1 Number Zoom Investors Can't Afford to Ignore
Zoom Video Communications (NASDAQ: ZM) is a stock that took a pounding over the past year, falling 40% in value. The hype around its videoconferencing technology has slowed down, and there is more competition as well. This led to a brutal one-two punch for the business.
And while the company continues to grow (even beating expectations last quarter), there's one concerning number that investors should be paying attention to -- one that has to improve before this can become a viable investment.
Zoom's earnings for the period ending April 30 were $1.16 per share on an adjusted basis, coming in well above Wall Street estimates of $0.99. But that's on an adjusted basis. The company's operating profit was just $9.7 million -- down a staggering 95% from $187.1 million in the prior-year period.
Source Fool.com
