Shares of Zoom Video Communications rose on Monday, after Bank of America made the stock its top pick following its deal to buy Five9.
Analyst Daniel Bartus said that Zoom and Five9 together would be the “strongest UCaaS/CCaaS (unified communications as a service/contact center as a service) combination” in the market.
"While it is early for enterprises to consider UCaaS and CCaaS together, we believe the trend of bundling is increasing and the long-term value of integrating both technologies is attractive," Bartus noted.
Last week, Zoom announced the purchase of Five9 for just under $15 billion. Under the terms of the deal, investors in Five9 will get 0.55 of a Zoom share for each of their holdings, which represents a 12.8% premium to their Friday closing price and a 23 times multiple to Five9's projected 2022 sales of $650 million. According to the companies, the acquisition will expands Zoom's total addressable market by around $24 billion.
Bartus indicated that the combined entity will be a competitor to company like RingCentral and 8x8.
ZM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 34 cases where ZM's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where ZM's RSI Oscillator exited the oversold zone, of 40 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on July 09, 2025. You may want to consider a long position or call options on ZM as a result. In of 83 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for ZM just turned positive on July 03, 2025. Looking at past instances where ZM's MACD turned positive, the stock continued to rise in of 39 cases over the following month. The odds of a continued upward trend are .
The 50-day moving average for ZM moved above the 200-day moving average on June 11, 2025. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ZM advanced for three days, in of 287 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 51 cases where ZM's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
ZM moved below its 50-day moving average on June 18, 2025 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for ZM crossed bearishly below the 50-day moving average on June 23, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ZM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for ZM entered a downward trend on July 07, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. ZM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.483) is normal, around the industry mean (31.479). P/E Ratio (31.271) is within average values for comparable stocks, (164.144). Projected Growth (PEG Ratio) (4.989) is also within normal values, averaging (2.732). Dividend Yield (0.000) settles around the average of (0.030) among similar stocks. P/S Ratio (4.411) is also within normal values, averaging (62.041).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ZM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 88, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of video-first communications platform and application
Industry PackagedSoftware