Zoom Video Communications Valuation
Is ZM * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of ZM * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: ZM * (MX$1050) is trading below our estimate of fair value (MX$1513.33)
Significantly Below Fair Value: ZM * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for ZM *?
Other financial metrics that can be useful for relative valuation.
What is ZM *'s n/a Ratio? | |
---|---|
n/a | 0x |
n/a | n/a |
Market Cap | US$18.79b |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 2.6x |
Enterprise Value/EBITDA | 16.9x |
PEG Ratio | 6.9x |
Price to Earnings Ratio vs Peers
How does ZM *'s PE Ratio compare to its peers?
Company | Forward PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 86.3x | ||
TYL Tyler Technologies | 103.6x | 18.1% | US$19.8b |
688111 Beijing Kingsoft Office Software | 101x | 21.8% | CN¥143.2b |
PTC PTC | 89.5x | 24.0% | US$21.2b |
BSY Bentley Systems | 51x | 5.9% | US$16.7b |
ZM * Zoom Video Communications | 29.5x | 4.2% | Mex$18.8b |
Price-To-Earnings vs Peers: ZM * is good value based on its Price-To-Earnings Ratio (29.5x) compared to the peer average (86.3x).
Price to Earnings Ratio vs Industry
How does ZM *'s PE Ratio compare vs other companies in the Global Software Industry?
Price-To-Earnings vs Industry: ZM * is good value based on its Price-To-Earnings Ratio (29.5x) compared to the Global Software industry average (33.2x).
Price to Earnings Ratio vs Fair Ratio
What is ZM *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PE Ratio | 29.5x |
Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ZM *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
---|---|---|---|---|---|---|---|
Current | Mex$1,050.00 | Mex$1,331.56 +26.8% | 11.8% | Mex$1,612.65 | Mex$933.64 | n/a | 27 |
Apr ’25 | Mex$1,075.00 | Mex$1,322.96 +23.1% | 11.9% | Mex$1,597.75 | Mex$925.01 | n/a | 26 |
Mar ’25 | Mex$1,201.00 | Mex$1,355.00 +12.8% | 11.9% | Mex$1,624.33 | Mex$940.40 | n/a | 25 |
Feb ’25 | Mex$1,100.00 | Mex$1,379.97 +25.5% | 13.7% | Mex$1,804.72 | Mex$1,031.27 | n/a | 25 |
Jan ’25 | Mex$1,222.90 | Mex$1,400.29 +14.5% | 13.0% | Mex$1,823.12 | Mex$1,163.32 | n/a | 25 |
Dec ’24 | Mex$1,208.00 | Mex$1,382.63 +14.5% | 13.1% | Mex$1,805.94 | Mex$1,152.36 | n/a | 25 |
Nov ’24 | Mex$1,070.00 | Mex$1,488.07 +39.1% | 12.1% | Mex$1,889.15 | Mex$1,187.47 | n/a | 25 |
Oct ’24 | Mex$1,226.50 | Mex$1,419.26 +15.7% | 11.8% | Mex$1,797.44 | Mex$1,129.82 | n/a | 25 |
Sep ’24 | Mex$1,230.00 | Mex$1,390.01 +13.0% | 12.2% | Mex$1,763.76 | Mex$1,108.65 | n/a | 24 |
Aug ’24 | Mex$1,224.00 | Mex$1,391.77 +13.7% | 12.8% | Mex$1,755.38 | Mex$1,086.66 | n/a | 24 |
Jul ’24 | Mex$1,160.00 | Mex$1,438.77 +24.0% | 12.7% | Mex$1,813.76 | Mex$1,122.80 | n/a | 24 |
Jun ’24 | Mex$1,192.00 | Mex$1,480.88 +24.2% | 12.2% | Mex$1,854.28 | Mex$1,147.89 | n/a | 25 |
May ’24 | Mex$1,104.00 | Mex$1,582.94 +43.4% | 10.9% | Mex$1,955.05 | Mex$1,266.13 | Mex$1,050.00 | 26 |
Apr ’24 | Mex$1,329.00 | Mex$1,582.94 +19.1% | 10.9% | Mex$1,955.05 | Mex$1,266.13 | Mex$1,075.00 | 26 |
Mar ’24 | Mex$1,260.00 | Mex$1,558.59 +23.7% | 10.8% | Mex$1,900.80 | Mex$1,231.00 | Mex$1,201.00 | 25 |
Feb ’24 | Mex$1,450.41 | Mex$1,583.79 +9.2% | 11.1% | Mex$1,955.21 | Mex$1,247.61 | Mex$1,100.00 | 26 |
Jan ’24 | Mex$1,313.00 | Mex$1,708.14 +30.1% | 12.2% | Mex$2,160.29 | Mex$1,315.81 | Mex$1,222.90 | 26 |
Dec ’23 | Mex$1,555.00 | Mex$1,676.81 +7.8% | 12.0% | Mex$2,107.13 | Mex$1,283.43 | Mex$1,208.00 | 25 |
Nov ’23 | Mex$1,667.00 | Mex$2,026.67 +21.6% | 16.9% | Mex$2,607.55 | Mex$1,404.07 | Mex$1,070.00 | 25 |
Oct ’23 | Mex$1,490.00 | Mex$2,110.27 +41.6% | 16.8% | Mex$2,624.17 | Mex$1,534.13 | Mex$1,226.50 | 24 |
Sep ’23 | Mex$1,625.00 | Mex$2,138.15 +31.6% | 16.2% | Mex$2,603.35 | Mex$1,521.96 | Mex$1,230.00 | 23 |
Aug ’23 | Mex$2,160.00 | Mex$2,580.07 +19.4% | 19.0% | Mex$3,898.71 | Mex$1,846.76 | Mex$1,224.00 | 24 |
Jul ’23 | Mex$2,219.00 | Mex$2,452.02 +10.5% | 19.5% | Mex$3,743.67 | Mex$1,773.32 | Mex$1,160.00 | 24 |
Jun ’23 | Mex$2,155.00 | Mex$2,452.02 +13.8% | 19.5% | Mex$3,743.67 | Mex$1,773.32 | Mex$1,192.00 | 24 |
May ’23 | Mex$2,031.72 | Mex$3,260.75 +60.5% | 25.5% | Mex$6,015.14 | Mex$2,039.03 | Mex$1,104.00 | 25 |
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.