ZOOM COMMUNICATIONS INC (1ZM.MI) Stock Fundamental Analysis
BIT:1ZM - US98980L1017 - Common Stock
69.28 EUR
-13.55 (-16.36%)
We assign a fundamental rating of 6 out of 10 to 1ZM. 1ZM was compared to 101 industry peers in the Software industry. 1ZM is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. 1ZM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
1ZM had positive earnings in the past year.
In the past year 1ZM had a positive cash flow from operations.
1ZM had positive earnings in each of the past 5 years.
1ZM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.81%, 1ZM is in the better half of the industry, outperforming 77.23% of the companies in the same industry.
With a decent Return On Equity value of 10.84%, 1ZM is doing good in the industry, outperforming 61.39% of the companies in the same industry.
With a Return On Invested Capital value of 5.07%, 1ZM perfoms like the industry average, outperforming 59.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1ZM is significantly below the industry average of 12.69%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.81% | ||
| ROE | 10.84% | ||
| ROIC | 5.07% |
ROA(3y)8.64%
ROA(5y)8.05%
ROE(3y)11.14%
ROE(5y)10.68%
ROIC(3y)5.83%
ROIC(5y)5.62%
1.3 Margins
1ZM has a Profit Margin of 20.34%. This is in the better half of the industry: 1ZM outperforms 79.21% of its industry peers.
1ZM's Profit Margin has declined in the last couple of years.
The Operating Margin of 1ZM (16.35%) is better than 69.31% of its industry peers.
In the last couple of years the Operating Margin of 1ZM has grown nicely.
With a decent Gross Margin value of 75.83%, 1ZM is doing good in the industry, outperforming 60.40% of the companies in the same industry.
In the last couple of years the Gross Margin of 1ZM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.35% | ||
| PM (TTM) | 20.34% | ||
| GM | 75.83% |
OM growth 3Y-17.13%
OM growth 5Y50.27%
PM growth 3Y-17.77%
PM growth 5YN/A
GM growth 3Y3.43%
GM growth 5Y-1.31%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1ZM is destroying value.
The number of shares outstanding for 1ZM has been increased compared to 1 year ago.
Compared to 5 years ago, 1ZM has more shares outstanding
There is no outstanding debt for 1ZM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
1ZM has an Altman-Z score of 9.35. This indicates that 1ZM is financially healthy and has little risk of bankruptcy at the moment.
1ZM has a Altman-Z score of 9.35. This is amongst the best in the industry. 1ZM outperforms 86.14% of its industry peers.
There is no outstanding debt for 1ZM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 9.35 |
ROIC/WACC0.45
WACC11.16%
2.3 Liquidity
A Current Ratio of 4.60 indicates that 1ZM has no problem at all paying its short term obligations.
1ZM has a better Current ratio (4.60) than 87.13% of its industry peers.
A Quick Ratio of 4.60 indicates that 1ZM has no problem at all paying its short term obligations.
1ZM has a better Quick ratio (4.60) than 87.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.6 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.58% over the past year.
Measured over the past years, 1ZM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.09% on average per year.
The Revenue has been growing slightly by 2.87% in the past year.
Measured over the past years, 1ZM shows a very strong growth in Revenue. The Revenue has been growing by 68.78% on average per year.
EPS 1Y (TTM)10.58%
EPS 3Y16.09%
EPS 5YN/A
EPS Q2Q%6.98%
Revenue 1Y (TTM)2.87%
Revenue growth 3Y19.52%
Revenue growth 5Y68.78%
Sales Q2Q%3.59%
3.2 Future
Based on estimates for the next years, 1ZM will show a small growth in Earnings Per Share. The EPS will grow by 2.09% on average per year.
Based on estimates for the next years, 1ZM will show a small growth in Revenue. The Revenue will grow by 3.85% on average per year.
EPS Next Y7.71%
EPS Next 2Y2.98%
EPS Next 3Y2.44%
EPS Next 5Y2.09%
Revenue Next Year3.27%
Revenue Next 2Y3.23%
Revenue Next 3Y3.27%
Revenue Next 5Y3.85%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.68, the valuation of 1ZM can be described as correct.
1ZM's Price/Earnings ratio is rather cheap when compared to the industry. 1ZM is cheaper than 92.08% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.07. 1ZM is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.73, 1ZM is valued correctly.
Based on the Price/Forward Earnings ratio, 1ZM is valued cheaper than 86.14% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.59. 1ZM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.68 | ||
| Fwd PE | 14.73 |
4.2 Price Multiples
74.26% of the companies in the same industry are more expensive than 1ZM, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1ZM indicates a rather cheap valuation: 1ZM is cheaper than 86.14% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.45 | ||
| EV/EBITDA | 12.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of 1ZM may justify a higher PE ratio.
PEG (NY)1.9
PEG (5Y)N/A
EPS Next 2Y2.98%
EPS Next 3Y2.44%
5. Dividend
5.1 Amount
1ZM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1ZM (9/2/2025, 7:00:00 PM)
69.28
-13.55 (-16.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners68.95%
Inst Owner ChangeN/A
Ins Owners4.22%
Ins Owner ChangeN/A
Market Cap21.23B
Analysts71.22
Price Target74.62 (7.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.67%
Min EPS beat(2)2.2%
Max EPS beat(2)11.15%
EPS beat(4)4
Avg EPS beat(4)10.6%
Min EPS beat(4)2.2%
Max EPS beat(4)19.39%
EPS beat(8)8
Avg EPS beat(8)17.72%
EPS beat(12)12
Avg EPS beat(12)17.14%
EPS beat(16)15
Avg EPS beat(16)18.6%
Revenue beat(2)0
Avg Revenue beat(2)-1.8%
Min Revenue beat(2)-1.81%
Max Revenue beat(2)-1.79%
Revenue beat(4)0
Avg Revenue beat(4)-1.7%
Min Revenue beat(4)-1.81%
Max Revenue beat(4)-1.59%
Revenue beat(8)0
Avg Revenue beat(8)-1.43%
Revenue beat(12)0
Avg Revenue beat(12)-1.82%
Revenue beat(16)3
Avg Revenue beat(16)-0.87%
PT rev (1m)4.79%
PT rev (3m)5.16%
EPS NQ rev (1m)4.06%
EPS NQ rev (3m)4.32%
EPS NY rev (1m)1.71%
EPS NY rev (3m)8.3%
Revenue NQ rev (1m)0.5%
Revenue NQ rev (3m)0.41%
Revenue NY rev (1m)0.4%
Revenue NY rev (3m)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.68 | ||
| Fwd PE | 14.73 | ||
| P/S | 5.39 | ||
| P/FCF | 14.45 | ||
| P/OCF | 13.32 | ||
| P/B | 2.87 | ||
| P/tB | 2.98 | ||
| EV/EBITDA | 12.39 |
EPS(TTM)4.72
EY6.81%
EPS(NY)4.7
Fwd EY6.79%
FCF(TTM)4.79
FCFY6.92%
OCF(TTM)5.2
OCFY7.51%
SpS12.86
BVpS24.11
TBVpS23.26
PEG (NY)1.9
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.81% | ||
| ROE | 10.84% | ||
| ROCE | 8.57% | ||
| ROIC | 5.07% | ||
| ROICexc | 39.77% | ||
| ROICexgc | 54.73% | ||
| OM | 16.35% | ||
| PM (TTM) | 20.34% | ||
| GM | 75.83% | ||
| FCFM | 37.28% |
ROA(3y)8.64%
ROA(5y)8.05%
ROE(3y)11.14%
ROE(5y)10.68%
ROIC(3y)5.83%
ROIC(5y)5.62%
ROICexc(3y)53.51%
ROICexc(5y)N/A
ROICexgc(3y)61.51%
ROICexgc(5y)N/A
ROCE(3y)9.87%
ROCE(5y)9.51%
ROICexcg growth 3YN/A
ROICexcg growth 5Y26.91%
ROICexc growth 3YN/A
ROICexc growth 5Y17.67%
OM growth 3Y-17.13%
OM growth 5Y50.27%
PM growth 3Y-17.77%
PM growth 5YN/A
GM growth 3Y3.43%
GM growth 5Y-1.31%
F-Score8
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 127.28% | ||
| Cap/Sales | 3.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 214.66% | ||
| Profit Quality | 183.3% | ||
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.6 | ||
| Altman-Z | 9.35 |
F-Score8
WACC11.16%
ROIC/WACC0.45
Cap/Depr(3y)187.82%
Cap/Depr(5y)218.66%
Cap/Sales(3y)2.99%
Cap/Sales(5y)3.67%
Profit Quality(3y)490.11%
Profit Quality(5y)439.64%
High Growth Momentum
Growth
EPS 1Y (TTM)10.58%
EPS 3Y16.09%
EPS 5YN/A
EPS Q2Q%6.98%
EPS Next Y7.71%
EPS Next 2Y2.98%
EPS Next 3Y2.44%
EPS Next 5Y2.09%
Revenue 1Y (TTM)2.87%
Revenue growth 3Y19.52%
Revenue growth 5Y68.78%
Sales Q2Q%3.59%
Revenue Next Year3.27%
Revenue Next 2Y3.23%
Revenue Next 3Y3.27%
Revenue Next 5Y3.85%
EBIT growth 1Y114.77%
EBIT growth 3Y-0.95%
EBIT growth 5Y153.63%
EBIT Next Year9.88%
EBIT Next 3Y4.72%
EBIT Next 5Y4%
FCF growth 1Y46.48%
FCF growth 3Y2.04%
FCF growth 5Y134.4%
OCF growth 1Y45.33%
OCF growth 3Y2.81%
OCF growth 5Y98.95%