Zoom Communications (MEX:ZM) 5-Year Yield-on-Cost %: 0.00 (As of Jul. 20, 2026)

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MEX:ZM Zoom Communications Inc MEX:ZM
78 GF Score
Price MXN1,630.00
GF Value MXN1,382.11
Valuation Modestly Overvalued
! 3 Warning Signs
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What is Zoom Communications 5-Year Yield-on-Cost %?

Zoom Communications MEX:ZM 78 5-Year Yield-on-Cost % is 0.00 as of Jul. 20, 2026. GuruFocus rates MEX:ZM with a GF Score™ of 78/100 and a GF Value™ of MXN1,382.11 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 1,027 Software companies, Zoom Communications ranks worse than 97370.89% on this metric.

Zoom Communications's yield on cost for the quarter that ended in Apr. 2026 was 0.00.


The historical rank and industry rank for Zoom Communications's 5-Year Yield-on-Cost % or its related term are showing as below:



MEX:ZM's 5-Year Yield-on-Cost % is not ranked *
in the Software industry.
Industry Median: 3.11
* Ranked among companies with meaningful 5-Year Yield-on-Cost % only.

Zoom Communications  (MEX:ZM) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Zoom Communications 5-Year Yield-on-Cost % Related Terms


MEX:ZM vs FICO, MSTR, WDAY: 5-Year Yield-on-Cost % Comparison

For the Software - Application subindustry, Zoom Communications's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Software Industry

For the Software industry and Technology sector, Zoom Communications's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Zoom Communications's 5-Year Yield-on-Cost % falls into.


MEX:ZM
78GF Score
Zoom Communications Inc MEX:ZM
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
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Zoom Communications 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Zoom Communications is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 0.00 mean?
Zoom Communications (MEX:ZM) has a 5-Year Yield-on-Cost % of 0.00 as of Jul. 20, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Zoom Communications and its competitors. According to the industry distribution chart, Zoom Communications ranks #999999 out of 1027 companies in the Software industry.
Is Zoom Communications' 5-Year Yield-on-Cost % too high?
Zoom Communications' current 5-Year Yield-on-Cost % is 0.00. Based on the distribution chart, Zoom Communications ranks #999999 out of 1027 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Zoom Communications has a GF Score™ of 78/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Zoom Communications' 5-Year Yield-on-Cost % compare to FICO and MSTR?
According to the Software industry distribution chart, Zoom Communications ranks #999999 out of 1027 companies for 5-Year Yield-on-Cost %. This places Zoom Communications in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.11. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Software company?
The median 5-Year Yield-on-Cost % among Software companies is 3.11, based on 1,027 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Zoom Communications and its competitors. For the Software industry, the median 5-Year Yield-on-Cost % is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zoom Communications's current 5-Year Yield-on-Cost % is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zoom Communications stock overvalued right now?
Based on GuruFocus' analysis, Zoom Communications (MEX:ZM) is currently considered Modestly Overvalued. The stock's GF Value™ is MXN1,382.11, compared to a current price of MXN1,630.00 — trading 17.9% above its estimated fair value. The current 5-Year Yield-on-Cost % is 0.00. Zoom Communications' overall GF Score™ is 78/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Zoom Communications (MEX:ZM), the current 5-Year Yield-on-Cost % is 0.00 as of Jul. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Zoom Communications (MEX:ZM) Overvalued in 2026?

Based on GuruFocus' analysis, Zoom Communications stock appears to be overvalued. The current stock price of MXN1,630.00 is trading 17.9% above its estimated GF Value™ of MXN1,382.11. GuruFocus considers Zoom Communications to be Modestly Overvalued.

Key valuation signals for MEX:ZM:

  • 5-Year Yield-on-Cost %: 0.00
  • GF Value™: MXN1,382.11 vs. price of MXN1,630.00 (17.9% above fair value)
  • GF Score™: 78/100 with 3 warning signs

No single metric tells the full story. See the MEX:ZM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zoom Communications Business Description

Address 55 Almaden Boulevard, 6th Floor, San Jose, CA, USA, 95113
Zoom Communications provides a video-first communications platform that connects people through frictionless video, voice, chat, and content sharing. The company's cloud-native platform enables video experiences and connects users across various devices and locations in a single meeting. Zoom has launched a variety of communications-related solutions, including Zoom Phone and Zoom Contact Center. The firm was founded in 2011 and serves companies of all sizes from all industries around the world.
78GF Score

Get the complete analysis for MEX:ZM

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN1,630.00
Price
MXN1,382.11
GF Value