Zoom's stock pops 8% on strong earnings, guidance

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Zoom's stock pops 8% on strong earnings, guidance
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Zoom Video Communications Inc.’s stock climbed in extended trading Monday, after the videoconferencing company topped expectations across the board with its...

Zoom Video Communications Inc.’s stock climbed in extended trading Monday, after the videoconferencing company topped expectations across the board with its financial results and forecasts.

Analysts surveyed by FactSet had on average expected adjusted net income of $1.06 a share on revenue of $1.11 billion. For the full year, the company predicted adjusted earnings of $4.63 to $4.67 a share on revenue of $4.49 billion to $4.5 billion, while analysts on average were expecting $4.32 a share on sales of $4.5 billion.

Shares of Zoom advanced more than 8% in after-hours trading immediately following the release of the results Monday, though they later cooled. Zoom’s stock has dipped 0.7% this year, while the broader S&P 500 index SPX has advanced 15%.

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