Zendesk, Inc.[ZEN] stock saw a move by 4.72% on Thursday, touching 1.52 million. Based on the recent volume, Zendesk, Inc. stock traders appear to be active. The most recent trading volume of ZEN shares recorded 113.43M shares, which represents the daily volume of traded shares. Analysts estimates state that Zendesk, Inc. [ZEN] stock could reach median target price of $105.00.
Zendesk, Inc. [ZEN] stock additionally went up by +0.49% in the period of the 7 days, recording a drop in performance by -20.53% in the last 30 days. The yearly more of ZEN stock is set at 18.17% by far, with shares price recording returns by -11.31% in the latest quarter. Over the past six months, ZEN shares showcased -3.11% decrease. ZEN saw -17.89% change opposing the low price in the last 12 months, also recording 70.86% compared to high within the same period of time.
Zendesk, Inc. [NYSE:ZEN]: Analyst Rating and Earnings
Equities traders often pay a significant amount of attention to what top market analysts have to say about a potential stock investment. In regards to Zendesk, Inc. [ZEN], the most recent average analyst recommendation we can read comes from the fiscal quarter ending in December. On average, stock market experts give ZEN an Outperform rating. Its stock price has been found in the range of 45.60 to 94.89. This is compared to its latest closing price of $74.40.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Zendesk, Inc. [ZEN] is sitting at 1.76. This is compared to 1 month ago, when its average rating was 1.76.
For the quarter ending in Mar-19 Zendesk, Inc. [ZEN] generated $0.18 billion in sales. That’s 1.07% higher than the average estimate of $0.18 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep your eyes on this company’s next financial results, which are scheduled to be made public on Tue 29 Oct (In 77 Days).
Fundamental Analysis of Zendesk, Inc. [ZEN]
Now let’s turn to look at profitability: with a current Operating Margin for Zendesk, Inc. [ZEN] sitting at -22.40 and its Gross Margin at +69.73, this company’s Net Margin is now -23.70%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is -22.42, and its Return on Invested Capital has reached -14.40%. Its Return on Equity is -35.50, and its Return on Assets is -14.58. These metrics suggest that this Zendesk, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Zendesk, Inc. [ZEN] has generated a Total Debt to Total Equity ratio of 109.90. Similarly, its Total Debt to Total Capital is 52.36, while its Total Debt to Total Assets stands at 37.01. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 109.55, and its Long-Term Debt to Total Capital is 52.19. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is -85.43. The Enterprise Value to Sales for this firm is now 12.11, and its Total Debt to Enterprise Value stands at 0.07. Zendesk, Inc. [ZEN] has a Price to Book Ratio of 15.13, a Price to Cash Flow Ratio of 78.38.
Shifting the focus to workforce efficiency, Zendesk, Inc. [ZEN] earns $218,520 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 8.41 and its Total Asset Turnover is 0.67. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.59 and its Current Ratio is 1.59. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Zendesk, Inc. [ZEN] has 113.43M shares outstanding, amounting to a total market cap of $8.44B. Its stock price has been found in the range of 45.60 to 94.89. At its current price, it has moved down by -17.89% from its 52-week high, and it has moved up 70.86% from its 52-week low.
This stock’s Beta value is currently 1.32, which indicates that it is 2.98% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 35.83. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Zendesk, Inc. [ZEN] a Reliable Buy?
Shares of Zendesk, Inc. [ZEN], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.