Bank of America reinstates a Buy rating on ZM with a $130 price target, citing expectations for growth reacceleration.
Bank of America reinstated Zoom Communications (ZM) with a Buy rating and a $130 price target, anticipating a rebound in growth. The firm highlighted Zoom’s established market position as a key factor in its outlook.
Shares of ZM rose 1.2% in premarket trading following the upgrade. The new price target reflects confidence in the company’s ability to reaccelerate revenue and expand its user base amid competitive pressures.
The upgrade follows a period of mixed performance for ZM, as the company navigates post-pandemic demand shifts and increasing competition in the video communications sector.