ZOOM COMMUNICATIONS INC (5ZM.DE) Stock Fundamental Analysis
Europe - FRA:5ZM - US98980L1017 - Common Stock
67.44 EUR
-0.5 (-0.74%)
Taking everything into account, 5ZM scores 7 out of 10 in our fundamental rating. 5ZM was compared to 111 industry peers in the Software industry. 5ZM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 5ZM has a correct valuation and a medium growth rate. These ratings could make 5ZM a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
5ZM had positive earnings in the past year.
5ZM had a positive operating cash flow in the past year.
In the past 5 years 5ZM has always been profitable.
5ZM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
5ZM's Return On Assets of 9.57% is amongst the best of the industry. 5ZM outperforms 87.38% of its industry peers.
Looking at the Return On Equity, with a value of 11.78%, 5ZM is in the better half of the industry, outperforming 70.87% of the companies in the same industry.
5ZM has a Return On Invested Capital of 7.22%. This is in the better half of the industry: 5ZM outperforms 67.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 5ZM is significantly below the industry average of 12.85%.
The 3 year average ROIC (5.31%) for 5ZM is below the current ROIC(7.22%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.57% | ||
| ROE | 11.78% | ||
| ROIC | 7.22% |
ROA(3y)5.63%
ROA(5y)9.55%
ROE(3y)6.98%
ROE(5y)12.42%
ROIC(3y)5.31%
ROIC(5y)8.46%
1.3 Margins
Looking at the Profit Margin, with a value of 22.31%, 5ZM belongs to the top of the industry, outperforming 88.35% of the companies in the same industry.
In the last couple of years the Profit Margin of 5ZM has grown nicely.
5ZM's Operating Margin of 18.13% is fine compared to the rest of the industry. 5ZM outperforms 78.64% of its industry peers.
5ZM's Operating Margin has improved in the last couple of years.
The Gross Margin of 5ZM (75.85%) is comparable to the rest of the industry.
5ZM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.13% | ||
| PM (TTM) | 22.31% | ||
| GM | 75.85% |
OM growth 3Y-12.41%
OM growth 5Y53.59%
PM growth 3Y-13.57%
PM growth 5Y43.97%
GM growth 3Y0.67%
GM growth 5Y-1.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 5ZM is destroying value.
Compared to 1 year ago, 5ZM has less shares outstanding
Compared to 5 years ago, 5ZM has more shares outstanding
5ZM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 8.94 indicates that 5ZM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 8.94, 5ZM belongs to the top of the industry, outperforming 85.44% of the companies in the same industry.
5ZM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 8.94 |
ROIC/WACC0.81
WACC8.93%
2.3 Liquidity
A Current Ratio of 4.57 indicates that 5ZM has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.57, 5ZM belongs to the best of the industry, outperforming 89.32% of the companies in the same industry.
5ZM has a Quick Ratio of 4.57. This indicates that 5ZM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of 5ZM (4.57) is better than 89.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.57 | ||
| Quick Ratio | 4.57 |
3. Growth
3.1 Past
5ZM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.89%.
Measured over the past years, 5ZM shows a very strong growth in Earnings Per Share. The EPS has been growing by 73.67% on average per year.
The Revenue has been growing slightly by 2.98% in the past year.
Measured over the past years, 5ZM shows a very strong growth in Revenue. The Revenue has been growing by 49.60% on average per year.
EPS 1Y (TTM)3.89%
EPS 3Y2.87%
EPS 5Y73.67%
EPS Q2Q%5.93%
Revenue 1Y (TTM)2.98%
Revenue growth 3Y4.4%
Revenue growth 5Y49.6%
Sales Q2Q%2.93%
3.2 Future
5ZM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.47% yearly.
5ZM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.06% yearly.
EPS Next Y3.9%
EPS Next 2Y2.87%
EPS Next 3Y3.36%
EPS Next 5Y2.47%
Revenue Next Year3.15%
Revenue Next 2Y3.21%
Revenue Next 3Y3.35%
Revenue Next 5Y3.06%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.08, the valuation of 5ZM can be described as correct.
Based on the Price/Earnings ratio, 5ZM is valued cheaply inside the industry as 92.23% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.89, 5ZM is valued a bit cheaper.
With a Price/Forward Earnings ratio of 13.49, 5ZM is valued correctly.
Based on the Price/Forward Earnings ratio, 5ZM is valued cheaper than 86.41% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.99, 5ZM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.08 | ||
| Fwd PE | 13.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 5ZM is valued cheaply inside the industry as 80.58% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, 5ZM is valued cheaply inside the industry as 86.41% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.03 | ||
| EV/EBITDA | 9.69 |
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 5ZM may justify a higher PE ratio.
PEG (NY)3.61
PEG (5Y)0.19
EPS Next 2Y2.87%
EPS Next 3Y3.36%
5. Dividend
5.1 Amount
5ZM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:5ZM (6/19/2025, 7:00:00 PM)
67.44
-0.5 (-0.74%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners74.24%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap20.40B
Revenue(TTM)4.70B
Net Income(TTM)1.05B
Analysts72.2
Price Target80.81 (19.83%)
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 Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.67%
Min EPS beat(2)5.11%
Max EPS beat(2)6.23%
EPS beat(4)4
Avg EPS beat(4)6.17%
Min EPS beat(4)2.2%
Max EPS beat(4)11.15%
EPS beat(8)8
Avg EPS beat(8)11.5%
EPS beat(12)12
Avg EPS beat(12)15.41%
EPS beat(16)15
Avg EPS beat(16)14.34%
Revenue beat(2)0
Avg Revenue beat(2)-2.36%
Min Revenue beat(2)-2.54%
Max Revenue beat(2)-2.19%
Revenue beat(4)0
Avg Revenue beat(4)-2.08%
Min Revenue beat(4)-2.54%
Max Revenue beat(4)-1.79%
Revenue beat(8)0
Avg Revenue beat(8)-1.73%
Revenue beat(12)0
Avg Revenue beat(12)-1.94%
Revenue beat(16)1
Avg Revenue beat(16)-1.66%
PT rev (1m)0.09%
PT rev (3m)-9.02%
EPS NQ rev (1m)0.57%
EPS NQ rev (3m)1.74%
EPS NY rev (1m)3.07%
EPS NY rev (3m)4.06%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)0.41%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.08 | ||
| Fwd PE | 13.49 | ||
| P/S | 5.08 | ||
| P/FCF | 14.03 | ||
| P/OCF | 12.93 | ||
| P/B | 2.68 | ||
| P/tB | 2.8 | ||
| EV/EBITDA | 9.69 |
EPS(TTM)4.79
EY7.1%
EPS(NY)5
Fwd EY7.41%
FCF(TTM)4.81
FCFY7.13%
OCF(TTM)5.21
OCFY7.73%
SpS13.27
BVpS25.14
TBVpS24.12
PEG (NY)3.61
PEG (5Y)0.19
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.57% | ||
| ROE | 11.78% | ||
| ROCE | 9.41% | ||
| ROIC | 7.22% | ||
| ROICexc | 51.78% | ||
| ROICexgc | 72.67% | ||
| OM | 18.13% | ||
| PM (TTM) | 22.31% | ||
| GM | 75.85% | ||
| FCFM | 36.23% |
ROA(3y)5.63%
ROA(5y)9.55%
ROE(3y)6.98%
ROE(5y)12.42%
ROIC(3y)5.31%
ROIC(5y)8.46%
ROICexc(3y)36.3%
ROICexc(5y)N/A
ROICexgc(3y)50.43%
ROICexgc(5y)N/A
ROCE(3y)6.92%
ROCE(5y)11.03%
ROICexgc growth 3Y-24.37%
ROICexgc growth 5Y47.41%
ROICexc growth 3Y-31.14%
ROICexc growth 5Y37.92%
OM growth 3Y-12.41%
OM growth 5Y53.59%
PM growth 3Y-13.57%
PM growth 5Y43.97%
GM growth 3Y0.67%
GM growth 5Y-1.44%
F-Score7
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 109.66% | ||
| Cap/Sales | 3.06% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 187.8% | ||
| Profit Quality | 162.36% | ||
| Current Ratio | 4.57 | ||
| Quick Ratio | 4.57 | ||
| Altman-Z | 8.94 |
F-Score7
WACC8.93%
ROIC/WACC0.81
Cap/Depr(3y)124.25%
Cap/Depr(5y)194.34%
Cap/Sales(3y)2.78%
Cap/Sales(5y)3.03%
Profit Quality(3y)514.4%
Profit Quality(5y)371.14%
High Growth Momentum
Growth
EPS 1Y (TTM)3.89%
EPS 3Y2.87%
EPS 5Y73.67%
EPS Q2Q%5.93%
EPS Next Y3.9%
EPS Next 2Y2.87%
EPS Next 3Y3.36%
EPS Next 5Y2.47%
Revenue 1Y (TTM)2.98%
Revenue growth 3Y4.4%
Revenue growth 5Y49.6%
Sales Q2Q%2.93%
Revenue Next Year3.15%
Revenue Next 2Y3.21%
Revenue Next 3Y3.35%
Revenue Next 5Y3.06%
EBIT growth 1Y18.58%
EBIT growth 3Y-8.56%
EBIT growth 5Y129.77%
EBIT Next Year10.48%
EBIT Next 3Y5.55%
EBIT Next 5Y4.97%
FCF growth 1Y58.52%
FCF growth 3Y7.41%
FCF growth 5Y73.91%
OCF growth 1Y56.13%
OCF growth 3Y6.61%
OCF growth 5Y66.53%
ZOOM COMMUNICATIONS INC / 5ZM.DE FAQ
What is the fundamental rating for 5ZM stock?
ChartMill assigns a fundamental rating of 7 / 10 to 5ZM.DE.
Can you provide the valuation status for ZOOM COMMUNICATIONS INC?
ChartMill assigns a valuation rating of 6 / 10 to ZOOM COMMUNICATIONS INC (5ZM.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for ZOOM COMMUNICATIONS INC?
ZOOM COMMUNICATIONS INC (5ZM.DE) has a profitability rating of 8 / 10.
How financially healthy is ZOOM COMMUNICATIONS INC?
The financial health rating of ZOOM COMMUNICATIONS INC (5ZM.DE) is 9 / 10.
What is the expected EPS growth for ZOOM COMMUNICATIONS INC (5ZM.DE) stock?
The Earnings per Share (EPS) of ZOOM COMMUNICATIONS INC (5ZM.DE) is expected to grow by 3.9% in the next year.