Skip to content

Zoom Video Communications, Inc. ZM Return on invested capital

Return on invested capital at other companies

Apple logo
AppleAAPL
89.1%+17.8pp
Microsoft logo
MicrosoftMSFT
26.7%-1.2pp
Cisco Systems, Inc. logo
Cisco Systems, Inc.CSCO
16.8%+1.6pp
Amazon logo
AmazonAMZN
14%-3.8pp
Alphabet Inc. logo
Alphabet Inc.GOOGL

Other financials

Income statement

See full
Revenue$1.2B+5.5%
Gross profit$964.7M+7.6%
Operating income$310.5M+28.5%
Net income$425.7M+67.2%
EPS (diluted)$1.42+75.3%

Balance sheet

See full
Cash & equivalents$930.9M-25.3%
Total debt$60.2M-2.1%
Total equity$10.0B+12.0%
Total assets$12.2B+11.1%

Cash flow

See full
Operating cash flow$521.6M+6.6%
CapEx$21.1M-18.5%
Free cash flow$500.5M+8.0%

Valuation

See full
Market cap$25.63B+24.2%
Enterprise value$24.75B+27.0%
P/E12.4×-7.3×
P/S5.2×+0.8×

Profitability

See full
Gross margin77.4%+1.5pp
Operating margin24.2%+6.0pp
Net margin42%+19.7pp

Returns & leverage

See full
Return on equity21.9%+9.8pp
Debt / equity0.0×
Current ratio4.2×-0.3×

Where this comes from

Calculated from Zoom Video Communications, Inc.’s reported figures.

Based on trailing twelve months.

The official record: Zoom Video Communications, Inc.’s 10-Q, filed May 22, 2026, on SEC EDGAR. View the filing →

Ask your AI about Zoom Video Communications, Inc.'s return on invested capital.

Connect your AI assistant and compare it to peers, right in your chat.

Connect your AI
Harbor at dusk
Claude

Questions, answered.

What is Zoom Video Communications, Inc.'s return on invested capital?
Zoom Video Communications, Inc. (ZM) reported return on invested capital of 11.1% in Q1 2026.
How has Zoom Video Communications, Inc.'s return on invested capital changed year-over-year?
Zoom Video Communications, Inc.'s return on invested capital increased by 18.4% year-over-year, from 9.4% to 11.1%.
What is the long-term trend for Zoom Video Communications, Inc.'s return on invested capital?
Over 2 years (2022 to 2026), Zoom Video Communications, Inc.'s return on invested capital has grown at a -54.4% compound annual growth rate (CAGR), from 201% to 41.9%.
What does return on invested capital mean?
The after-tax return the business earns on all the capital — debt and equity — invested in it.
How do you interpret return on invested capital?
The cleanest measure of business quality: ROIC sustained above the cost of capital creates value, below it destroys value. Compare against WACC, not against zero.
How does return on invested capital compare across companies?
Highly comparable across companies as a quality screen. Sector-sensitive definitions of invested capital mean banks/insurers are best excluded.