Is Zoom Video Communications Stock a Buy Now?
Zoom Video Communications' (NASDAQ: ZM) stock price jumped 7% on Feb. 27 after the cloud-based video conferencing company posted its latest earnings report. For the fourth quarter of fiscal 2023, which ended on Jan. 31, Zoom's revenue rose 4% year over year to $1.12 billion and exceeded analysts' estimates by $20 million. Its adjusted net income declined 7% to $367 million, or $1.22 per share, but still cleared the consensus forecast by $0.40.
For the full year, Zoom's revenue only grew 7% to $4.39 billion, decelerating significantly from its 55% growth in fiscal 2022, while its adjusted net income declined 14% to $1.33 billion, or $4.37 per share. That slowdown wasn't surprising, since Zoom was expected to face tough year-over-year comparisons following its growth spurt during the pandemic. But could Zoom finally be a worthwhile investment after shedding more than 40% of its market value over the past 12 months?
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Source Fool.com
