ZM currently shows a PE to growth ratio reading of 0.12 as of Jul 2, 2026. This result reflects a P/E ratio of 12.54 measured against EPS growth of 103.2%. When compared to the trailing 4-quarter average of 0.27, ZM's PEG ratio reflects a 55% decrease.
A six years lookback reveals an average PEG ratio of 0.26 for Zoom Video Communications. Compared to historical data, ZM's 0.12 PEG ratio represents a drop of 54%. ZM hit its maximum PEG ratio of 0.96 during the Apr 2025 quarter over the last six years. The Apr 2024 quarter marked the lowest reading at 0, indicating the most favorable growth-adjusted valuation.
| Year | PEG ratio | PE ratio | Growth YoY |
|---|---|---|---|
| 2026 | 0.16 | 14.57 | 92.7% |
| 2025 | 0.48 | 26.51 | 54.7% |
| 2024 | 0.06 | 30.48 | 505.7% |
| 2023 | N/A | 214.29 | -92.5% |
| 2022 | 0.35 | 33.25 | 95.8% |
| 2021 | 0.06 | 156.99 | 2,533.3% |
| 2020 | N/A | 847.78 | N/A |
| 2019 | N/A | N/A | 100% |
| 2018 | N/A | N/A | 45% |
| 2017 | N/A | N/A | N/A |
| Year | PEG ratio | PE ratio | Growth YoY |
|---|---|---|---|
| Apr 2026 | 0.14 | 13.98 | 103.2% |
| Jan 2026 | 0.16 | 14.57 | 92.7% |
| Oct 2025 | 0.23 | 16.52 | 72% |
| Jul 2025 | 0.53 | 18.99 | 35.9% |
| Apr 2025 | 0.96 | 22.67 | 23.5% |
| Jan 2025 | 0.48 | 26.51 | 54.7% |
| Oct 2024 | 0.08 | 24.35 | 293.6% |
| Jul 2024 | 0.04 | 21.05 | 510.6% |
| Apr 2024 | 0 | 22.06 | 27,600% |
| Jan 2024 | 0.06 | 30.48 | 505.7% |
| Oct 2023 | N/A | 76.9 | -66.7% |
| Jul 2023 | N/A | 156.06 | -85.8% |
| Apr 2023 | N/A | 6,143 | -99.8% |
| Jan 2023 | N/A | 214.29 | -92.5% |
| Oct 2022 | N/A | 35.66 | -39.8% |
When comparing to historical data, ZM's PEG ratio is lower than the 3 and 5-year averages.
Zoom Video Communications's PEG of 0.12 is lower than the Technology sector and the industry average. Looking at the Technology sector average of 0.73, Zoom Video Communications's PEG is 84% lower.
Relative to its peer stock PHR, ZM's PEG ratio is lower.
| Stock name | PEG ratio | Market cap |
|---|---|---|
| ZM Zoom Video Communications Inc | 0.12 | $25.55B |
| PHR Phreesia Inc | 0.61 | $676.22M |
| PHUN Phunware Inc | N/A | $41.71M |
According to Jul 2, 2026 figures, ZM's PEG ratio stands at 0.12.
ZM's 3-year PEG ratio average is 0.27.
ZM's 5-year PEG ratio average is 0.32.
ZM's PEG ratio topped out at 0.96 during the Apr 2025 quarter - the highest in six years.
At present, ZM's PEG ratio is 54% lower than its 6-year historical average.
Rapid earnings growth combined with a modest valuation gives ZM a PEG ratio of 0.12.
The PEG ratio derives from taking PE and dividing by the rate at which earnings are growing (YoY TTM). As of Jul 2, 2026, Zoom Video Communications has a PE ratio of 12.54. Earnings grew at 103.2% over the TTM period ending Apr 2026. Applying the formula, this gives a PEG ratio of 0.12. PEG RATIO(0.12) = PE RATIO(12.54) / EPS GROWTH(103.2%)
All PEG ratio stats are based on quarterly TTM periods, unless otherwise specified.