ZoomInfo Technologies Inc

ZoomInfo Technologies Inc., (NASDAQ: ZI) through its subsidiaries, provides a go-to-market intelligence and engagement platform for sales and marketing teams. The Company’s cloud-based platform provides workflow tools with integrated, accurate, and comprehensive information on organizations and professionals to help users identify target customers and decision makers.

Recent Business and Financial Updates:

First Quarter 2024 Financial Highlights:

• Revenue increased to USD 310.1 million, up by 3% compared to the previous year.
• GAAP Operating income amounted to USD 43.0 million, while Adjusted operating income reached USD 119.4 million.
• GAAP Operating income margin stood at 14%, with the Adjusted operating income margin at 39%.
• GAAP Cash flow from operations totaled USD 115.9 million, alongside Unlevered free cash flow of USD 122.7 million.

Recent Business and Operating Highlights:

• Recognized as a leader in The Forrester Wave™: Marketing and Sales Data Providers for B2B, Q1 2024 report by Forrester Research, Inc. ZoomInfo received top scores in Current Offering and Strategy categories, and the highest possible score in the Market Presence category.
• Concluded the quarter with 1,760 customers generating USD 100,000 or more in annual contract value.
• The Board of Directors approved an additional USD 500 million under the share repurchase program, bringing the total authorization to USD 1.1 billion. USD 546.8 million remained outstanding as of quarter-end. Share repurchase amount equals to almost 24.28% of the total market capitalization.
• Repurchased 9,623,255 shares of Common Stock during the three months ended March 31, 2024, at an average price of USD 15.90, amounting to an aggregate of USD 153.1 million. 

Business Outlook:

• For the second quarter of 2024, ZoomInfo forecasts GAAP Revenue to range between USD 306 million and USD 309 million.
• Non-GAAP Adjusted Operating Income for the same period is expected to be between USD 114 million and USD 116 million.
• Non-GAAP Adjusted Net Income per share is anticipated to range from USD 0.23 to USD 0.24 for the second quarter.
• For the full year 2024, ZoomInfo projects GAAP Revenue to be between USD 1.255 billion and USD 1.27 billion.
• Non-GAAP Adjusted Operating Income is estimated to range from USD 488 million to USD 495 million for the entire year.
• Non-GAAP Adjusted Net Income per share is expected to be between USD 1.00 and USD 1.02 for the full year.
• Additionally, Non-GAAP Unlevered Free Cash Flow is anticipated to range between USD 440 million and USD 455 million.
• The weighted average of outstanding shares is estimated to be 394 million.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario. 

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.

Related Risk: This report may be looked at from a high-risk perspective and a recommendation is provided for a short duration. This report is solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc. 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is May 08, 2024. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level that the stock is expected to reach as per the relative valuation method and or technical analysis taking into consideration both short-term and long-term scenarios.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the New York Stock Exchange (NYSE), NASDAQ Capital Markets (NASDAQ), and or REFINITIV. Typically, all sources (NYSE, NASDAQ, or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.