Shares of Zoom Video Communications (ZM) - Get Report climbed 2.2% to $80.57 Monday after an analyst at Baird initiated coverage of the video-first communications platform company with an outperform rating and stock price target of $100 a share.

Analyst William Power said in a note to investors that the San Jose-based company has in "just a few short years, ZM has revolutionized the video conferencing marketing, driving (year-over-year) revenue growth of 95.7% in FQ2, along with strong profitability, the combination of which sets it apart from most other high-growth (Software as a Service) names."

"Zoom literally zoomed out of the gate, pricing its IPO at $36 on April 18, with the first trade at $65," Power said. "It reached a high of $102.39 on June 19, and declined more recently in conjunction with the broader high-multiple sell-off."

Earlier this month, the company reported a 96% jump in second-quarter revenue to $145.8 million and non-GAAP earnings of 8 cents a share. Analysts were expecting the company to report revenue of $130.31 million and earnings of 1 cent share.

"We forecast revenue growing 78.% in F2020 and 40.3% in F2021, vs. the 118.2% generated in F2019. With estimates likely conservative, ZM should be among the fastest growing SaaS providers," Power wrote.

Power said Zoom's "cloud-based, easy to use offering has been a key differentiator."

"Zoom possesses at least four key advantages from its network architecture, including a cloud-native, video first platform, multi-media routers, separate routing/ optimization and video content processing, and its globally distributed infrastructure with load balancers and optimization algorithms," Power wrote.

While Zoom Phone is entering a competitive market with an initially limited feature set, Power said "voice could provide a significant source of upside in the future, particularly given its increasing cross-sell opportunities."