Zoom Stock Price: The outbreak of the COVID-19 has brought the world to a standstill. A worldwide lockdown is in progress, with dozens of people being quarantined by the minute. As the death rate continues to soar, officials struggle hard to find a cure. The pandemic of the coronavirus has disrupted every major industry on the planet. Companies have undertaken drastic measures to stay afloat during the crisis.
The economic losses are in the billions, and many major tech companies have severely cut down on its staff. However, this outbreak has been a major boost for various video callings apps such as Google Duo, Google Meet, Zoom, and Hangouts. As getting out of the house is practically impossible; people have resorted to virtual meetings to make things work.
Zoom’s Stock Price Continues To Rise Sharply
Amidst all the turmoil and crisis, every single asset in the financial market is crashing. However, Zoom Communications has been embracing this trend as has been at the right place at the right time. The company’s stock has been soaring since this crisis hit. People have embraced the concept of having a ‘Zoom Meeting’ from the comfort of their homes.
Founded by Eric Yuan, Zoom is an American communication technology company based in San Jose, California. It provides videotelephony and online chat services through a cloud-based peer-to-peer software platform and is used for teleconferencing, telecommuting, distance education, and social relations. The crisis hit the world sometime in March 2020. In March, Zoom valued at roughly $130 per share. The crisis has led to a severe economic backlash in major companies. However, Zoom’s stock price continues to rise sharply. As of today (5/6/2020), Zoom values at a whopping $210 per share.
Along with the pharmaceutical sector, Zoom is the only company that has been making the most of this lockdown.
Why Is The Zoom Stock Soaring?
Due to the pandemic, many companies have shut down shops, which have led to their downfall. Although several tech giants such as Google, Facebook, Twitter, and Amazon have allowed their employees to work from home. People have quickly adapted to this work from the home trend, which has kept their organizations afloat. This work from home has proven to be the major boost for Zoom and several other video conferencing apps.
Zoom Stock is up by 82%, outperforming every major asset in the world. As per the recent evaluation, the American tech company has been valued at a whopping $40 billion. So it will be interesting to see if Zoom manages to live up to the estimated evaluation.