Long ZOOM 🔎
Technical analysis
# Support at 200W MA (5 weeks consolidating above it)
# Turned previous Resistance into Support 91-95
# Round number 100 support
# Price above last week's and today VWAP
# Above the AVWAP from the gap up it made after Earnings
Fundamentals
# AI monetisation is now real revenue not speculation — paid AI Companion monthly active users up 184% year over year. Customers with over $100K annual revenue grew 8% to 4,534 — now contributing 33% of total revenue. The re-rating from a post-COVID video call company to an AI-first enterprise platform is happening now and is not fully priced in at 16x earnings.
# Cash machine with shareholder returns accelerating — gross margin near 77%, free cash flow $338 million last quarter, buyback pool now $1.6 billion. Board just authorised an additional $1 billion share repurchase. A company buying back this aggressively at current levels is management saying directly the stock is cheap.
# Anthropic investment is hidden optionality nobody is pricing in — Zoom holds an early-stage investment in Anthropic which some analysts suggest could represent a meaningful portion of Zoom's overall market value if current AI expectations materialise.
RISK 0.5% :
Entry 106
SL 98
TP 124-125
Trade smart, be kind and stay strong. 💚 🦍