"We expect these headwinds to weigh on results over the next several qtrs, keeping shares range-bound until clearer signs around what's next for ZM post hyper-growth emerge."
"Management commentary around front-end renewal activity to us suggests billings could trough in Q4, but normalized revenue growth in this model remains tough to handicap given moving pieces tied to the SMB segment of the business (~33% of revenue) and return to normal impacts on video," Turrin says. "The 4Q outlook suggests <20% revenue growth and <10% billings growth, leading to questions around normalized growth into next year (outlook to come with Q4 results)," analyst Michael Turrin writes. Wells Fargo keeps its Equal Weight rating, but lowers its price target to $245 from $275. "Bears will point to the continued slowing growth and the challenging 4Q comp, with net retention slowing to 109% in F3Q22 (KBCM est)." "Bulls will point to upmarket success (+$100K customer adds/rev, 130%+ NDR) and Phone growth as evidence the enterprise strategy is playing out," KeyBanc analyst Steve Enders writes in a note. That would still be a gain of more than 50% from current levels. KeyBanc Capital Markets keeps its Overweight rating on the stock, but cuts its price target to $344 from $398 per share. Including this morning's decline, the stock is off 45% from its recent high at the start of August. 
ZM is down 8% in premarket trading, further pressure on a stock that has been sliding fairly steadily for the last three months.
Zoom Video Communications (NASDAQ: ZM) is falling premarket despite reporting better-than-expected earnings and guidance slightly above estimates. Sundry Photography/iStock Editorial via Getty Images
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