Zoom Communications, Inc (ZM) Fair Value & Analysis
Technology · US · Market cap $26.7B
Zoom Communications, Inc
ZM · US
Fair value as of: Aug 13, 2026
From 24 valuation models · updated yesterday
Fair value updated Aug 13, 2026, revised from $81.01 to $109.32 (+34.9%) since Jul 18, 2026. Share price +20.5% over the past month.
A strong business, currently priced close to our fair value.
What matters now
- The price sits close to our fair value, market and models broadly agree here, little valuation tension.
- Our model range runs from $83.14 (bear) to $135.51 (bull), base $109.32. The closer the price sits to the lower half, the larger the margin of safety.
- Quality 76/100 (high quality) with high evidence: the data supports the verdict.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range $55.32 – $401.12 · fair‑value band $83.14 – $135.51 · the $109.84 price screens above the $109.32 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Analysis
Zoom Communications, Inc (ZM) currently trades at $109.84, while our model-based Fair Value estimate is $109.32, implying the stock looks roughly 0.5% fairly valued today. The Quality Score stands at 76/100 (high quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Zoom Communications, Inc generated revenue of $4.9B at a net margin of 42.0%. Revenue grew 5.5% year over year. It earns a return on equity of 22.0%. The balance sheet holds a net cash position of $1.2B. Fundamentals as of Aug 13, 2026
Our scenario range runs from $83.14 (bear case) to $135.51 (bull case); at $109.84, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 59% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -40% fair-value upside, at 0%, ZM screens cheaper than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 24 models by family
Widest divergence: Growth Earnings ($327.85) versus Asset-Based ($24.83). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 76 · Market factors (momentum, volatility) 68
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Zoom Communications, Inc. provides an Artificial Intelligence-first open work platform for human connection in the Americas, the Asia Pacific, Europe, the Middle East, and Africa.
Full company description
Zoom Communications, Inc. provides an Artificial Intelligence-first open work platform for human connection in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, a cloud phone system; and Zoom Team Chat enables users to share messages, images, files, and content in desktop, laptop, tablet, and mobile devices. It also provides Zoom Docs, a modular workspace; Zoom Whiteboard, an interactive canvas; Zoom Clips for capturing video and screen content; Zoom Rooms, a software-based conference room system; and Workspace Reservation. In addition, the company offers Zoom Contact Center, an omnichannel solution; Zoom Revenue Accelerator, a conversation intelligence software for Zoom Meetings and Zoom Phone; Zoom Events to manage, host, market, and report on all of virtual and hybrid events; Zoom Webinars Plus; and Zoom Webinars which supports interactive video presentations to large audiences. Further, it provides Workvivo, an all-in-one employee experience platform; Zoom Developer Platform and App Marketplace which integrates platform with other applications, platforms, websites, and services; and Zoom Apps. It serves individuals; and education, entertainment/media, enterprise infrastructure, finance, government, healthcare, manufacturing, non-profit/not for profit and social impact, retail/consumer products, and software/Internet industries. The company was formerly known as Zoom Video Communications, Inc. and changed its name to Zoom Communications, Inc. in November 2024. The company was incorporated in 2011 and is headquartered in San Jose, California.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Zoom Communications, Inc reported revenue of $4.9B in FY2026 versus $4.1B in FY2022, a compound +4.4%/yr. Reported net income was $1.9B in FY2026, compounding +8.4%/yr from FY2022.
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Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Zoom Communications (ZM) Suffers a Larger Drop Than the General Market: Key Insights
- Zoom Director Santiago Subotovsky Sells 7,911 Shares for $802,000
Peer Group
Software - Application · 712 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Software - Application median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 40/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Software - Application stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| SAP SE SAPS | C$12.46 | C$16.26 | +30% |
| Shopify Inc SHOP | C$209.78 | C$28.76 | -86% |
| Uber Technologies, Inc UBER | $75.36 | $43.66 | -42% |
| Salesforce, Inc CRM | $193.32 | $249.28 | +29% |
| ServiceNow, Inc NOW | $124.94 | $43.73 | -65% |
| Cadence Design Systems, Inc CDNS | $323.13 | $112.57 | -65% |
| Beijing Kingsoft Office Software, Inc 688111 | ¥254.50 | ¥81.23 | -68% |
| Tata Elxsi Limited TATAELXSI | ₹3,712 | ₹2,519 | -32% |
| Douzone Bizon Co 012510 | 120,000 KRW | 92,181 KRW | -23% |
| KFin Technologies Limited KFINTECH | ₹922.00 | ₹556.85 | -40% |
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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