Zoom Video Communications Inc. shares declined 2.6% in after-hours trading following the release of its fiscal second-quarter 2027 results, which showed revenue and earnings beating Wall Street estimates but guidance that largely aligned with existing market expectations.
The video conferencing company reported revenue of $1.277 billion for the quarter, exceeding the $1.269 billion consensus among analysts. Adjusted earnings per share came in at $1.55, topping the $1.48 estimate. Enterprise revenue growth accelerated to 7.8% year-over-year, the fastest pace in three years.
Full-year guidance for fiscal 2027 remained broadly unchanged, with projected revenue of $5.085 billion to $5.095 billion and non-GAAP diluted EPS of $6.08 to $6.12. The company also noted a 256% year-over-year surge in customer count for its Zoom Virtual Agent product.
During the regular session, Zoom’s stock had already retreated from its intraday high of $104.93, closing within a 52-week range of $70.70 to $114.74. Analysts had recently flagged a rising performance bar for the stock, with Cantor Fitzgerald maintaining a Neutral rating and a $104 price target, while Bank of America reinstated a Buy rating with a $130 target.
Major U.S. equity indices—the S&P 500, Dow Jones, and NASDAQ—ended the regular session essentially flat, providing no offsetting momentum for Zoom’s shares.
