The latest trading session saw Zoom Video Communications (ZM) ending at $77.75, denoting a -1.49% adjustment from its last day's close. This change lagged the S&P 500's 0.4% gain on the day. Elsewhere, the Dow saw a downswing of 0.28%, while the tech-heavy Nasdaq appreciated by 1.04%.

Coming into today, shares of the video-conferencing company had gained 9.37% in the past month. In that same time, the Computer and Technology sector gained 0.18%, while the S&P 500 gained 0.62%.

The investment community will be closely monitoring the performance of Zoom Video Communications in its forthcoming earnings report. The company is scheduled to release its earnings on November 25, 2024. The company is forecasted to report an EPS of $1.31, showcasing a 1.55% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $1.16 billion, indicating a 2.34% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.34 per share and a revenue of $4.64 billion, indicating changes of +2.5% and +2.43%, respectively, from the former year.

Investors should also note any recent changes to analyst estimates for Zoom Video Communications. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Zoom Video Communications possesses a Zacks Rank of #2 (Buy).

Looking at valuation, Zoom Video Communications is presently trading at a Forward P/E ratio of 14.79. For comparison, its industry has an average Forward P/E of 30.4, which means Zoom Video Communications is trading at a discount to the group.

One should further note that ZM currently holds a PEG ratio of 3.5. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ZM's industry had an average PEG ratio of 2.41 as of yesterday's close.