Zoom Video Communications Inc ZM shares are trading higher Tuesday morning after the company reported better-than-expected financial results and issued guidance above analyst estimates.
Zoom said first-quarter revenue increased 12% year-over-year to $1.074 billion, which beat the estimate of $1.07 billion, according to data from Benzinga Pro. The company reported quarterly earnings of $1.03 per share, which beat the estimate of 87 cents per share.
Zoom said it had approximately 198,900 enterprise customers at the end of the quarter, up 24% year-over-year. 2,916 customers contributed more than $100,000 in revenue over a trailing 12-month period, up about 46% year-over-year.
Zoom expects second-quarter revenue to be between $1.115 billion and $1.12 billion versus the estimate of $1.11 billion. The company said it expects second-quarter adjusted earnings to be between 90 and 92 cents per share versus the estimate of 88 cents per share.
Zoom guided for $4.53 billion to $4.55 billion in full-year revenue versus the estimate of $4.55 billion. The company expects full-year adjusted earnings to be between $3.70 and $3.77 per share versus the estimate of $3.53 per share.
- RBC Capital analyst Rishi Jaluria maintained Zoom with an Outperform rating and lowered the price target from $200 to $150.
- Deutsche Bank analyst Matthew Niknam maintained Zoom with a Hold rating and lowered the price target from $155 to $105.
- Citigroup analyst Tyler Radke maintained Zoom with a Neutral rating and lowered the price target from $118 to $99.
- Benchmark analyst Matthew Harrigan maintained Zoom with a Buy rating and raised the price target from $124 to $128.
ZM Price Action: Zoom shares have traded between $79.03 and $406.48 over a 52-week period.
The stock was up 3.36% at $92.66 at time of publication.
Photo: courtesy of Zoom.
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