Zoom Communications, Inc.

ZM: NasdaqGS
74Total

Lowest reading is at 56 out of 100. All scores are out of 100.

About The Company

CEO

Mr. Eric S. Yuan

Market Cap

27.48 Billion USD

Sector

Technology

Website

https://www.zoom.com

Last Update

14/10/2026, 01:05:28

Description

Zoom Communications, Inc.

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Strongest readings

  • ✔Altman-Z score of 10.04 sits above the distress range
  • ✔Financial health is strong (health score 95 out of 100)
  • ✔Debt is low at 0.01 times equity
  • ✔Price-to-earnings of 8.9 is below the market average of 19.6
  • ✔Return on capital employed of 11.28% is above the market average of 10.00%

Weakest readings

  • ✘Returns on capital have declined over five years (6.96% lower)
  • ✘The current price sits above estimated fair value (margin of safety -50.77%)
  • ✘Share count has been rising at 1.15% per year

Key Figures

StatusMetricValueReadingMarket avg
✔
Price / earnings (TTM)
8.91x
19.60x
✘
Margin of safety (DCF)
-50.77%
17.95%
✘
Revenue growth (5y average)
4.36%
10.97%
✘
Dividend yield (TTM)
0.00%
1.85%
✘
Share count, per year
1.15%
0.00%
✔Return on capital employed11.28%
10.00%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

Valuation

85 / 100

Priced at or below the market on most measures.

StatusMetricValueReadingMarket avg
✔
Price / earnings
8.91x
19.60x
✔Free cashflow yield7.45%
4.70%
✔Price / earnings growth0.10x
1.50x
Price / book2.29x
—
✘
Margin of safety
-50.77%
17.95%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✘Estimated intrinsic value of 48.32 USD is below the current price of 94.19 USD

Desired Margin Of Safety

0%

▼

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Estimated Fair Value: 92.1 USD ✘

Current Price: 98.2 USD

How Does This Work?

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This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated fair value for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel for the impact this has on longterm investment returns and find a margin of safety you are comfortable with.

Growth

56 / 100

Growing faster than the market on most measures.

StatusMetricValueReadingMarket avg
✘
Revenue growth
4.36%
10.97%
✔Earnings growth92.68%
14.48%
✘Cashflow growth6.38%
12.35%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✔Revenue growth has improved this year (5.04% against a five year average of 4.36%)
  • ✔Earnings growth has improved this year (182.79% against a five year average of 92.68%)
  • ✘Free cashflow growth has slowed this year

Health

95 / 100

Balance sheet covers its obligations.

Measured on Leverage and capital, Funding and liquidity, Earnings quality.

StatusMetricValueReadingThreshold
✔Altman-Z score10.04
3.00
✔Piotroski score7.00
5.00
✔Debt / equity0.01x
0.80x
✔Current ratio4.33x
1.00x
Interest coverageN/A2.50x
✔Free cashflow / debt32.90x
0.15x
✔Debt / capital0.01x
1.00x

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Management

    61 / 100

    Returns on capital are at or above the market.

    StatusMetricValueReadingMarket avg
    ✔Return on equity19.37%
    15.00%
    ✔Return on capital employed11.28%
    10.00%
    Return on assets15.89%
    —
    Free cashflow return on capital19.32%
    —
    ✘Return on capital, 5y change-6.96%
    0.00%
    ✘
    Share count, per year
    1.15%
    0.00%
    ✔Share count, recent-12.40%
    0.00%
    ✘Realized buyback return-80.24%
    0.00%
    ✔Goodwill erosion / equity0.00%
    2.00%
    Price volatility, 5 year44.14%
    —

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    • ✘New shares were issued while the value score was 85 out of 100

    Analysts

    not enough data
    StatusMetricValueReadingNeutral
    Analyst opinion scoreN/A50

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Financial History

    Annual figures across the full reporting history we hold.

    Market Peers

    ZM

    SEC Filings

    Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

    See 35+ Years Annual Reports

    Other Information

    Company Name

    Zoom Communications, Inc.

    Currency

    USD

    Beta

    1.04

    Vol Avg

    3187009

    Ceo

    Mr. Eric S. Yuan

    Cik

    0001585521

    Cusip

    Exchange

    NasdaqGS

    Full Time Employees

    7438

    Industry

    Software - Application

    Sector

    Technology

    Ipo Date

    Address

    55 Almaden Boulevard

    City

    San Jose

    State

    CA

    Country

    United States

    Zip

    95113

    Phone

    888 799 9666

    Analysis Last Updated

    14/10/2026, 01:05:28

    Financial data compiled from SEC EDGAR filings and Yahoo Finance.

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