On October 3, 2023, Santiago Subotovsky, a director at Zoom Video Communications Inc (ZM, Financial), sold 2,067 shares of the company. This move is part of a larger trend for the insider, who over the past year has sold a total of 10,338 shares and purchased none.
Santiago Subotovsky is a prominent figure in the tech industry, currently serving as a director at Zoom Video Communications Inc. His experience and insight are invaluable to the company, making his trading activities a point of interest for investors.
Zoom Video Communications Inc is a leading provider of video-first communication platform and web conferencing services. Its cloud-native platform enables face-to-face video experiences and connects users across various devices and locations in a single meeting. Zoom, which serves education, entertainment/media, enterprise infrastructure, finance, healthcare, and software sectors, among others, has a market cap of $19.42 billion.
The insider's recent sell comes at a time when the stock is trading at $68.63 per share, giving the company a market cap of $19.42 billion. The price-earnings ratio is 146.63, significantly higher than the industry median of 26.88, but lower than the company’s historical median price-earnings ratio.
According to the GuruFocus Value, which is an intrinsic value estimate based on historical multiples, a GuruFocus adjustment factor, and future estimates of business performance, Zoom Video Communications Inc is significantly undervalued. The stock has a price-to-GF-Value ratio of 0.53, with a GF Value of $128.67, indicating that it is currently undervalued.
Over the past year, there have been no insider buys at Zoom Video Communications Inc, while there have been 50 insider sells. This trend could suggest that insiders see the stock as overvalued, prompting them to sell their shares. However, given the company's strong GF Value, this could also be a strategic move by insiders to capitalize on the stock's current price.
In conclusion, the recent sell by Santiago Subotovsky is part of a larger trend of insider sells at Zoom Video Communications Inc. Despite this, the company's strong GF Value suggests that the stock is currently undervalued, presenting a potential opportunity for investors.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
