8x8 (NASDAQ:EGHT): Strongest Q3 Results from the Video Conferencing Group

What Happened?

A number of stocks jumped in the afternoon session after reports of easing geopolitical tensions in Greenland boosted investor sentiment. 

The relief rally saw major indices, including the S&P 500 and the tech-heavy Nasdaq Composite, rebound as investors moved back into riskier assets. This positive shift was reflected across the technology landscape, with all of the Magnificent Seven tech firms seeing their shares climb. The easing of international friction reduced market uncertainty, which often encourages investment in growth-oriented sectors like technology. The move was part of a broader market upswing, with the Dow Jones Industrial Average adding 500 points, signaling increased investor confidence.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Data Analytics company Health Catalyst jumped 3.9%. Is now the time to buy Health Catalyst? Access our full analysis report here, it’s free.
• Data Storage company MongoDB jumped 4%. Is now the time to buy MongoDB? Access our full analysis report here, it’s free.
• Project Management Software company Asana jumped 3.8%. Is now the time to buy Asana? Access our full analysis report here, it’s free.
• Data Analytics company Domo jumped 4.5%. Is now the time to buy Domo? Access our full analysis report here, it’s free.
• Video Conferencing company RingCentral jumped 3.9%. Is now the time to buy RingCentral? Access our full analysis report here, it’s free.

Zooming In On Domo (DOMO)

Domo’s shares are extremely volatile and have had 42 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was about 23 hours ago when the stock gained 7.6% on the news that the company announced that Yamaha Corporation was using its AI and Data Products platform to modernize its global logistics operations. 

Yamaha's Logistics Division built a centralized intelligence platform on Domo that delivered visibility across international transportation, inventory, and warehousing. This change resulted in faster, more accurate decision-making and earlier risk detection. The partnership also led to significant operational efficiency gains, including a reduction of 200 hours of manual workload annually for the manufacturer.

Domo is down 23.8% since the beginning of the year, and at $6.33 per share, it is trading 65.2% below its 52-week high of $18.20 from September 2025. Investors who bought $1,000 worth of Domo’s shares 5 years ago would now be looking at an investment worth $87.11.

What Happened?

A number of stocks jumped in the afternoon session after reports of easing geopolitical tensions in Greenland boosted investor sentiment. 

The relief rally saw major indices, including the S&P 500 and the tech-heavy Nasdaq Composite, rebound as investors moved back into riskier assets. This positive shift was reflected across the technology landscape, with all of the Magnificent Seven tech firms seeing their shares climb. The easing of international friction reduced market uncertainty, which often encourages investment in growth-oriented sectors like technology. The move was part of a broader market upswing, with the Dow Jones Industrial Average adding 500 points, signaling increased investor confidence.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Content Delivery company Fastly (NYSE:FSLY) jumped 4%. Is now the time to buy Fastly? Access our full analysis report here, it’s free.
• Communications Platform company Twilio jumped 4%. Is now the time to buy Twilio? Access our full analysis report here, it’s free.
• Video Conferencing company Zoom jumped 4.5%. Is now the time to buy Zoom? Access our full analysis report here, it’s free.
• Cloud Monitoring company PagerDuty jumped 4%. Is now the time to buy PagerDuty? Access our full analysis report here, it’s free.
• Vulnerability Management company Rapid7 jumped 4%. Is now the time to buy Rapid7? Access our full analysis report here, it’s free.

Zooming In On Zoom (ZM)

Zoom’s shares are not very volatile and have only had 6 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.

The biggest move we wrote about over the last year was about 2 months ago when the stock gained 13.5% on the news that the company reported better-than-expected third-quarter results and raised its full-year profit outlook. For its third quarter, Zoom posted revenue of $1.23 billion, surpassing the consensus estimate of $1.21 billion and representing a 4.4% increase year-over-year. The company's adjusted earnings per share came in at $1.52, also beating analyst forecasts of $1.44. Building on this strong performance, Zoom lifted its full-year adjusted earnings per share guidance to a new midpoint of $5.96. The combination of exceeding current expectations and signaling higher future profitability resonated strongly with investors, driving the stock higher.

Zoom is up 1.6% since the beginning of the year, and at $84.69 per share, it is trading close to its 52-week high of $90.24 from December 2025. Investors who bought $1,000 worth of Zoom’s shares 5 years ago would now be looking at an investment worth $220.89.

What Happened?

A number of stocks jumped in the afternoon session after reports of easing geopolitical tensions in Greenland boosted investor sentiment. 

The relief rally saw major indices, including the S&P 500 and the tech-heavy Nasdaq Composite, rebound as investors moved back into riskier assets. This positive shift was reflected across the technology landscape, with all of the Magnificent Seven tech firms seeing their shares climb. The easing of international friction reduced market uncertainty, which often encourages investment in growth-oriented sectors like technology. The move was part of a broader market upswing, with the Dow Jones Industrial Average adding 500 points, signaling increased investor confidence.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• E-commerce Software company Wix jumped 6.9%. Is now the time to buy Wix? Access our full analysis report here, it’s free.
• Video Conferencing company Five9 jumped 7%. Is now the time to buy Five9? Access our full analysis report here, it’s free.
• Data Storage company DigitalOcean jumped 6%. Is now the time to buy DigitalOcean? Access our full analysis report here, it’s free.
• Data Analytics company Amplitude jumped 6.4%. Is now the time to buy Amplitude? Access our full analysis report here, it’s free.
• Marketing Software company Braze jumped 6.7%. Is now the time to buy Braze? Access our full analysis report here, it’s free.

Zooming In On Five9 (FIVN)

Five9’s shares are very volatile and have had 26 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 9 days ago when the stock dropped 3.2% on the news that an analyst at Barclays lowered the company's price target, which overshadowed positive partnership news. 

The previous day, Barclays analyst Raimo Lenschow cut the firm's price target on the stock to $25 from $29. While the firm kept its "Overweight" rating, the nearly 14% reduction in the price target signaled a more cautious view of the company's future stock performance. This analyst action seemed to weigh on the stock more heavily than a separate announcement that Five9 expanded its partnership with Google Cloud. The company disclosed a new joint AI solution to help large businesses improve their customer service, but the news was not enough to overcome the negative sentiment from the price target cut.

Five9 is down 1.6% since the beginning of the year, and at $18.51 per share, it is trading 56.8% below its 52-week high of $42.82 from February 2025. Investors who bought $1,000 worth of Five9’s shares 5 years ago would now be looking at an investment worth $103.24.

As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q3. Today, we are looking at video conferencing stocks, starting with 8x8 .

Work is becoming more distributed, both across geographies and devices. In order for businesses to keep functioning efficiently, they need to be able to communicate as well as they did when the teams were co-located, which drives the demand for integrated communication platforms.

The 4 video conferencing stocks we track reported a satisfactory Q3. As a group, revenues beat analysts’ consensus estimates by 1.3% while next quarter’s revenue guidance was 0.9% below.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 8.8% since the latest earnings results.

Best Q3: 8x8

Named after its founding year (1987) with "8x8" representing binary code for communications, 8x8 provides cloud-based contact center and unified communications solutions that enable businesses to manage customer interactions and internal communications through a single platform.

8x8 reported revenues of $184.1 million, up 1.7% year on year. This print exceeded analysts’ expectations by 3.3%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ EBITDA estimates and a decent beat of analysts’ revenue estimates.

“Our second quarter performance reflected progress against our strategic priorities,” said Samuel Wilson, Chief Executive Officer at 8x8, Inc.

8x8 scored the biggest analyst estimates beat but had the slowest revenue growth and slowest revenue growth of the whole group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 5.9% since reporting and currently trades at $1.68.

Zoom

Once the verb that defined remote work during the pandemic ("let's Zoom later"), Zoom provides a cloud-based platform for video meetings, phone calls, team chat, and collaboration tools that helps businesses and individuals connect virtually.

Zoom reported revenues of $1.23 billion, up 4.4% year on year, outperforming analysts’ expectations by 1.3%. The business had a strong quarter with an impressive beat of analysts’ EBITDA estimates and EPS guidance for next quarter beating analysts’ expectations.

Zoom scored the highest full-year guidance raise among its peers. The company added 89 enterprise customers paying more than $100,000 annually to reach a total of 4,363. The market seems content with the results as the stock is up 3.9% since reporting. It currently trades at $81.64.

Weakest Q3: RingCentral

Built on its proprietary Message Video Phone (MVP) platform that unifies multiple communication methods, RingCentral provides AI-driven cloud communications and collaboration solutions that enable businesses to connect through voice, video, messaging, and contact center services.

RingCentral reported revenues of $638.7 million, up 4.9% year on year, in line with analysts’ expectations. It was a slower quarter as it posted revenue guidance for next quarter missing analysts’ expectations significantly and billings in line with analysts’ estimates.

As expected, the stock is down 13.2% since the results and currently trades at $25.98.

Read our full analysis of RingCentral’s results here.

Five9

Taking its name from the "five nines" (99.999%) standard for optimal service reliability in telecommunications, Five9 provides cloud-based software that enables businesses to run their contact centers with tools for customer service, sales, and marketing across multiple communication channels.

Five9 reported revenues of $285.8 million, up 8.2% year on year. This number was in line with analysts’ expectations. Taking a step back, it was a mixed quarter as it also logged a solid beat of analysts’ EBITDA estimates but revenue guidance for next quarter slightly missing analysts’ expectations.

Five9 delivered the fastest revenue growth but had the weakest performance against analyst estimates among its peers. The stock is down 19.7% since reporting and currently trades at $17.42.

Read our full, actionable report on Five9 here, it’s free.