The share price of Zoom Video Communications, Inc. [NASDAQ: ZM] inclined by $74.50, presently trading at $70.24. The company’s shares saw 17.18% gains compared to the lowest price in the period of the last 52 weeks, set at $59.94 recorded on Dec 2, 2019. The last few days have been tough to the share price as ZM fall by -5.86% during the last week, even though the stock is still down by -7.46% compared to -2.98 of all time high it touched on 11/27/19. However, the stock had a poor performance during the past 3 months, roughly gaining 6.43%, while additionally N/A during the last 12 months. Zoom Video Communications, Inc. is said to have a 12-month price target set at $91.67. That means that the stock has a strong potential to acquire 21.43% increase from the current trading price.

Zoom Video Communications, Inc. [NASDAQ:ZM]: Analyst Rating and Earnings

Its stock price has been found in the range of 59.94 to 107.34. This is compared to its latest closing price of $74.50.

Keep on the lookout for this organization’s next scheduled financial results, which are expected to be made public on Thu 5 Dec (In 3 Days).

Fundamental Analysis of Zoom Video Communications, Inc. [ZM]

Now let’s turn to look at profitability: with a current Operating Margin for Zoom Video Communications, Inc. [ZM] sitting at +1.87 and its Gross Margin at +75.24.

This company’s Return on Total Capital is 4.11, and its Return on Invested Capital has reached 73.00%.

Turning to investigate this organization’s capital structure, Zoom Video Communications, Inc. [ZM] has generated a Total

Debt to Total Equity ratio of 9.77. Similarly, its Total Debt to Total Capital is 8.90, while its Total Debt to Total Assets stands at 4.19.

What about valuation? This company’s Enterprise Value to EBITDA is 594.40 and its Total Debt to EBITDA Value is 0.44. The Enterprise Value to Sales for this firm is now 43.60.

Shifting the focus to workforce efficiency, Zoom Video Communications, Inc. [ZM] earns $194,193 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.50 and its Total Asset Turnover is 1.16. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.64 and its Current Ratio is 1.64. 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.

Zoom Video Communications, Inc. [ZM] has 272.01M shares outstanding, amounting to a total market cap of $20.26B. Its stock price has been found in the range of 59.94 to 107.34. At its current price, it has moved down by -34.56% from its 52-week high, and it has moved up 17.18% from its 52-week low.

This stock’s Relative Strength Index (RSI) is at 46.73. This RSI score is good, suggesting this stock is neither overbought or oversold.

Conclusion: Is Zoom Video Communications, Inc. [ZM] a Reliable Buy?

Shares of Zoom Video Communications, Inc. [ZM], 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.