Equity Brief · Technology2026-09-16
ZM·Technology

Last results 25 Aug 2026Next reporting 24 Nov 2026

Zoom Communications, Inc.

I · AI Analysis

The brief

Zoom offers video conferencing, cloud phone service, team chat, and workplace collaboration tools for businesses and individuals. The company recently launched AI-powered revenue management software designed to help sales teams track customer conversations and forecast revenue in addition to its meeting platform.

Zoom Communications provides a cloud-based platform for video meetings, phone service, team chat, and workplace collaboration tools across the globe [Yahoo Finance]. The company is expanding beyond its core video conferencing business into AI-powered sales and revenue management software with new products called Engage and Forecast [GuruFocus]. CEO Eric Yuan sold $10.0M in stock over the past 90 days, alongside $3.0M in sales from other insiders, with no open-market purchases [SEC Form 4].

Strong cash generation and balance sheet, but reported profitability inflated by one-time non-operating gains

The brief AI analysisConfidence 7/10

Sentinellis health

Financially healthy

8.3/10

7.5+ strong · 4.5–7.5 moderate · under 4.5 weak

Profitability

17% of score10.0/10
Net margin+65.2%Gross margin+77.7%

Returns on capital

17% of score10.0/10
ROIC+22.6%Return on equity+28.8%

Growth & momentum

22% of score5.0/10
Revenue growth+4.9%· need > +5% YoYOperating margin trend-1.8pp YoY

Balance sheet

28% of score10.0/10
Current ratio3.8xNet debt / EBITDA-5.5xInterest coverage—· no dataDebt / equity0.01

Cash generation

17% of score6.7/10
Free cash flow$1.9BCash vs reported profit$2.0B vs $3.3B· need OCF > net income

Value creation

no data
ROIC vs cost of capital—· no data

Sentinellis calculation from the published statements — not a score reported by any data source. Each category is scored on the checks that had data; missing inputs are excluded rather than counted as failures.

Market capitalisation

$27.2B

Revenue (TTM)

$5.0B

Explainers

How we read these numbers

Plain-English guides · no account needed

II · Recent news

What moved

6 stories · ranked by relevance

  • Company2026-09-15

    Zoom Moves Into Sales Software With Engage and Forecast

    GuruFocus

  • Company2026-09-10

    Zoom Communications director Subotovsky sells $254,804 of ZM stock - Investing.com

    Investing.com

  • Sector2026-09-10

    Bending Spoons to buy collaboration tools maker Miro for $1.36B, 90% less than its 2022 valuation

    TechCrunch

  • Company2026-09-15

    Zoom Launches AI-Powered Revenue Platform With New Sales and Forecasting Tools

    InvestorsHub

  • Company2026-09-15

    Zoom Communications, Inc.: Zoom unveils AI-powered revenue OS to unify buyer intelligence, customer conversations, and revenue execution

    finanznachrichten.de

  • Company2026-09-11

    Zoom Communications Bets on AI to Turn Meetings Into Revenue-Driving Workflows

    MarketBeat

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Forward price-to-earnings ratio of 14.7x is significantly higher than the trailing 8.9x, indicating the market expects earnings to fall from current levels [Yahoo Finance]

1 of 5 risks in this report

Risks

5

Opportunities

4

Red flags

2

Leadership

10

10 more findings in the full report — free with any account.

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Produced 16 Sept 2026, 11:46 UTC

Figures come from company filings and market data. The Sentinellis health score and the wording attached to it are our interpretation of those figures, not numbers the company reported.

Not investment advice and not a recommendation to buy or sell. Sentinellis holds no positions in the companies it covers, takes no payment from issuers, and has no broker referral arrangements.

How every figure and score is calculated