Zoom Video Communications (ZM) closed at $82.59 in the latest trading session, marking a -1.09% move from the prior day. This change lagged the S&P 500's 0.31% loss on the day. At the same time, the Dow lost 0.02%, and the tech-heavy Nasdaq lost 0.12%.

Coming into today, shares of the video-conferencing company had gained 9.39% in the past month. In that same time, the Computer and Technology sector gained 10.58%, while the S&P 500 gained 10.62%.

Investors will be hoping for strength from Zoom Video Communications as it approaches its next earnings release, which is expected to be November 21, 2022. On that day, Zoom Video Communications is projected to report earnings of $0.84 per share, which would represent a year-over-year decline of 24.32%. Meanwhile, our latest consensus estimate is calling for revenue of $1.1 billion, up 4.44% from the prior-year quarter.

ZM's full-year Zacks Consensus Estimates are calling for earnings of $3.72 per share and revenue of $4.39 billion. These results would represent year-over-year changes of -26.63% and +6.98%, respectively.

Any recent changes to analyst estimates for Zoom Video Communications should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.99% higher. Zoom Video Communications is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Zoom Video Communications currently has a Forward P/E ratio of 22.43. This valuation marks a discount compared to its industry's average Forward P/E of 45.51.

Meanwhile, ZM's PEG ratio is currently 1.15. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 2.5 at yesterday's closing price.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 67, putting it in the top 27% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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