Zoom Communications, Inc. (ZM): one to watch?

Fairly priced cash machine, not a bargain — slow growth and Microsoft/Google competition justify the cheap multiple, no fresh catalyst found for the recent dip.

👀 WATCH Fundamentals72/100

Down 84% from its all-time high of $559.00 — now $89.77

Why ZM dropped

The stock's huge collapse from its 2020 peak happened years ago as pandemic-era video-call demand normalized; the recent -11% pullback from its 30-day high looks like ordinary volatility around its August earnings date rather than a new specific bad-news event.

Fwd P/E 14.3Op margin 25.1%Rev growth 5.5%Debt/equity 0.6%Analyst upside 28.1%

How this scored 72/100

✅ Passes all 4 hard checks — profitable, cash-generative, and financially survivable.

✅ Makes money Net profit margin 42.0%

✅ Generates cash Free cash flow $2.0B

✅ Not drowning in debt Debt/equity 0.6% (limit 200%)

✅ Can pay its bills Current ratio 4.2 (needs 1+)

Bar length shows how much each metric is worth — a 10-point metric is twice as wide as a 5-point one. Hover any row for what it means.

Profitability Does it actually make money? 24/25

Operating margin 25.1% 9/9

Net profit margin 42.0% 8/8

Return on equity 21.9% 7/8

Growth Is it getting bigger, or dying? 12/25

Revenue growth 5.5% 3/9

Earnings growth 74.2% 8/8

Expected profit change -7.2% 1/8

Value Is it cheap right now? 11/25

Forward P/E 14.3 8/10

PEG ratio 4.2 0/8

Analyst target upside 28.1% 3/7

Balance sheet Will it survive? 25/25

Debt / equity 0.6% 10/10

Current ratio 4.2 8/8

Free cash flow $2.0B 7/7

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Analysis generated by SmartStonks's AI from public fundamentals and news, first flagged 2026-07-22. Research only — not financial advice.