Zoom Stock Skyrockets as Company Crushes Estimates, Lifts Forecast on AI Revolution

Another quarter, another earnings beat—Zoom just reminded Wall Street why it still owns the virtual room.

The Numbers Don't Lie

Zoom blasted past analyst expectations, sending shares soaring as the firm raised its full-year guidance. Revenue climbed, profits expanded, and that AI-powered product suite? Suddenly everyone’s buying.

AI: Not Just a Buzzword Here

Automated meeting summaries, intelligent sales assist, real-time translation—Zoom’s betting big on AI features that actually get used. Enterprise clients are rolling out deployments faster than you can say “you’re still on mute.”

Outlook: Up and to the Right

Management boosted forecasts across the board. Demand for integrated AI tools is driving upgrades—and justifying those price hikes everyone complained about last year.

Let’s be real: in a market where “AI” alone can add billions to a valuation, Zoom’s actually delivering results. Not just vaporware and conference slide decks—imagine that.

Key Takeaways

• Zoom Communications reported second-quarter results that topped estimates as the video conferencing software provider rode the artificial intelligence wave.
• The company increased the number of customers spending more than $100,000 on Zoom.
• Zoom raised its full-year profit and sales forecasts.

Shares of Zoom Communications (ZM) zoomed more than 8% higher Friday, a day after the provider of video conferencing software posted better-than-expected results and raised its outlook as it benefited from the boom in artificial intelligence.

The company reported fiscal 2026 second-quarter adjusted earnings per share of $1.53 on revenue that ROSE nearly 5% year-over-year to $1.22 billion. Analysts surveyed by Visible Alpha were looking for $1.37 and $1.20 billion, respectively.

Enterprise revenue grew 7% to $730.7 million, and Online revenue added 1.4% to $486.6 million. At the end of the quarter, the company had 4,274 customers contributing more than $100,000 in 12-month trailing revenue, a nearly 9% increase from the year before.

"AI is transforming the way we work together, and Zoom is at the forefront, driving innovation that helps people get more done, reduce costs, and deliver better experiences for customers and employees alike," founder and CEO Eric Yuan said.

Zoom now sees full-year adjusted EPS of $5.81 to $5.84, versus its earlier estimate of $5.56 to $5.59. It predicts revenue between $4.825 billion and $4.835 billion, compared to the previous outlook of $4.800 billion and $4.810 billion.

Despite today's gains, Zoom Communications shares are down about 3% this year.

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