Zoom shares fell almost 15% amid publication of financial report

Zoom Video Communications this week released its third-quarter financials, which showed that the slowdown in the company’s core indicators continues. Against this backdrop, Wall Street firms lowered their targets for the price of Zoom shares, after which the value of the company’s shares fell by 14.71%.

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Investment house BTIG reportedly lowered its target price for Zoom from $ 460 to $ 400 and affirmed its Buy rating, explaining the adjustment as a desire to “better reflect current market sentiment.” Deutsche Bank Research lowered its 12-month target price for Zoom shares from $ 350 to $ 280 per share. Baird, Guggenheim, Wells Fargo, Stifel, UBS, Piper Sandler and KeyBanc also lowered their price benchmarks for Zoom stock. Despite this, the source notes that in general, Wall Street remains optimistic about the future of the company.

“While we continue to assess Zoom’s strategic initiatives and investments in key growth areas, we find it harder to sympathize with stocks that are slowing sharply and underperformance is putting additional pressure.”, – commented on this issue in Deutsche Bank.

Recall that for the last quarter ended for Zoom on October 31, the company’s revenue grew by 34%, while in the previous similar period of time, there was an increase of 54%. Zoom is forecasting adjusted earnings of $ 1.06 to $ 1.07 per share for the fourth quarter of fiscal 2021 on revenues of $ 1.051 billion to $ 1.053 billion, an increase of 19%.

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Source: 3DNews – все новости сайта by 3dnews.ru.

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