Diamonds and Dogs

6/3/20

Zoom Communications (ZM) zooming higher. The video communication company is up 4% making new all-time highs following blow out sales. Revenue improved 169% to $328.2 million from $122 million a year ago marking one of the best quarters for any software firm in history. For the full year, Zoom now expects revenue of $1.78 billion to $1.8 billion, nearly double Zoom's previous annual forecast for a maximum of $915 million in yearly sales. The downside is Zoom is not making a lot of money and the valuation is a little crazy trading for 30 times sales.

Violent video games coming under pressure. Activision Blizzard's (ATVI) is down 3% along with the rest of the video game industry with the protests over police brutality and racial inequality continuing across the country. Video game publishers and developers are putting content updates on hold and postponing major product announcements. Activision Blizzard is delaying the release of their wildly popular "Call of Duty" game.