At the end of FY 2021, Zoom had 2,725 customers generating $100,000 or more each in trailing 12 months revenue, Barron’s reported. But, he warned, keep a close eye on competition from Microsoft, even though there is likely room for more than one player in the consumer video conferencing game.Īdditionally, remember that enterprise customers remain Zoom’s cash cow - and that aspect of the business remains solid. 2022, Justin Pope of The Motley Fool pointed to Zoom’s “strong financials” as a reason to consider the stock. He cited competition with Microsoft Teams as a key element in Zoom’s struggles.ĭiscover: Stock Market Reacts to Russia’s Invasion of Ukraine, Deepening a Correction That Was Already Underway - Is a Bear on Its Way?

“We believe that competitive inroads are increasingly exacerbating headwinds persisting from pull-forward activity and tough comps,” he wrote. Still, as the stock continues to plummet through 2022, it begs investors to ask the question: What should you do with your Zoom stock?Ĭiti analyst Tyler Radke said he holds a neutral position on the company’s stock.

“To sustain and enhance our leadership position, in fiscal year 2023 we plan to build out our platform to further enrich the customer experience with new cloud-based technologies and expand our go-to-market motions, which we believe will enable us to drive future growth,” he concluded. Recognizing the challenges ahead, Zoom CEO Eric Yuan said in a statement reported by Barron’s, “It is apparent that businesses want a full communications platform that is integrated, secure, and easy to use.” And, in even more good news, Zoom posted revenue growth of 55% in the 2021 fiscal year, with total earnings of $4.1 billion. Wall Street analysts had predicted slightly slower growth, suggesting a revenue of $1.054 billion. The company reported revenue of $1.07 billion, up 21% year-over-year, according to Barron’s. See: Do You Qualify for the $25 Zoom Settlement from Latest Class-Action Lawsuit?Įven so, the video conferencing provider did post better-than-expected results for the fiscal fourth quarter of 2021, which ended Jan. Over the past two years it’s been falling steadily, and lost another $5 on Tuesday, March 1, 2022, following weaker-than-expected forecasts for Q1 2022 - and the whole year, for that matter. Zoom had its day during the pandemic as one of the breakout tech stocks of 2020, reaching a high of about $559 in Oct.

Should i sell zoom stock