ZOOM COMMUNICATIONS INC (5ZM.DE) Stock Fundamental Analysis
FRA:5ZM • US98980L1017
62.76 EUR
-0.69 (-1.09%)
Last: Feb 27, 2026, 07:00 PM
Overall 5ZM gets a fundamental rating of 6 out of 10. We evaluated 5ZM against 116 industry peers in the Software industry. 5ZM gets an excellent profitability rating and is at the same time showing great financial health properties. A decent growth rate in combination with a cheap valuation! Better keep an eye on 5ZM. These ratings would make 5ZM suitable for value investing!
1. Profitability
1.1 Basic Checks
- 5ZM had positive earnings in the past year.
- In the past year 5ZM had a positive cash flow from operations.
- 5ZM had positive earnings in each of the past 5 years.
- Each year in the past 5 years 5ZM had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 15.89%, 5ZM belongs to the top of the industry, outperforming 87.93% of the companies in the same industry.
- 5ZM has a better Return On Equity (19.37%) than 73.28% of its industry peers.
- With a decent Return On Invested Capital value of 8.90%, 5ZM is doing good in the industry, outperforming 67.24% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for 5ZM is significantly below the industry average of 12.58%.
- The 3 year average ROIC (7.30%) for 5ZM is below the current ROIC(8.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.89% | ||
| ROE | 19.37% | ||
| ROIC | 8.9% |
ROA(3y)10.5%
ROA(5y)10.2%
ROE(3y)12.88%
ROE(5y)12.82%
ROIC(3y)7.3%
ROIC(5y)7.74%
1.3 Margins
- With an excellent Profit Margin value of 39.03%, 5ZM belongs to the best of the industry, outperforming 93.97% of the companies in the same industry.
- In the last couple of years the Profit Margin of 5ZM has grown nicely.
- Looking at the Operating Margin, with a value of 23.45%, 5ZM is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
- 5ZM's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 77.02%, 5ZM is in line with its industry, outperforming 58.62% of the companies in the same industry.
- In the last couple of years the Gross Margin of 5ZM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.45% | ||
| PM (TTM) | 39.03% | ||
| GM | 77.02% |
OM growth 3Y60.45%
OM growth 5Y-1.79%
PM growth 3Y154.75%
PM growth 5Y9.03%
GM growth 3Y0.91%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 5ZM is destroying value.
- Compared to 1 year ago, 5ZM has less shares outstanding
- 5ZM has more shares outstanding than it did 5 years ago.
- There is no outstanding debt for 5ZM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- 5ZM has an Altman-Z score of 8.17. This indicates that 5ZM is financially healthy and has little risk of bankruptcy at the moment.
- 5ZM's Altman-Z score of 8.17 is amongst the best of the industry. 5ZM outperforms 87.93% of its industry peers.
- There is no outstanding debt for 5ZM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 8.17 |
ROIC/WACC0.82
WACC10.88%
2.3 Liquidity
- 5ZM has a Current Ratio of 4.33. This indicates that 5ZM is financially healthy and has no problem in meeting its short term obligations.
- 5ZM has a better Current ratio (4.33) than 88.79% of its industry peers.
- 5ZM has a Quick Ratio of 4.33. This indicates that 5ZM is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of 5ZM (4.33) is better than 88.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.33 | ||
| Quick Ratio | 4.33 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 7.05% over the past year.
- The Earnings Per Share has been growing by 12.20% on average over the past years. This is quite good.
- 5ZM shows a small growth in Revenue. In the last year, the Revenue has grown by 4.36%.
- Measured over the past years, 5ZM shows a quite strong growth in Revenue. The Revenue has been growing by 12.92% on average per year.
EPS 1Y (TTM)7.05%
EPS 3Y10.65%
EPS 5Y12.2%
EPS Q2Q%2.13%
Revenue 1Y (TTM)4.36%
Revenue growth 3Y3.49%
Revenue growth 5Y12.92%
Sales Q2Q%5.31%
3.2 Future
- 5ZM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.65% yearly.
- 5ZM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.88% yearly.
EPS Next Y5.54%
EPS Next 2Y4.54%
EPS Next 3Y3.43%
EPS Next 5Y2.65%
Revenue Next Year3.56%
Revenue Next 2Y3.63%
Revenue Next 3Y3.74%
Revenue Next 5Y3.88%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 12.53, 5ZM is valued correctly.
- 5ZM's Price/Earnings ratio is rather cheap when compared to the industry. 5ZM is cheaper than 89.66% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.07, 5ZM is valued rather cheaply.
- A Price/Forward Earnings ratio of 11.86 indicates a reasonable valuation of 5ZM.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 5ZM indicates a rather cheap valuation: 5ZM is cheaper than 87.07% of the companies listed in the same industry.
- 5ZM is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.05, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.53 | ||
| Fwd PE | 11.86 |
4.2 Price Multiples
- 5ZM's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. 5ZM is cheaper than 89.66% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 5ZM indicates a rather cheap valuation: 5ZM is cheaper than 88.79% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.4 | ||
| EV/EBITDA | 5.94 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 5ZM does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of 5ZM may justify a higher PE ratio.
PEG (NY)2.26
PEG (5Y)1.03
EPS Next 2Y4.54%
EPS Next 3Y3.43%
5. Dividend
5.1 Amount
- 5ZM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FRA:5ZM (2/27/2026, 7:00:00 PM)
62.76
-0.69 (-1.09%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-19 2026-05-19/amc
Inst Owners77%
Inst Owner ChangeN/A
Ins Owners0.21%
Ins Owner ChangeN/A
Market Cap18.58B
Revenue(TTM)4.87B
Net Income(TTM)1.90B
Analysts75.38
Price Target81.7 (30.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.77%
Min EPS beat(2)-6.05%
Max EPS beat(2)2.51%
EPS beat(4)3
Avg EPS beat(4)2.82%
Min EPS beat(4)-6.05%
Max EPS beat(4)8.59%
EPS beat(8)7
Avg EPS beat(8)4.93%
EPS beat(12)11
Avg EPS beat(12)9.21%
EPS beat(16)15
Avg EPS beat(16)12.75%
Revenue beat(2)0
Avg Revenue beat(2)-1.67%
Min Revenue beat(2)-1.73%
Max Revenue beat(2)-1.61%
Revenue beat(4)0
Avg Revenue beat(4)-1.72%
Min Revenue beat(4)-2.19%
Max Revenue beat(4)-1.36%
Revenue beat(8)0
Avg Revenue beat(8)-1.83%
Revenue beat(12)0
Avg Revenue beat(12)-1.63%
Revenue beat(16)0
Avg Revenue beat(16)-1.93%
PT rev (1m)-1.19%
PT rev (3m)2.49%
EPS NQ rev (1m)0.27%
EPS NQ rev (3m)1.34%
EPS NY rev (1m)0%
EPS NY rev (3m)2.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.32%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.53 | ||
| Fwd PE | 11.86 | ||
| P/S | 4.51 | ||
| P/FCF | 11.4 | ||
| P/OCF | 11.03 | ||
| P/B | 2.24 | ||
| P/tB | 2.33 | ||
| EV/EBITDA | 5.94 |
EPS(TTM)5.01
EY7.98%
EPS(NY)5.29
Fwd EY8.43%
FCF(TTM)5.5
FCFY8.77%
OCF(TTM)5.69
OCFY9.07%
SpS13.93
BVpS28.06
TBVpS26.91
PEG (NY)2.26
PEG (5Y)1.03
Graham Number56.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.89% | ||
| ROE | 19.37% | ||
| ROCE | 11.46% | ||
| ROIC | 8.9% | ||
| ROICexc | 41.32% | ||
| ROICexgc | 50.81% | ||
| OM | 23.45% | ||
| PM (TTM) | 39.03% | ||
| GM | 77.02% | ||
| FCFM | 39.51% |
ROA(3y)10.5%
ROA(5y)10.2%
ROE(3y)12.88%
ROE(5y)12.82%
ROIC(3y)7.3%
ROIC(5y)7.74%
ROICexc(3y)43.8%
ROICexc(5y)60.07%
ROICexgc(3y)59.75%
ROICexgc(5y)72.09%
ROCE(3y)9.4%
ROCE(5y)9.97%
ROICexgc growth 3Y27.93%
ROICexgc growth 5YN/A
ROICexc growth 3Y27.76%
ROICexc growth 5YN/A
OM growth 3Y60.45%
OM growth 5Y-1.79%
PM growth 3Y154.75%
PM growth 5Y9.03%
GM growth 3Y0.91%
GM growth 5Y2.22%
F-Score7
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 49.28% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 156.07% | ||
| Profit Quality | 101.23% | ||
| Current Ratio | 4.33 | ||
| Quick Ratio | 4.33 | ||
| Altman-Z | 8.17 |
F-Score7
WACC10.88%
ROIC/WACC0.82
Cap/Depr(3y)94.06%
Cap/Depr(5y)144.83%
Cap/Sales(3y)2.36%
Cap/Sales(5y)2.65%
Profit Quality(3y)170.39%
Profit Quality(5y)350.1%
High Growth Momentum
Growth
EPS 1Y (TTM)7.05%
EPS 3Y10.65%
EPS 5Y12.2%
EPS Q2Q%2.13%
EPS Next Y5.54%
EPS Next 2Y4.54%
EPS Next 3Y3.43%
EPS Next 5Y2.65%
Revenue 1Y (TTM)4.36%
Revenue growth 3Y3.49%
Revenue growth 5Y12.92%
Sales Q2Q%5.31%
Revenue Next Year3.56%
Revenue Next 2Y3.63%
Revenue Next 3Y3.74%
Revenue Next 5Y3.88%
EBIT growth 1Y40.37%
EBIT growth 3Y66.05%
EBIT growth 5Y10.91%
EBIT Next Year9.56%
EBIT Next 3Y6.77%
EBIT Next 5Y3.6%
FCF growth 1Y6.35%
FCF growth 3Y17.85%
FCF growth 5Y6.78%
OCF growth 1Y2.25%
OCF growth 3Y15.52%
OCF growth 5Y6.22%
ZOOM COMMUNICATIONS INC / 5ZM.DE FAQ
What is the fundamental rating for 5ZM stock?
ChartMill assigns a fundamental rating of 6 / 10 to 5ZM.DE.
What is the valuation status for 5ZM stock?
ChartMill assigns a valuation rating of 7 / 10 to ZOOM COMMUNICATIONS INC (5ZM.DE). This can be considered as Undervalued.
How profitable is ZOOM COMMUNICATIONS INC (5ZM.DE) stock?
ZOOM COMMUNICATIONS INC (5ZM.DE) has a profitability rating of 7 / 10.
What are the PE and PB ratios of ZOOM COMMUNICATIONS INC (5ZM.DE) stock?
The Price/Earnings (PE) ratio for ZOOM COMMUNICATIONS INC (5ZM.DE) is 12.53 and the Price/Book (PB) ratio is 2.24.