5 New Stock Picks of Ken Fisher

3. Zoom Video Communications, Inc. (NASDAQ:ZM)

Fisher Asset Management’s Stake Value: $418,128,000

Number of Hedge Fund Holders: 56

Zoom Video Communications, Inc. (NASDAQ:ZM) is a California-based communications technology company that offers services including videotelephony, online chat, and business telephone systems. 

Billionaire Ken Fisher started building his position in Zoom Video Communications, Inc. (NASDAQ:ZM) in Q3 2020, before discarding his stake entirely in Q3 2021. He purchased Zoom Video Communications, Inc. (NASDAQ:ZM) shares again in Q4 2021, buying a significant position this time. His hedge fund owns 2.27 million shares of Zoom Video Communications, Inc. (NASDAQ:ZM), worth $418.1 million, representing 0.23% of the total 13F portfolio. 

On December 30, Citic Securities analyst Junyun Chen initiated coverage of Zoom Video Communications, Inc. (NASDAQ:ZM) with a Buy rating and a $260 price target. The analyst sees an “appealing valuation” at current levels, saying the stock is “oversold” due to the slowdown in sales growth and market concerns over increased competition.

As of Q4 2021, Cathie Wood’s ARK Investment Management holds a prominent stake in Zoom Video Communications, Inc. (NASDAQ:ZM), increasing its position in the company by 57%. ARK Investment Management owns 6.89 million shares of Zoom Video Communications, Inc. (NASDAQ:ZM), worth $1.26 billion. 

Here is what Artisan Partners has to say about Zoom Video Communications, Inc. (NASDAQ:ZM) in its Q1 2021 investor letter:

“We concluded our campaigns in Zoom Video Communications. We have been paring our position in Zoom for several quarters, anticipating the reduced need for video conferencing as vaccination rates climb and people return to their workplaces. That said, we believe there is a strong case to be made that the pandemic has prompted a permanent inflection in video conferencing’s importance—sustainably higher remote work arrangements, more online learning and less business travel. Furthermore, the company’s dramatically expanded user base (up 485% YoY in Q3) positions it well to cross sell additional services, Zoom Phone in particular. The long-term future remains bright, but we decided to end our successful investment campaign in favor of opportunities in our pipeline with more attractive near-term growth prospects.”