Video conferencing provider Zoom is actually one of the winners of the Corona crisis. The company’s services are used especially for online meetings of companies, but also online teaching events of schools or universities.
As a result, the company’s 2020 stock experienced an extreme rise of over 450% from March to its all-time high in October. The rapid share price growth was driven by the company’s strong quarterly figures, which were often double-digit higher than expected last year. However, after the high, the stock lost over 65% to date. The share price has shown a steady downtrend since November 2020.
The last low was less than a week ago at under $200. Hopes for new rises were provided by Corona worries around the new virus variant Omikron, which could again require new restrictions and home offices and which could thus bring the company back into profit.
Q3 results also show that the company did better than the sell-off after the numbers suggested. Zoom increased third-quarter revenue 35 percent to $1.05 billion. At the same time, earnings per share climbed to $1.11 from 99 cents in the year-ago period.
Zoom also raised its outlook for the current year, now expecting revenue of about $4.08 billion instead of $4.01 billion. Analysts had expected revenues of $4.02 billion.
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