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ZM · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Zoom Communications, Inc. Class A Common Stock (ZM) stock moving?
The news flow is light and mostly product or ecosystem activity: a startup AI credit program, participation in a $19.1 million funding round for geniosAI, and partner program enhancements. None of these items gives a financial figure for Zoom's own business. The main scheduled event is Q3 fiscal 2027 results on November 23, 2026, which is still ahead. The price action has been weak. ZM closed at 100.26 on Oct 28, then fell to 88.82 on Nov 5, about 11% lower. The stock has since rebounded to 90.91 on Nov 10, roughly 2% above that low. The 88-89 area, touched on Nov 5 and Nov 6, has acted as a floor so far, and the Oct 28 close near 100 is the nearest ceiling. Volume on Nov 10 was about 3.1M shares, roughly 40% above the average of about 2.2M over the prior ten sessions. That points to active trading into the rebound, but the close near 91 does not yet show a clear direction. Overall the evidence is thin and mixed, and the results date is the event that will decide the direction.
News behind the analysis
- Zoom Announces AI Launchpad Grant Program for StartupsZoom launched a grant program offering eligible startups up to $150,000 in credits for its AI services to build AI-native applications.
- Zoom Participates in $19.1 Million Funding Round for geniosAIZoom joined a $19.1 million seed and Series A funding round for financial intelligence platform geniosAI.
- Zoom Enhances Partner Programme with Greater Enablement, Engagement and AI OpportunitiesZoom announced enhancements to its channel-first strategy and Zoom Up Partner Program, adding partner tools and AI-focused capabilities.
- Zoom Announces Date for Third Quarter Fiscal Year 2027 Financial ResultsZoom scheduled the release of its third quarter fiscal 2027 financial results for November 23, 2026.
About Zoom Communications, Inc. Class A Common Stock
Zoom Communications is a San Jose-based software company, best known for Zoom video meetings, that sells a cloud platform for meetings, phone, team chat, contact centers and AI-powered work tools. It is very profitable and generates a lot of cash, but its revenue now grows slowly, about 4–5% a year, after its pandemic-era boom. It is trying to grow again by selling more AI features and moving beyond video meetings.
How it makes money
Most of Zoom's revenue comes from subscriptions to its cloud software, billed monthly or yearly. Total revenue was about $4.9 billion in the fiscal year ended January 2026. Large business customers, which Zoom calls Enterprise, make up about 60% of revenue (roughly $790 million in the July 2026 quarter, growing about 8%). Smaller customers who sign up online make up about 40% (roughly $490 million, with almost no growth). Its products include Zoom Workplace (Meetings, Team Chat, AI Companion), Zoom Phone, Zoom Contact Center and the Workvivo employee app. Zoom also hosts virtual events.
What usually moves ZM
- Revenue growth in Enterprise compared with Online customers
- Customers adopting and paying for AI features (AI Companion, Contact Center)
- Competition from Microsoft Teams and other bundled tools
- Share buybacks, free cash flow and profit margins
- Guidance on quarterly earnings and how many customers renew