ZMZoom Communications, Inc.

$95.92+20% 1Y

Is the price fair?

Good

Undemanding: cheap against its own history and cheap vs its sector.

2 good, 1 neutral
What the price assumes~+1% a year

Priced for ~1% a year FCF growth. Roughly in line with its three-year revenue growth of 4% a year.

Vs its own P/E rangecheapest in 22 quartersderived

Cheap vs its own history: P/E 8.9 vs a 29.2 median over 22 quarters (−70% vs median).

Vs sector (EV/EBIT)17.0×

Sector median 29.4× across 209 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.

Unless marked, from derived, as of Jul 31, 2026.

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.

P/E (valuation)top 7% of the market
FCF yieldbetter than 71% of the market

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 8.89× earnings against 35.9× for the median Software - Application name, cheaper than its own group.

8.89

Trailing P/E · Software - Application median 35.9 · cheaper than the typical name in its group

Price / sales
5.61

Price / sales · today's price, trailing year to Jul 31, 2026

Free cash flow yield
6.9%

Free cash flow yield · Software - Application median 5.3%

Growth the price implies
+1.4%

Growth the price implies · The price pays for +1.4% 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, trailing year to Jul 31, 2026
2.48
EV / EBITtoday's price, trailing year to Jul 31, 2026
17.0
EV / salestoday's price, trailing year to Jul 31, 2026
4.04
Technology median P/E450 names
34.1
Software - Application median P/E124 names
35.9
Free cash flow, trailing twelve months
$1.93B
Market capitalisation291.8 million shares, counted Aug 14, 2026
$28.0B
3-year revenue growth
+3.8%
3-year free cash flow growth
+19%
ZM has re-rated away from its own history, so multiplying the old multiple by today's earnings prices a full reversal, not the business
MethodPer share
What its own history would implynot meaningful, 8.89× today against a 29.2× median
52-week range$72.72 – $111.88
Today$95.92

Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.

What is it worth?

Today's price against what its own multiples, its cash flow and your growth assumption say it is worth.

Against its own past

Its multiples now against their own history, and how much of the price move came from earnings rather than the multiple.