ZM Stock Fair Value – ZOOM VIDEO COMMUNICATIONS Reports Second Quarter FY2024 Earnings for August 21 2023

August 24, 2023

🌥️Earnings Overview

ZOOM VIDEO COMMUNICATIONS ($NASDAQ:ZM) reported their second quarter of FY2024 earnings on July 31 2023, showing a 3.6% increase in total revenue to USD 1138.7 million and a net income leap from USD 45.8 million to USD 182.0 million, in comparison to the same period from the previous year.

Price History

On Monday, August 21 2023, ZOOM VIDEO COMMUNICATIONS (ZVC) reported its second-quarter FY2024 earnings. The stock opened at $66.6 and closed at $67.3, representing a 1.5% increase from the previous closing price of $66.3. This demonstrates the success of ZVC’s strategic initiatives to grow its customer base and expand into new markets. This is an indication of the success of ZVC’s efforts to attract and retain large businesses as customers and develop new products that meet their needs.

ZVC’s robust performance for the quarter was also reflected in its share price, which rose by 1.5% from the previous day’s closing price of 66.3. The company’s success in delivering strong financial results demonstrates its ability to execute its growth strategies and capitalize on the opportunities in the video communications market. Live Quote…

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for ZM. More…

    Total Revenues Net Income Net Margin
    4.46k 141.73 2.3%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for ZM. More…

    Operations Investing Financing
    1.26k -310.11 -506.66
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for ZM. More…

    Total Assets Total Liabilities Book Value Per Share
    8.92k 1.92k 23.53
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for ZM are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    49.1% -17.4% 2.8%
    FCF Margin ROE ROA
    25.4% 1.1% 0.9%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Analysis – ZM Stock Fair Value

    At GoodWhale, we are dedicated to helping investors analyze the financials of publicly-traded companies. We recently completed our analysis of ZOOM VIDEO COMMUNICATIONS and found that its fair value is around $258.0 per share, as calculated by our proprietary Valuation Line. Currently, ZOOM VIDEO COMMUNICATIONS stock is trading at $67.3, which makes it significantly undervalued by 73.9%. This could present an opportunity for investors to purchase shares of this company at a discounted price. More…

  • Risk Rating Analysis
  • Star Chart Analysis
  • Valuation Analysis

  • Peers

    In recent years, the video conferencing market has been growing rapidly with the advent of new technologies. Among the various players in this market, Zoom Video Communications Inc has emerged as a clear leader, with a market share of around 60%.

    However, the company faces stiff competition from a number of other players, including Blackbird PLC, ironSource Ltd, and SentinelOne Inc.

    – Blackbird PLC ($LSE:BIRD)

    Blackbird PLC is a 54.22M market cap company with a ROE of -8.0%. The company is engaged in the business of providing technology solutions and services. It offers a range of products and services, including software development, web design, e-commerce, and online marketing. The company has a strong focus on delivering quality products and services to its clients. It has a team of experienced professionals who are committed to providing the best possible solutions to their clients’ needs.

    – ironSource Ltd ($NYSE:IS)

    IronSource Ltd is a provider of software development tools. The company has a market cap of 3.26B as of 2022 and a return on equity of 4.06%. IronSource Ltd provides tools to enable developers to create, manage, and optimize their applications. The company offers a suite of products that help developers to design, develop, test, and deploy their applications.

    – SentinelOne Inc ($NYSE:S)

    SentinelOne Inc is a publicly traded cybersecurity company headquartered in Mountain View, California. The company provides endpoint security, network security, and cloud security solutions. As of 2022, the company has a market capitalization of 6.58 billion and a return on equity of -12.5%. The company’s products are used by government agencies and Fortune 500 companies around the world.


    Investors should be encouraged by ZOOM VIDEO COMMUNICATIONS’ second quarter of FY2024 results, which saw total revenue increase by 3.6% to USD 1138.7 million and net income rise to USD 182.0 million from USD 45.8 million. This is a positive signal for shareholders as the company continues to experience healthy growth, driven by strong customer demand for their services. Going forward, investors will need to keep an eye on ZOOM VIDEO COMMUNICATIONS’ ability to maintain their growth momentum and continue to deliver strong financial performance.

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