Businesses are looking to support a future where their employees can work from anywhere…
That was the message from Zoom Video (ZM) CEO Eric Yuan after the company’s second-quarter results last night. The video-conferencing software company reported year-over-year sales growth of 355% in the quarter. And it boosted its full-year sales forecast for the second time so far during the pandemic.
ZM shares are up 36.10% on the report. But it’s not the only stock benefiting. ZM’s results are highlighting the continued need for software that supports working from home.
Because of the coronavirus pandemic, businesses have invested heavily in technology and services to make sure that employees can transition seamlessly to working away from the office. This means increasing reliance on cloud storage services, laptops, and communication software like Slack (WORK).
But according to Yuan, the focus has shifted. Now, instead of focusing on a seamless transition, businesses are working to supporting a longer-term work-from-anywhere environment.
Almost six months after coronavirus lockdowns went into effect, many businesses still have not returned to the office…
Huge companies like Facebook (FB) and Alphabet (GOOGL) won’t reopen their offices until summer 2021. Twitter (TWTR) has said it will allow employees to work from home forever. And some schools and universities have begun online classes instead of in-person at least through the end of the year.
ZM’s results are more confirmation of strength in the work-from-home trend, and it’s not stopping anytime soon. So work-from-home technologies are going to see high demand for some time. This is boosting other work-from-home stocks today:
E-signature software company DocuSign (DOCU) is up 17.98%.
WORK is up 4.63%.
These stocks should have continued tailwinds as the pandemic drags on.