Zoom's Stake in Anthropic Boosts Shares Over 10%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Significant Share Surge: Zoom Communications shares jumped over 10% on Monday, primarily driven by investment firm Baird's focus on its stake in generative AI company Anthropic, indicating market confidence in its future growth potential.
- Investment Details Revealed: Baird analyst William Power highlighted that Zoom invested $51 million in Anthropic in 2023 through its venture capital arm, showcasing the company's strategic positioning in the AI sector, which may support future revenue growth.
- Market Expectations Rise: With Anthropic reportedly discussing raising $10 billion at a $350 billion valuation and recently surpassing a $9 billion annual revenue run rate, Zoom's investment is seen as a potential growth catalyst that could further enhance its market position.
- Analyst Rating Maintained: Power reiterated his Outperform rating and $95 price target for Zoom, reflecting ongoing confidence in the company's AI initiatives and anticipating upward movement in its stock price.
Analyst Views on ZM
Wall Street analysts forecast ZM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ZM is 99.33 USD with a low forecast of 85.00 USD and a high forecast of 115.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
12 Buy
7 Hold
1 Sell
Moderate Buy
Current: 85.780
Low
85.00
Averages
99.33
High
115.00
Current: 85.780
Low
85.00
Averages
99.33
High
115.00
About ZM
Zoom Communications, Inc. provides an artificial intelligence (AI) work platform for human connection. Zoom Workplace, the Company’s AI-powered, open collaboration platform built for modern work, enables us to streamline communications, increase employee engagement, optimize in-person time, improve productivity, and offer customer choice with third-party apps and integrations. Zoom Workplace, powered by Zoom AI Companion, includes collaboration solutions like meetings, team chat, phone, scheduler, whiteboard, spaces, Workvivo, and more. Its communication products include Zoom Meetings, Zoom Phone, Zoom Team Chat, Zoom scheduler, and Zoom mail and calendar. Its productivity products include Zoom Docs, Zoom Whiteboard, Zoom Clips, and Zoom Tasks. Its space products include Zoom Rooms, Zoom Workspace Reservation, and Zoom Visitor Management. It serves various industries, including education, financial services, government, retail, manufacturing and healthcare.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
