February 10, 2026
Finance

ZoomInfo Technologies Sees Analyst Price Target Reductions Despite Solid Q4 Performance

Q4 Results Exceed Expectations Yet Prompt Downgrades in Price Projections from Key Analysts

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Summary

ZoomInfo Technologies unveiled fourth-quarter results that surpassed analyst estimates on both earnings per share and revenue. Despite this positive operational performance, the company’s stock experienced a significant decline in pre-market trading, with prominent analysts reducing their price targets in response to the earnings report and guidance for the coming fiscal year. CEO Henry Schuck highlighted record revenue and profitability in 2025, alongside enhancements to their AI-driven platform for go-to-market teams. The company forecasted adjusted EPS and revenue for 2026 aligning closely with consensus estimates, though stock market sentiment appeared cautious following the release.

Key Points

ZoomInfo Technologies exceeded fourth-quarter earnings and revenue estimates, reporting 32 cents per share versus 28 cents, and $319.1 million in revenue compared to $309.4 million forecast.
CEO Henry Schuck highlighted record revenue and improved profitability in 2025 along with advancements in their AI-based platform for go-to-market teams.
The company’s fiscal year 2026 guidance projects adjusted EPS between $1.10 and $1.12 and revenue between $1.247 billion and $1.267 billion, both close to analyst consensus forecasts.
Despite strong financial results, ZoomInfo's shares dropped sharply by 22.5% in pre-market trading following the earnings announcement.

ZoomInfo Technologies, Inc., listed on NASDAQ as GTM, released its fourth-quarter financial results on Monday, showing better-than-expected performance. The company recorded earnings of 32 cents per share for the quarter, outperforming the analyst consensus estimate of 28 cents. In terms of revenue, ZoomInfo reported $319.1 million, also surpassing the anticipated $309.4 million.

These results reflect a strong finish to 2025, with CEO Henry Schuck emphasizing the achievement of record revenue levels, expanded profitability margins, and increased free cash flow throughout the year. He also noted the company’s progression in developing an integrated AI platform designed to optimize the capabilities of go-to-market teams.

ZoomInfo’s outlook for fiscal year 2026 includes adjusted earnings per share projected between $1.10 and $1.12, marginally exceeding the consensus estimate of $1.10. Revenue guidance spans from $1.247 billion to $1.267 billion, closely aligned with the analyst forecast of $1.256 billion.

Despite these encouraging operational metrics, the market reacted negatively to the earnings announcement, as evidenced by a 22.5% drop in ZoomInfo shares during pre-market trading, settling at $5.66 per share.

Following the earnings release, several analysts adjusted their evaluations of the stock. Allan Verkhovski, a BTIG analyst, upheld his Buy rating for ZoomInfo Technologies but cut his price target from $13 to $10, reflecting a reassessment of the stock’s near-term valuation. Similarly, Mizuho analyst Siti Panigrahi maintained a Neutral stance but reduced the price target from $12 to $10.

These changes suggest a cautious perspective within parts of the investment community, possibly influenced by the company’s guidance figures and recent market performance despite surpassing quarterly expectations.

Investors considering GTM shares should take note of the divergence between the company’s operational performance and the subsequent adjustments in analyst price targets and market reaction. The Benzinga Rankings, which incorporate a variety of vital metrics such as momentum, growth, and value, show the stock scoring moderately in growth (26.84) and value (30.78), with momentum and quality metrics currently unavailable.

Risks
  • Market response to earnings can be negative despite beating estimates, as seen in the 22.5% pre-market share price decline.
  • Analyst price targets on ZoomInfo were lowered post-earnings, pointing to potential investor concerns about valuation or forward guidance.
  • Guidance for fiscal 2026 EPS and revenue align closely with consensus rather than exceeding it, which may influence investor sentiment and stock performance.
  • Limited availability of some key stock metrics such as momentum and quality ratings may contribute to uncertainty in stock evaluation.
Disclosure
Education only / not financial advice
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Ticker Sentiment
GTM - neutral
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