On the other hand, the geopolitical conflict in Europe pressured the EMEA region which was flat compared to fiscal 2022. By region, revenues from the Americas climbed 15% while APAC led growth with 20% higher y/y sales. Revenue at $1.1 billion climbed 12% year-over-year which favorably contributed to a higher adjusted gross margin at 78.6% compared to 73.9% in Q1 fiscal 2022. The company reported its fiscal 2023 Q1 earnings on May 23rd with non-GAAP EPS of $1.03, $0.16 ahead of the consensus estimate, but down 22% from $1.32 in Q1 last year. The stock likely has some upside in the near term but will continue to face long-term uncertainties so caution is warranted. At the same time, we highlight some ongoing growth concerns against what has evolved into a more competitive operating environment, particularly as Zoom looks to branch out into new business segments beyond just video. The company just reported its latest quarterly result which beat expectations with positive operating metrics. The good news is that the deep correction has brought Zoom's valuation back down to Earth supported by overall solid fundamentals.

The stock is currently down about 40% year to date and a humbling 80% from its all-time high.

Indeed, ZM rallied by as much as 800% at its peak during 2020 fueled by the trends in remote working and virtual learning, only to reverse nearly all gains with the ongoing 'return to normal' forcing a reset of expectations. ( NASDAQ: ZM) is a poster child for the group of stocks that benefited from the early pandemic boom but ultimately faced a reckoning over the past year with the shifting market cycle.

Zoom stock earnings