Is Zoom Communications, Inc. (NASDAQ:ZM) a buy in 2026?
Yes, on balance. The Compass leans toward accumulating Zoom Communications, Inc. at current levels.
A cash machine the market treats like a corpse, sitting on $7B+ in cash and quietly building the AI agent layer for work.
Where ZM is headed
By the back end of 2027, Zoom is not the pandemic video company anymore. The video call is the loss leader. The actual product is AI Companion, Contact Center, Workvivo and Phone, sold as a bundle into the mid-market and enterprise where Microsoft Teams is good enough but not great. Phone crosses 10 million seats. Contact Center, which started from nothing in 2022, runs at a $600M-$800M revenue rate and is genuinely competing with Five9 and NICE on win rates, not just on price. Workvivo, the Meta Workplace replacement Zoom picked up almost as a freebie, becomes the employee experience layer for 30%+ of the F1000. None of this requires Zoom to beat Microsoft. It requires Zoom to keep its 220,000+ enterprise customers, raise ARPU through the AI Companion tier that launched paid in 2025, and quietly turn a 5% revenue grower into a 9-10% revenue grower with operating margins drifting toward 30%.
Read the full Compass Direction on ZM
The complete destination call, the overlooked angle, milestones, and bull, base, and bear price scenarios (around $105.64).
See the full ZM analysisGet calls like this, free
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Frequently asked questions
Is Zoom Communications, Inc. (NASDAQ:ZM) a buy in 2026?
Yes, on balance. The Compass leans toward accumulating Zoom Communications, Inc. at current levels. A cash machine the market treats like a corpse, sitting on $7B+ in cash and quietly building the AI agent layer for work.
What is ZM's Compass Score?
Zoom Communications, Inc. scores 78/100 on Alexandria's Compass, placing it in the "True North" tier. Scores blend eight factors and update weekly.
What is the price target for ZM?
Alexandria's full Compass Direction includes bull, base, and bear price scenarios with the valuation math behind each. Read the full breakdown on the ZM page.
Compass verdicts are AI-generated, forward-looking editorial research from publicly available data, not investment advice or a recommendation regarding any security. Scores and verdicts update as the data changes.