Who Is Buying Zoom? Hedge Fund Activity in 2026

Zoom Video Communications, the company that became synonymous with remote work during the pandemic era, continues to evolve its identity in 2026. Once a $160+ stock riding the wave of work-from-home, Zoom has reinvented itself as an AI-first communications platform, pushing hard into Zoom AI Companion, contact center solutions, and enterprise collaboration tools. But the transition from pandemic darling to sustainable enterprise platform has been anything but smooth, and the institutional positioning data tells a powerful story.

The latest 13F filings reveal a sharply divided hedge fund landscape: 5 funds are buying while 8 are selling, with 3 holding steady. But one name on the buy side towers above everything else — and it's making one of the most concentrated bets in recent 13F history.

Zoom Institutional Snapshot

A 5-to-8 buy-sell ratio leans bearish on the surface. But the dollar-weighted picture tells a completely different story, dominated by one extraordinary position that dwarfs all selling activity combined.

Who's Buying Zoom?

The buyer list is led by a position so large it demands its own paragraph:

Appaloosa Management holds a staggering $1 billion position in Zoom and increased it during the quarter. This is David Tepper at his most convicted. Appaloosa is famous for making bold, concentrated contrarian bets — buying Bank of America during the financial crisis, loading up on beaten-down airlines, taking massive positions when others flee. A $1 billion position in Zoom is a statement that Tepper believes the market has fundamentally mispriced this company. At Appaloosa's portfolio size, this represents an enormous concentration that signals maximum conviction. Tepper's thesis likely centers on Zoom's cash generation ($1.5B+ annual free cash flow), the AI transformation potential, and a valuation that remains compressed despite the company's improving fundamentals.

Vanguard holds $2.2 billion and increased its position. The world's largest passive manager continuing to accumulate Zoom reflects the stock's weight in major indices and ongoing inflows into growth-oriented index products.

Fidelity increased to $971.4 million. Fidelity's active managers adding nearly $1 billion in Zoom exposure suggests their technology research team sees the AI pivot as credible and the valuation as attractive relative to the company's cash flow profile.

State Street holds $624.5 million and increased. Combined with Vanguard, the passive giants are providing strong institutional support for ZM shares.

Canyon Capital holds $96.2 million and increased. Canyon, traditionally known as a credit-focused fund, taking a meaningful position in Zoom suggests they see value characteristics — strong balance sheet, robust cash flows, low leverage — that appeal to their value-oriented methodology.

Who's Selling Zoom?

The selling side features a broad array of quantitative and multi-strategy funds reducing exposure:

Renaissance Technologies decreased to $253.5 million. Jim Simons's legendary quant fund trimming Zoom suggests their models see less favorable technical or fundamental signals in the near term. Renaissance's Medallion Fund is the most successful quant fund in history, so any position change carries weight.

T. Rowe Price reduced to $96.8 million. As a growth-focused active manager, T. Rowe's reduction signals that their technology analysts see slower growth ahead or better opportunities elsewhere in the communications sector.

Baker Bros Advisors decreased to $69.8 million. Baker Bros trimming from Zoom is notable — this healthcare-focused fund's tech positions tend to be tactical, and they appear to be reallocating capital.

Citadel reduced to $51.8 million. Ken Griffin's multi-strategy platform trimming exposure suggests unfavorable risk-reward from their quantitative models.

Two Sigma decreased to $49.3 million. The quant giant reducing its Zoom position stands in interesting contrast to Appaloosa's massive increase — a clear divergence between systematic and fundamental approaches.

Millennium Management reduced to $47.2 million. Israel Englander's fund trimming suggests their multi-pod structure found better risk-adjusted opportunities.

D.E. Shaw decreased to $21.2 million. Another quant fund reducing exposure, reinforcing the systematic selling signal.

Bridgewater Associates reduced to $9.6 million. Ray Dalio's fund maintaining only a small position signals minimal conviction in Zoom's macro setup.

Notable Moves & What They Signal

The Zoom 13F data presents one of the most interesting divergences we've seen across our entire coverage universe:

1. Appaloosa's $1B bet is extraordinary: David Tepper is not a passive investor. When he puts $1 billion into a single name and increases the position, he's making a statement that the market is wrong. His track record of buying into fear — and being spectacularly right — makes this position impossible to ignore. The sheer dollar amount means Appaloosa is effectively betting the firm's performance on Zoom's rerating.

2. Quant funds are unanimously selling: Renaissance, Two Sigma, D.E. Shaw, Millennium, and Citadel are all reducing. When five of the world's best quantitative funds agree on a direction, their models are seeing something systematic — perhaps decelerating revenue momentum, unfavorable options pricing, or deteriorating technical patterns.

3. Passive giants are buying: Vanguard, Fidelity, and State Street all increased. This creates a floor under the stock and ensures institutional ownership remains deep and liquid.

4. The Tepper vs. quants divergence: This is fundamentally a bet between David Tepper's contrarian macro thesis and quantitative signals. Tepper is betting on a multi-quarter rerating as the AI strategy gains traction; the quants are trading nearer-term momentum and factor signals.

What This Means for Individual Investors

Zoom in 2026 is a tale of two timelines — near-term momentum versus long-term transformation:

Bull case: Appaloosa's $1B position is the single strongest bullish signal in our entire coverage universe. Zoom generates massive free cash flow ($1.5B+), has a fortress balance sheet with $7B+ in cash, is aggressively deploying AI across its product suite, and trades at a fraction of its pandemic-era valuation. If the AI Companion features drive enterprise upselling and the contact center business scales, Zoom could rerate dramatically. Tepper is betting this happens.

Bear case: Revenue growth has structurally slowed from pandemic peaks. Microsoft Teams remains the dominant enterprise competitor, Google Meet is free, and Zoom's TAM expansion into contact center and email is unproven at scale. The quant funds selling suggest the near-term price action may remain challenging, and technical momentum favors the downside.

The bottom line: The 5-to-8 buy-sell ratio is bearish, but the dollar-weighted picture is overwhelmingly bullish thanks to Appaloosa's enormous conviction. This is a stock where you're essentially choosing sides: Do you trust David Tepper's contrarian instinct and long time horizon, or the quant funds' systematic near-term signals? History suggests that when Tepper makes bets this large, he's usually right — but the timing can take quarters to play out.

Track Zoom & Other Hedge Fund Moves

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FAQ

Which hedge fund holds the largest Zoom position in 2026?

According to the latest 13F filings tracked in this report, Appaloosa Management holds the most striking concentrated position — roughly $1 billion in Zoom — and increased it during the quarter. Vanguard holds a larger dollar value ($2.2B) as a passive index manager, but Appaloosa's stake is the most actively conviction-driven bet on the buy side.

Why is the Zoom buy-sell ratio bearish while the dollar-weighted picture looks bullish?

The 13F filings show 5 funds buying versus 8 selling, which leans bearish on a headcount basis. However, the single $1B Appaloosa increase plus accumulation from Vanguard, Fidelity, and State Street creates a dollar-weighted picture skewed toward buying. Counting funds and counting dollars can tell opposite stories.

What does Zoom's transition from pandemic darling to AI-first platform mean for investors?

Zoom is investing heavily in Zoom AI Companion, contact center, and enterprise collaboration to expand beyond the legacy video meetings business. The article describes this as a multi-quarter transformation: the bull thesis assumes AI features drive enterprise upselling, while the bear case highlights structurally slower growth and intense competition from Microsoft Teams and Google Meet.

Why are quantitative hedge funds selling Zoom while fundamental funds are buying?

Renaissance Technologies, Two Sigma, D.E. Shaw, Millennium, and Citadel all reduced their Zoom positions, suggesting their systematic models flag deteriorating near-term momentum or unfavorable factor signals. Fundamental contrarian managers like Appaloosa instead focus on cash flow ($1.5B+ FCF), balance sheet strength, and a compressed valuation. The divergence reflects different time horizons more than disagreement on the company.

How should retail investors interpret 13F data on Zoom?

13F filings are reported with a delay and only show long equity positions, so they are an informational signal rather than a real-time trading guide. They are most useful for understanding which institutional investors have conviction in a name and how positioning is shifting across the cycle. Always combine 13F data with your own research on fundamentals, valuation, and risk tolerance.