Zoom stock has been on fire lately with gains this past Tuesday and a quarterly report sending the stock up more than 30%. Today, however. the stock retreated down 6.5 percent as of 11:20 AM. The company has a market cap of $120 billion dollars. But can it survive among the competition from companies such as Google and Microsoft?
Today however the stock pulled back. The stock has gained 520% year-to-date and it’s not surprising investors are starting to take their profits. The company has a lofty evaluation with shares trading 115 times sales and 250 times its future earnings. While these are impressive growth numbers, the stock remains extremely volatile. Guidance targets for Zoom Technologies calls for revenue of 2.7 billion above the company revenue reported for fiscal 2020 of $622.7 million in sales.
Could a Zoom sale be in the picture? Who would buy it ? Perfect suitors for Zoom would be a Microsoft or Google takeover. Zoom technologies is an infrastructure company which could attract companies like Amazon, and IBM to take a stake. Microsoft would be the number one player as well as Salesforce– as it’s very successful with its data integration (MuleSoft) and data visualization (Tableau) units.
This content is being provided to you for informational purposes only. The content has been prepared by third parties not affiliated with CWEB Inc, a business. This content and any information contained therein, does not constitute a recommendation by CWEB to buy, sell or hold any security, financial product or instrument referenced in the content. This information neither is, nor should be construed as an offer, or a solicitation of an offer, to buy or sell securities by CWEB Inc. CWEB Inc. does not offer or provide any opinion regarding the nature, potential, value, suitability or profitability of any particular investment or investment strategy, and you shall be fully responsible for any investment decisions you make, and such decisions will be based solely on your evaluation of your financial circumstances, investment objectives, risk tolerance, and liquidity needs.
Unless stated otherwise, the web content provided by the CWEB family of companies is for educational purposes only. The information and tools provided neither are, nor should be construed, as an offer, or a solicitation of an offer, to buy or sell securities by CWEB Inc. or its affiliates. Unless stated otherwise, no information presented constitutes a recommendation by CWEB Inc. or its affiliates to buy, sell or hold any security, financial product or instrument discussed therein or to engage in any specific investment strategy.