ZMZoom Communications, Inc.
Is the price fair?
Undemanding: modest expectations priced in, cheap against its own history, and cheap vs its sector.
Priced for a decline (~−0% a year). The price demands less than its three-year revenue growth of 4% a year, expectations look modest.
Cheap vs its own history: P/E 9.1 vs a 29.2 median over 22 quarters (−69% vs median).
Sector median 30.5× across 203 covered peers. EV/EBIT counts debt as part of the price, so a cash-rich and a borrowed company can be compared on the same footing.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.
What ZM's price assumes
Zoom Communications, Inc. trades at 9.06× earnings against 33.9× for the median Software - Application name, cheaper than its own group.
Trailing P/E · Software - Application median 33.9 · cheaper than the typical name in its group
- Price / sales
- 4.99
Price / sales · today's price, fiscal year to Jan 31, 2026
- Free cash flow yield
- 7.9%
Free cash flow yield · Software - Application median 6.9%
- Growth the price implies
- −0.48%
Growth the price implies · The price pays for −0.48% free cash flow growth a year for a decade; the business has delivered +19% a year over the last three.
Details›
- Price / booktoday's price, fiscal year to Jan 31, 2026
- 2.48
- EV / EBITtoday's price, fiscal year to Jan 31, 2026
- 14.7
- EV / salestoday's price, fiscal year to Jan 31, 2026
- 3.39
- Technology median P/E459 names
- 37.7
- Software - Application median P/E126 names
- 33.9
- Free cash flow, trailing twelve months
- $1.93B
- Market capitalisation
- $24.3B
- 3-year revenue growth
- +3.8%
- 3-year free cash flow growth
- +19%
| Method | Per share |
|---|---|
| What its own history would imply | not meaningful, 9.06× today against a 29.2× median |
| 52-week range | $72.72 – $111.88 |
| Today | $97.73 |
Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.
Software, Application
Ranks #32 of 96 by RyuScore