Shares of Zoom Communications Inc (NASDAQ:ZM) continued to rally in early trading on Friday, after the company Thursday reported upbeat first-quarter results.
Here are the key analyst insights:
- Rosenblatt Securities analyst Catharine Trebnick maintained a Buy rating, while raising the price target from $115 to $130.
- BTIG analyst Allan Verkhovski reiterated a Buy rating, while lifting the price target from $100 to $125.
- Needham analyst Joshua Reilly maintained a Buy rating, while raising the price target from $100 to $130.
Check out other analyst stock ratings.
Rosenblatt Securities: Zoom Communications delivered a “clean” beat-and-raise quarter, with total revenue up 5.5% year-on-year to $1.24 billion, topping consensus by around $14 million, Trebnick said in a note. The company’s non-GAAP operating margin expanded 130 basis points (bps) to 41.1%, taking its pro forma earnings to a higher-than-expected $1.55 per share, she added.
The first-quarter results reflected AI adoption and new product momentum, with meaningful monetization of AI Companion, the analyst stated. AI Companion paid MAUs (monthly average users grew 184% year-on-year, “driven by strong …