A few times in our lives, a company will rise from the ether and cement itself as more than just another business. We don’t search anymore, we Google. We don’t edit pictures anymore, we Photoshop. And now, we don’t video call anymore…we Zoom.
Is Zoom the next Google?
Zoom (NASDAQ: ZM) announced its Q3 earnings last night, and once again it seemed to go against all 2020 trends. Most stocks that ballooned during the pandemic saw a marked drop in fortunes this quarter (we’re looking at you Peloton and Roku), but Zoom posted better-than-expected earnings all around.
The comm-tech company posted adjusted earnings per share (EPS) of $1.11 against an expected $1.09, on revenue of $1.05 billion versus a forecasted $1.02 billion.
These numbers might not seem amazing, but it’s what they signify that’s infinitely more important. As more and more companies that were darlings of the pandemic continue to fall back to Earth, Zoom seems to be bucking the trend. Zoom has truly evolved to more than just a video conferencing platform now. From Zoom quizzes to Zoom parties, the firm has cemented itself as one of the true culturally significant companies of recent times.
I’m not for a second saying that Zoom is the new Google (NASDAQ: GOOG), but developing that kind of cultural standing certainly matters. Zoom can use that to rapidly scale its already impressive growth. By commanding that kind of global brand awareness, it can continue to dominate the video communication industry for years to come.
More work certainly needs to be done of course but seeing a company secure itself so firmly in our society usually leads to extremely happy investors. As it continues to evolve, we’ll certainly be keeping a keen eye on its fortunes.
Ready to start investing in stocks with huge potential? Check out our list of market-beating companies so you can get on the path to financial freedom. Subscribe now to get a 7-day free trial.
Financial Writer at MyWallSt
Pádraig’s favorite stock is Nike. Growing up as a sports fanatic, seeing Nike collaborate with athletes like Jordan, Lebron, and Ronaldo inspired him and cemented the brand in his mind. Now, despite having failed miserably in his attempts to earn a fabled Nike sponsorship, he still believes in the innovation and creativity behind Nike and is convinced they will only grow stronger as the world's leading sports brand.