Is Zoom Stock a Buy?
Investors don't seem to know what to make of Zoom Video Communications (NASDAQ: ZM) these days. The online communications specialist's shares had been up by over 20% in early 2023, but the stock is now trailing the market by a wide margin.
Zoom recently updated shareholders with its fiscal second-quarter earnings announcement. That report was packed with fresh data on sales growth trends, along with key metrics describing the financial strength of its business. Let's take a closer look at whether these factors make the stock a compelling buy right now.
During the pandemic, most of Zoom's growth came from its consumer-focused business. Yet today it's the enterprise segment that's making the difference. Zoom's online unit shrank by 4% in the selling period that ran through late July, marking a slight improvement from the prior quarter's 8% slump. But a 10% increase in the enterprise division, which caters to larger companies, helped overall sales rise by 5% after accounting for currency-exchange swings.
Source Fool.com
