Zoom Video Stock Rebounds from Low Ahead of Earnings
2022.05.13 23:06
By Liz Moyer
Investing.com — Zoom Video Communications Inc (NASDAQ:ZM) stock bounced back 12% on Friday after touching its 52-week low a day earlier.
Zoom was one of the beneficiaries of the pandemic work-from-home trend, but that momentum has fizzled. The shares are down 48% so far this year and about 76% off their high of $406 last July.
On Thursday the stock fell after Piper Sandler downgraded its rating to neutral from overweight, slashing its price target to $96 from $157, citing limited upside potential. The economic reopening has weighed on other pandemic darling stocks, too, including Peloton Interactive Inc (NASDAQ:PTON).
Zoom has been building new business to its video conferencing product, including phone. On Thursday it said it would acquire Solvvy, an artificial intelligence and automation platform for customer support. The new product would be positioned for businesses to improve their customer service experiences.
Friday’s rebound has brought Zoom stock back to around $95. The stock has a still mostly optimistic following on Wall Street, with 7 strong buy ratings, 10 buy ratings and 17 hold ratings. There aren’t any sell ratings.
The company is scheduled to report earnings for the most recent quarter on May 23.
