Zoom thrived during the pandemic

By: Miguel A. Rodriguez

09:45, 14 September 2020

Videoconference software brought more than 300 million people together.

Once the pandemic settled in, and people started working from home, what could’ve been an email shortly transformed into online meetings. Besides Microsoft’s Teams, Zoom became the preferred tool of communication.

The usage translated into numbers, and yesterday when the company released its Q1 financial report, people were amazed.

The company had a $27 million net income, meaning an EPS of 9 cents, compared to the same quarter last year of $200,000 and under a penny EPS.

This quarter’s revenue increased by 169% to $328.2 million from last year’s $122 million.

Zoom forecasts for the next quarter are also showing an increase. Expectations are double those of analysts: from the company’s point of view, they will grow up to $495 to $500 million. By the end of the year, they expect revenue of up to $1.8 billion, with an adjusted EPS of $1.29.

In market capitalization, it exceeded the $50 billion milestone on Friday. Zoom’s stock price increased by 206% this year, while USA500 lost 4.6%. 

Do you want to know more? Check out Capex.com!

Sources: thestreet.com, marketwatch.com, theguardian.com

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This information/research prepared by Miguel A. Rodriguez does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views and consequently any person acting on it does so entirely at their own risk.The research provided does not constitute the views of KW Investments Ltd nor is it an invitation to invest with KW Investments Ltd. The research analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report.The research analyst in not employed by KW Investments Ltd. You are encouraged to seek advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit that conforms to your specific investment objectives, financial situation, or particular financial needs before making a commitment to invest. The laws of the Republic of Seychelles shall govern any claim relating to or arising from the contents of the information/ research provided.