Zoom Video Communications Inc. (ZM), better known as Zoom, provides video and web conferencing services, as well as voice, chat, and content sharing services for use across many kinds of devices. The company was founded in 2011 and has seen tremendous growth in the last year as the COVID-19 pandemic has prompted a large-scale shift toward remote work across many industries globally. As of January 31, 2021, Zoom had more than 467,000 customers with at least 10 employees, nearly six times the number of customers compared to a year earlier.
Investor interest in Zoom has soared along with the company's surge in profits and revenue. As of April 5, 2021, the company has a market capitalization of $94.4 billion, with trailing 12-month (TTM) net income of $672.3 million and TTM revenue of $2.7 billion.
The top individual insider shareholders of Zoom are Santiago Subotovsky, Ryan Azus, and Janine Pelosi, and the top institutional shareholders are Eric Yuan, Bin Yuan and Cathy Wang, and Li Ka-shing. In this case at Zoom, these institutional shareholders are not literally financial institutions, but investors who file certain forms with the U.S. Securities and Exchange Commission (SEC). Specifically, these investors file either a 13-D or a 13-G form and own at least 5% of outstanding shares of Zoom. Or, they must file a 13-F form as an institutional investment manager if they have more than $100 million in assets under management (AUM).
"Insider" refers to people in senior management positions and members of the board of directors, as well as people or entities that own more than 10% of the company's stock. In this context, it has nothing to do with insider trading.
Top 3 Individual Insider Shareholders
Santiago Subotovsky owns 212,143 shares of Zoom, or about 0.07% of all outstanding shares. Subotovsky has been a member of Zoom's board of directors since 2014. He is a general partner at venture capital firm Emergence Capital and is the founder of AXG Tecnonexo, an e-learning vendor in Latin America. He has also served on the boards of companies including Airkit, Civitas Learning, CrunchBase, High Alpha, and Openpath.
Ryan Azus owns 48,367 shares of Zoom, or about 0.02% of all outstanding shares. Azus has been chief revenue officer at Zoom since 2019. In this role, Azus is responsible for the company's sales, customer success, customer support, solution engineering, and channel teams. Prior to Zoom, Azus was executive vice president of global sales and services at RingCentral, a cloud-based communications company. He also worked in sales at Cisco Webex.
Janine Pelosi owns 31,388 shares of Zoom, or about 0.01% of all outstanding shares. Pelosi is chief marketing officer at Zoom. In this role, Pelosi oversees Zoom's brand, communications, go-to-market, product marketing, lead generation, and customer marketing. Pelosi joined Zoom in 2015 as head of marketing. Prior to Zoom, Pelosi held several leadership positions at Cisco and Webex.
Top 3 Institutional Shareholders
According to Whale Wisdom, nearly 900 13F filers held Zoom stock as of the end of Q4 2020. About 27 of them included Zoom in their top 10 holdings. Institutional shareholders own about 57.5% of outstanding Zoom shares.
Eric S. Yuan
Eric S. Yuan owns 43,284,343 shares of Zoom, representing about 18.5% of all outstanding shares, according to a 13-G form filed on December 31, 2020. Yuan is the founder and chief executive officer (CEO) of Zoom, which he founded in 2011. Prior to Zoom, Yuan held several executive positions at Cisco, where he was responsible for collaboration software development. At Cisco, he was also the founding engineer of WebEx, which sells conferencing and videoconferencing services. At WebEx, he helped grow sales to $800 million. Together with his family, Yuan's net worth is $14.2 billion, which is #140 on the Forbes billionaire list.
Bin Yuan and Cathy Wang
Bin Yuan and Cathy Wang have shared voting and dispositive power over 22,587,156 shares of Class A Common Stock held in trusts for which they serve as costrustees, representing 9.6% of the shares of Class A of Common Stock, according to a 13-G form filed on March 3, 2021. Each of them also personally owns 1,000 shares over which they have total control. Yuan is an immediate family member of Zoom founder Eric Yuan.
Li Ka-shing owns 14,558,398 shares of Zoom, representing about 6.2% of all outstanding shares, according to a 13-G form filed on December 31, 2019. Li, described as one of Asia's most influential businessmen, is senior advisor for multinational conglomerate CK Hutchison Holdings and CK Asset Holdings, having formerly served as chair. He was an early investor in Zoom before its shares skyrocketed. His net worth is estimated at $32.5 billion is ranked #42 on the Forbes billionaires list.