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Zoom Communications (WBO:ZOOM) PEG Ratio : 0.15 (As of Dec. 11, 2024)


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What is Zoom Communications PEG Ratio?

PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, Zoom Communications's PE Ratio without NRI is 15.86. Zoom Communications's 5-Year EBITDA growth rate is 107.90%. Therefore, Zoom Communications's PEG Ratio for today is 0.15.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for Zoom Communications's PEG Ratio or its related term are showing as below:

WBO:ZOOM' s PEG Ratio Range Over the Past 10 Years
Min: 0.08   Med: 0.14   Max: 0.35
Current: 0.14


During the past 8 years, Zoom Communications's highest PEG Ratio was 0.35. The lowest was 0.08. And the median was 0.14.


WBO:ZOOM's PEG Ratio is ranked better than
98.9% of 815 companies
in the Software industry
Industry Median: 1.67 vs WBO:ZOOM: 0.14

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Zoom Communications PEG Ratio Historical Data

The historical data trend for Zoom Communications's PEG Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Zoom Communications PEG Ratio Chart

Zoom Communications Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
PEG Ratio
Get a 7-Day Free Trial - - - - 0.14

Zoom Communications Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
PEG Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.10 0.14 0.16 0.19 0.31

Competitive Comparison of Zoom Communications's PEG Ratio

For the Software - Application subindustry, Zoom Communications's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Zoom Communications's PEG Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Zoom Communications's PEG Ratio distribution charts can be found below:

* The bar in red indicates where Zoom Communications's PEG Ratio falls into.



Zoom Communications PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Zoom Communications's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=15.86382312659/107.90
=0.15

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


Zoom Communications  (WBO:ZOOM) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Zoom Communications PEG Ratio Related Terms

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Zoom Communications Business Description

Address
55 Almaden Boulevard, 6th Floor, San Jose, CA, USA, 95113
Zoom Video Communications provides a communications platform that connects people through video, voice, chat, and content sharing. The company's cloud-native platform enables face-to-face video and connects users across various devices and locations in a single meeting. Zoom, which was founded in 2011 and is headquartered in San Jose, California, serves companies of all sizes from all industries around the world.

Zoom Communications Headlines

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