Communications technology company Zoom Video Communications, Inc. (ZM) has announced that its reseller partners will now have the opportunity to sell Zoom Phone Bring Your Own Carrier (BYOC) licenses.
Following the news, shares of the company declined marginally on Wednesday. However, it pared its gains slightly to close at $279.80 in extended trade.
Earlier, only Zoom Master Agents could refer deals for Zoom Phone and Zoom Phone BYOC. With the launch of this program, now Zoom’s reseller partners from around the world, who meet the requirements and qualify, will be authorized to resell Zoom Phone BYOC. Further, Zoom Phone users will be able to bring customers, who use enhanced cloud peering to access PSTN to Zoom Phone Provider Exchange, together.
The Head of Global BD and Channel of Zoom, Laura Padilla, said, “We’ve seen a lot of success in selling Zoom Phone, reaching two million seats in just 10 quarters, and I see a lot of opportunity for our resellers with our Zoom Phone BYOC program. Zoom Phone BYOC provides customers with the flexibility to stay on their current carrier or easily use a combination to best meet their geographic reach and service needs.” (See Zoom stock chart on TipRanks)
Recently, BTIG analyst Matthew VanVliet reiterated a Buy rating on the stock with a price target of $460. The analyst’s price target implies upside potential of 64.8% from current levels.
The Wall Street community is cautiously optimistic about the stock with a Moderate Buy consensus rating based on 10 Buys and 8 Holds. The average Zoom price target of $375.85 implies that the stock has upside potential of 34.7% from current levels.
Zoom scores an 8 out of 10 from TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations. Shares have declined about 31.6% over the past year.