What happened 

Shares of Zoom Video Communications (ZM -0.36%) were tumbling this morning after the company reported its second-quarter fiscal 2022 results late yesterday. While the popular video calling platform beat analysts' consensus revenue and earnings estimates, investors appear disappointed that customer growth is slowing. 

The tech stock had fallen by 15.6% as of 10:28 a.m. EDT. 

So what

Zoom reported revenue of $1.02 billion, up 54% from the year-ago quarter and beating analysts' consensus estimate of $991 million. Additionally, Zoom's adjusted earnings per share of $1.36 outpaced Wall Street's consensus estimate of $1.16 per share. 

People sitting in a conference room.

Image source: Zoom Video Communications.

"Today we are a global brand counting over half a million customers with more than 10 employees, which we believe positions us extremely well to support organizations and individuals as they look to reimagine work, communications, and collaboration," Zoom CEO Eric Yuan said in a press release.  

But despite the company beating analysts' top- and bottom-line estimates, investors were focused on the company's slowing customer growth. 

Zoom said its customers with more than 10 employees increased by 36% in the second quarter to 504,900. But that growth is much slower than the 458% increase in customers Zoom added in the second quarter of fiscal 2021.  

Investors may also be disappointed with the company's earnings outlook, which management said will be in the range between $1.07 to $1.08, which is slightly lower than analysts' consensus estimate of $1.09 per share.  

Now what 

Zoom's stock was a major pandemic play last year when schools went virtual, businesses weren't conducting in-person meetings, and people were spending nearly all of their time at home. 

But as some businesses and offices have opened back up and many schools have returned to in-person learning, some investors have sold off their Zoom shares. With today's share price drop, the company's stock is down 13.9% year to date. 

The fact is that Zoom's business is still growing, but with the company's share price trading at 77 times the company's forward earnings, some investors don't believe Zoom is growing fast enough to justify the company's premium pricing.