Versant Capital Management Increases Investment in Zoom Video Communications

Versant Capital Management Inc has increased its stake in Zoom Video Communications, Inc. (NASDAQ:ZM) by 53.0% during the fourth quarter, according to the latest filing with the Securities and Exchange Commission (SEC). After purchasing an additional 523 shares, the fund now holds a total of 1,509 shares in the company. The value of Versant Capital Management Inc's investment in Zoom Video Communications was approximately $123,000 at the end of the last quarter.

In addition to Versant Capital, several other hedge funds have also adjusted their positions in Zoom. For instance, Pacer Advisors Inc. raised its investment by 96.7% during the second quarter, now owning 5,246,938 shares valued at $310,566,000, after adding 2,579,720 shares. AQR Capital Management LLC also increased its stake by 78.5%, owning 5,731,354 shares worth $337,233,000 after acquiring 2,520,987 shares during the same period. Furthermore, FMR LLC boosted its holdings by 23.8% in the third quarter, now holding 12,444,887 shares valued at $867,906,000 following a purchase of 2,395,396 shares.

Acadian Asset Management LLC increased its shares by 60.9% during the second quarter, now owning 4,902,397 shares worth $290,153,000 after adding 1,855,679 shares. Moreover, Eagle Asset Management Inc. acquired a new position in Zoom Video Communications during the third quarter, accumulating around $62,038,000. Overall, institutional investors now hold 66.54% of the company's stock.

Zoom Video Communications Stock Performance

On Friday, NASDAQ ZM opened at $82.70. The stock has a 50-day simple moving average of $82.20 and a 200-day simple moving average of $69.94. With a market capitalization of $25.35 billion, the company has a price-to-earnings (P/E) ratio of 27.57 and a price-to-earnings growth (P/E/G) ratio of 5.29. The stock's one-year low stands at $55.06, while the one-year high reaches $92.80.

Analyst Ratings and Price Targets

Recently, various research firms have provided updates on Zoom’s stock. Bank of America raised its price target from $75.00 to $90.00 while maintaining a “neutral” rating on November 26th. Scotiabank upgraded its rating to “hold” on the same date. Evercore ISI pushed its rating from “in-line” to “outperform” and adjusted the price target from $70.00 to $115.00. Additionally, Benchmark increased its target from $85.00 to $97.00, rating the stock as a “buy.” Sanford C. Bernstein also raised its target from $78.00 to $89.00, giving a “market perform” rating. Out of the analysts, two have rated the stock as a sell, fourteen as a hold, eight as a buy, and one as a strong buy, leading to a consensus rating of "Hold" with an average price target of $87.10.

Insider Transactions

In related developments, insider Velchamy Sankarlingam sold 3,618 shares on December 10th for an average price of $84.94, totaling $307,312.92. After the transaction, Sankarlingam retains 107,826 shares valued at approximately $9,158,740.44, which reflects a 3.25% decrease in their holdings. This sale was recorded in a SEC filing. Furthermore, CAO Shane Crehan sold 2,478 shares at an average price of $69.09 on October 7th, resulting in a total transaction value of $171,205.02. After this sale, Crehan's direct ownership in the company decreased to 2,383 shares, valued at around $164,641.47.

Over the past three months, insiders have sold a total of 419,612 shares worth approximately $31,763,516, leaving them with a collective ownership of 10.78% in the company.

Company Overview

Zoom Video Communications, Inc. provides unified communication services across various regions including the Americas, Asia Pacific, Europe, the Middle East, and Africa. Their offerings include Zoom Meetings, which allows for HD video, voice, and content sharing via mobile and desktop devices; Zoom Phone, an enterprise cloud phone system; and Zoom Chat, which facilitates message and content sharing across devices.

Investment, Securities, Communications