Zoom Communications Urged to Adopt Bitcoin Strategy for Shareholder Value
Eric Semler, chairman of Semler Scientific, suggested that Zoom Communications should adopt a bitcoin strategy to enhance its stock performance and create shareholder value. Key points include:
- Zoom's stock is down approximately 85% from its 2020 peak.
- The company has a cash reserve of $7.7 billion and generates $2 billion in annualized free cash flow.
- Semler advocates for using these resources to become one of the largest corporate holders of Bitcoin.
- SMLR has adopted a BTC treasury strategy, accumulating 3,192 BTC valued at $305 million.
- Despite recent struggles with bitcoin's price, SMLR shares have more than doubled since mid-2024.
- Semler labels Zoom as a "Zombie Zone" company, indicating a lack of growth potential.