Should I Buy ZM Stock in 2026?

Data-driven analysis and honest assessment for Zoom Video Communications Inc

Analysis Updated:
HOLDMixed signals - suitable for existing holders

Current Price: $87.14P/E: 12.9

Decision Score

6.6/10

Buy

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)8/10

Attractive P/E of 12.9

Growth (20%)5/10

Growth data limited

Profitability (20%)10/10

Excellent margins (42% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)5/10

Cash flow data limited

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$87.14

P/E Ratio

12.87

Revenue Growth

N/A

Profit Margin

42.0%

Market Cap

$25.6B

Dividend Yield

None

How ZM Compares to Competitors

Understanding how ZM stacks up against peers helps inform your investment decision.

How ZM Compares to Peers

Upcoming Events for ZM

+5 Reasons TO Buy ZM

1. Exceptional profit margins of 42%

strong

Net margins above 20% indicate strong pricing power and competitive advantages.

2. Attractively valued at 12.9x earnings

moderate

A P/E ratio of 12.9 is below the market average of ~20x, suggesting the stock may be undervalued.

-5 Reasons NOT to Buy ZM

1. Minimal revenue growth

low risk

Growth of 0.0% barely keeps pace with inflation.

Who Should Buy ZM?

Investment Profile

Risk Level

Medium

Recommended Holding Period

3-5 years

Best For:

  • Value Investors

    P/E of 12.9 offers margin of safety

Not Suitable For:

  • Growth Investors

    Limited 0% growth may disappoint

  • Income-Focused Retirees

    No dividend paid

Consider These Alternatives

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Pro tip: Compare ZM directly with competitors using our comparison tool to see which stock better fits your criteria.

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for ZM

Frequently Asked Questions

What is ZM stock price today?

ZM (Zoom Video Communications Inc) stock is trading at $87.14 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is ZM stock going up or down today?

ZM stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy ZM stock now?

The decision to buy ZM depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is ZM a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for ZM based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is ZM stock overvalued or undervalued?

ZM currently trades at a P/E ratio of 12.87, which may suggest attractive valuation. Our DCF calculator provides intrinsic value estimates to help determine if ZM is fairly priced.

What is ZM's P/E ratio?

ZM has a price-to-earnings (P/E) ratio of 12.87, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is ZM's market cap?

ZM (Zoom Video Communications Inc) has a market capitalization of $25.63 billion, making it a mid-cap stock.

What is ZM's price to book ratio?

ZM trades at a price-to-book (P/B) ratio of 2.57, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.