Zoom unstoppable in the stock market after skyrocketing revenues up 355% in the second quarter

September 01, 2020 13:00

Zoom unstoppable in the stock market after skyrocketing revenues up 355% in the second quarter

Zoom Video Communications shares remain unstoppable on the stock market: they closed yesterday's session on the NASDAQ with a rise of 8.63% to $325.10. Investors thus celebrated the company's results in the second quarter of 2020, which have amounted to 663.5 million dollars, 355% more than last year and well above analysts' forecasts.

The confinement orders that began in March by governments around the world as a result of the coronavirus pandemic gave Zoom wings in the second quarter.

Here's a breakdown of the growth Zoom has experienced this year.

  • They quadrupled their institutional clients to 370,200, with just 10 employees
  • Zoom Video went from having 10 million active users last year to more than 300 million in April.
  • They started the year at $ 67.91 and are now trading at more than $325.

Zoom shares have been in a strong bull rally since early 2020. With this data, the video conferencing company, founded by former Cisco executive Eric Yuan, has revised its annual revenue forecast upwards.

Zoom daily chart

Source: Admiral Markets MetaTrader 5. Zoom daily chart. Data range: From April 18, 2019 to September 1, 2020. Prepared on September 1, 2020, at 10.15 am. Keep in mind that past returns do not guarantee future returns.

Zoom debuted on the stock market in April 2019 at a price of $36 per share, doubling its value at the close of the first session. As we can see in the graph, the videoconferencing company ended the year at around $67. When the first containment measures began in Europe due to the coronavirus pandemic (pink rectangle), stocks began the upward escalation that continues today.


Did you know that with Admiral Markets UK Ltd you can invest in Zoom Video stocks? You just have to open an Invest.MT5 account, which will allow you to trade stocks and ETFs from fifteen of the largest stock exchanges in the world. Click on the following banner to open a new live trading account:

Trade With MetaTrader 5


INFORMATION ON ANALYTICAL MATERIALS:

The data provided provides additional information on all analyzes, estimates, forecasts, forecasts, market reviews, weekly outlooks or other evaluations or similar information (hereinafter "Analysis") published on the Admiral Markets website. Before making any investment decisions, pay close attention to the following:

1. This is a marketing communication. The content is posted for informational purposes only and should not be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and is not subject to any prohibition on pre-dissemination of investment research.

2.Each investment decision is made by each client alone, while Admiral Markets UK Ltd (Admiral Markets) will not be liable for any loss or damage arising from such a decision, whether based on content or not.

3. In order to protect the interests of our clients and the objectivity of the Analysis, Admiral Markets has established relevant internal procedures for the prevention and management of conflicts of interest.

4. The analysis is prepared by an independent analyst, Carolina Caro, SEO implementer (hereinafter "Author") based on personal estimates.

5. While all reasonable efforts are made to ensure that all sources of content are reliable and that all information is presented, as much as possible, in an understandable, timely, accurate, and complete manner, Admiral Markets does not guarantee accuracy. or integrity of any information contained in the Analysis.

6. Any past performance or modeling of the financial instruments indicated in the content should not be construed as an express or implied promise, guarantee, or implication of Admiral Markets for any future performance. The value of the financial instrument may rise and fall, and the preservation of the asset's value is not guaranteed.

7. Leveraged products (including contracts for difference) are speculative in nature and may generate profit or loss. Before you start trading, make sure you fully understand the risks.

Avatar-Admirals
Admirals
An all-in-one solution for spending, investing, and managing your money

More than a broker, Admirals is a financial hub, offering a wide range of financial products and services. We make it possible to approach personal finance through an all-in-one solution for investing, spending, and managing money.