Zoom Video Communications, Inc. ZM shares are trading lower on Wednesday. The stock has been volatile following the release of the company's third-quarter earnings.
What To Know: Zoom reported its third-quarter financial results on Monday. The company posted quarterly revenue of $1.14 billion, above the consensus estimate of $1.12 billion, representing growth of 3.2% year-over-year.
Quarterly earnings of $1.29 per share surpassed analyst estimates of $1.08 per share, a 20.56% increase over earnings of $1.07 per share from the same quarter in 2022.
Zoom also issued guidance above estimates, with fourth-quarter revenue anticipated to be between $1.125 billion and $1.13 billion, versus estimates of $1.13 billion, and earnings expected to be between $1.13 and $1.15 per share versus estimates of $1.00 per share.
Full-year revenue is estimated to be between $4.506 billion and $4.511 billion versus estimates of $4.5 billion. Full-year earnings are expected to be between $4.93 and $4.95 per share versus estimates of $4.27 per share.
Zoom stock has experienced volatility in the days after the company's earnings release, with shares pulling back on Wednesday by over 3%.
Additionally, two analysts changed their price targets on the stock on Tuesday. Barclays analyst Ryan Macwilliams maintained Zoom Video Comm with a Equal-Weight and lowered the price target from $80 to $70 and Piper Sandler analyst James Fish maintained Zoom Video Comms with a Neutral and lowered the price target from $76 to $69.
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ZM Price Action: Shares of ZM were down 2.76% at $64.12 at the time of publication, according to Benzinga Pro.
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