 (+8%)
3-Yr Target (if PE normalizes) (PE: 27→25) PE COMPRESSION $94.98 (+0%)
Earnings growth offset by PE compression
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 26.7, Growth: -40.6%) $69.09 (+-27%)
Base: (SPY PE: 19.7, Growth: -40.6%) $50.98 (-46%)
Bear: (PE: 16.7, Growth: -40.6%) $43.34 (-54%)
📈 Valuation based on Current Earnings
Trailing PE: 8.68 | Current EPS (TTM): $10.85
Bull Case $51.81 (-45%)
Analyst growth -50.0%, PE expands to 9.6
Base Case $47.10 (-50%)
Market implied -50.0%, PE stable at 8.7
Bear Case $64.06 (-32%)
Severe decline -20.0%, PE contracts to 7.4
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Share & Embed Analysis

Found this analysis useful? Share it with your community or embed the live chart on your blog.

Tweet Reddit
bloggers & journalists: you are free to use our charts with attribution.
Last updated: October 07, 2026 7:14 PM ET
Data refreshes hourly during market hours. Next update: 8:14 PM
🔥 Top Stocks Breaking Out Now
Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
6
Sells
Net
INSIDERS SELLING
Recent Transactions
Aparna Bawa SELL 12886 shares 2026-04-17
Santiago Subotovsky SELL 2388 shares 2026-04-16
Santiago Subotovsky SELL 2643 shares 2026-04-16

Unlock Insider Activity

See real-time buying/selling by company executives for ZM.

Create Free Account

Already have an account? Log In

Top Rated Software - Application Stocks

Top-rated stocks in Software - Application by analyst ratings.

Stock Analyst Consensus Analyst Target Tradestie Score
NOW
ServiceNow Inc
STRONG BUY
49 analysts
$145 58 HOLD
ADSK
Autodesk Inc
STRONG BUY
36 analysts
$308 40 HOLD
TEAM
Atlassian Corp Plc
STRONG BUY
33 analysts
$205 41 HOLD
GRAB
Grab Holdings Ltd
STRONG BUY
25 analysts
$6 47 HOLD
SHOP
Shopify Inc
STRONG BUY
54 analysts
$173 43 HOLD

Advanced ZM Option Strategies

Professional options setups generated by AI based on today's ZM price and gamma walls.

Iron Condor Bull Call Bear Put Collar

More Analysis for ZM

ZM Technical Chart ZM Price Prediction ZM Earnings Date ZM Investment Advisor ZM Fair Price Analyzer ZM Options Advisor ZM Options Chain ZM Options Analysis ZM Competitors
Live Trades
From trading groups
Loading trades...
View All Live Trades See Trader Consensus & Signals