Zoom Stock Gains 3% After Spruce Point

Zoom Communications shares rose about 3% on Friday following Spruce Point Capital Management’s strong‑buy recommendation.
Spruce Point noted $7.8 bn net cash, $2 bn free cash flow, and urged a $4 bn Dutch‑auction tender with a $1 dividend (1.1% yield).
Revenue per employee dropped 14% since 2020, while SaaS peers grew 53% and 44%, highlighting a productivity gap.
Spruce Point urged restructuring international ops, marketing, collapsing dual‑class shares, S&P 500 lobbying, and a sale if value isn’t created within a year.