Zoom Stock Gears Up for Earnings Call

Can ZM defy its disappointing post-earnings history?

Digital Content Manager
Aug 21, 2023 at 9:39 AM
facebook X logo linkedin

Zoom Video Communications Inc (NASDAQ:ZM) will announce fiscal third-quarter earnings after today's close. The pandemic darling is expected to share profits of $1.05 per share, as well as an 1.4% year-over-year increase in revenue to $1.115 billion. Ahead of the opening bell, shares are up 0.4% at $66.85.

Overhead pressure at the 200-day moving average has pressured ZM since the start of the month, while a longer-term ceiling at the $76 region capped several rallies so far this year. Over the past 12 months, Zoom Video Communications stock dropped more than 35%.

The likelihood of a post-earnings surge is rather slim, based on recent history. Over the last eight quarters, ZM finished six of eight next-day sessions lower, including 16.5% drop after its March report. The shares averaged a 9.3% next-session swing over the last two years, regardless of direction, but this time around the options pits are pricing in a bigger-than-usual, near-term straddle indication of 10.7%.

Puts have been getting picked up at a quicker-than-usual clip lately. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 10-day call/put volume ratio of 6.61 sits higher all annual readings.

Short sellers are firmly in control, too, despite short interest falling 10.3% in the last two reporting periods. In fact, the 17.13 million shares sold short still account for 7.5% of the equity's available float.


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI