ZoomInfo (GTM)
NASDAQCommunication ServicesSoftware - ApplicationSnapshot 2026-09-04
$4.13+0.24%
Close 2026-09-04 · 1-day change
NASDAQCommunication ServicesSoftware - ApplicationSnapshot 2026-09-04
Broken: Primary pillar broken — Achieve FY 2026 revenue near $1.257 billion: FY26 revenue guidance $1.21B vs $1.2B trip.
ZoomInfo grows revenue to about $1.26 billion in 2026. Operating income rose to $57.9 million in Q1 2026. The company is cutting costs via a restructuring program. New AI product launches and partnerships boost growth potential.
Revenue growth is weak and guidance was cut, triggering a securities probe. The restructuring impact is uncertain. Analysts expect revenue to decline about 4.5% next year. The stock trades near a 55% drawdown from its high.
The market expects about -4.5% revenue growth next year and values the stock well below our fair value of $10.33. Our fair value is 107% above the Street median target of $5. The market prices in a weak growth outlook and regulatory risks.
Breaks if: Failure to amend credit agreement by end of 2026
Amend the existing credit agreement to optimize financial flexibility.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround story with a focus on restructuring and cost management. The current thesis state is weakened due to recent financial performance that has dropped compared to peers.
The market appears to have priced in a low expectations gap, suggesting that GTM is viewed as cheap compared to its peers. However, the valuation is justified, indicating that the market does not expect significant near-term improvements.
Management is focused on executing their restructuring program and achieving revenue guidance for FY 2026. Recent financial performance has been weak, but there is steady progress toward revenue targets, though risks remain elevated.
The future of GTM hinges on the success of its restructuring efforts and the performance of sector bellwethers. If these companies continue to perform well, it could provide a tailwind for GTM, while any negative guidance from them could further impact GTM's outlook.
The most important moves since the prior daily snapshot.
Yes, our read has weakened. The reason to own GTM has diminished due to recent financial performance. It fell from the robust half to the weak half of its sector. The latest earnings beat does not offset this decline in standing.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Breaks if: Free cash flow falls below $400 million in FY26
Breaks if: Operating income falls below $50 million in Q1 2026
Execute the 2026 Restructuring Program to reduce operating costs and improve operating leverage, including a global workforce reduction of approximately 600 employees.
Stated as a priority in 3 of last 3 quarters. The 2026 Restructuring Program aims to reduce operating costs and improve leverage with estimated pre-tax charges of $45 million to $60 million and a workforce reduction of about 600 employees. Management has reiterated this program since 2026-Q1 and the financials show operating expenses remain elevated but with focus on cost discipline, indicating ongoing execution.
“Our second quarter results reflect our discipline and commitment to free cash flow generation and an expanded approach to capital allocation.”
“The 2026 Restructuring Program is expected to result in estimated aggregate pre-tax charges in the range of $45 million to $60 million.”
“The Company’s Board approved a restructuring program to reduce operating costs and drive stronger operating leverage, impacting approximately 600 employees.”
Breaks if: Revenue falls below $1.2 billion in FY26
Deliver full-year 2026 GAAP revenue in the range of approximately $1.185 billion to $1.217 billion as guided.
Stated as a priority in 3 of last 3 quarters. FY 2026 GAAP revenue guidance has been provided in a range narrowing from $1.247-$1.267 billion in 2026-Q1 to $1.185-$1.217 billion in 2026-Q2 and 2026-Q3 guidance at $298-$301 million quarterly. Actual revenue grew modestly from $305.7 million in 2025-Q1 to $310.4 million in 2026-Q2, indicating steady progress toward the annual revenue target.
“FY 2026 GAAP Revenue guidance $1.185 - $1.205 billion”
“FY 2026 GAAP Revenue guidance $1.247 - $1.267 billion”
“FY 2026 Revenue guidance $1.247 - $1.267 billion”
Over the next 1 to 3 years, GTM's performance will depend on its ability to navigate sector headwinds and execute on management's priorities. Not investment advice.