Zoom Video Communications, Inc. Class A (ZM) has disclosed a new risk, in the Regulation category.
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Zoom Video Communications, Inc. Class A faces heightened business risk due to potential changes in laws such as Section 230, which currently shields them from liability for third-party content. Legislative efforts in various states and ongoing judicial cases threaten to dismantle these protections, potentially increasing liability and necessitating significant alterations to their operational and content moderation practices. Should the Supreme Court’s future decisions result in unfavorable outcomes for online platforms, Zoom could encounter increased compliance costs and legal exposure. Additionally, international regulations like the OSA and DSA could impose hefty fines and further complicate the digital landscape for Zoom.
The average ZM stock price target is $78.56, implying 12.70% upside potential.
To learn more about Zoom Video Communications, Inc. Class A’s risk factors, click here.