Jim Cramer on Zoom Communications: “I Just Lack a Catalyst about why to recommend it”

Zoom Communications Inc. (NASDAQ:ZM) is one of the stocks Jim Cramer was asked about. A caller inquired about the stock, noting that it is gaining traction and has a P/E ratio of approximately 22. In response, Cramer said:

“Look, I think Zoom is a good company. It’s got consistent cash flow. It’s doing fine. I just lack a catalyst about why to recommend it, so therefore, I’m going to take a pass.”

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Zoom Communications Inc. (NASDAQ:ZM) provides an AI-based work platform with video meetings, phone, chat, and collaboration tools like Zoom Docs and Whiteboard. A caller asked about the stock during the May 19 episode and Cramer responded:

“I think Zoom’s last quarter was actually pretty good. They do have some good apps. My stepson worked there in fairness to fully disclose and I really like them very much and I think they’re doing a lot right, but it’s taken them a very long time.”

It is worth noting that the company’s stock price has remained almost unchanged since the above comment was aired.

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Disclosure: None. This article is originally published at Insider Monkey.