Zscaler, Inc. (NASDAQ:ZS) Receives Average Rating of “Moderate Buy” from Brokerages

Zscaler, Inc. (NASDAQ:ZS) has been given a consensus rating of “Moderate Buy” by the thirty-eight research firms that are currently covering the stock, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, seven have assigned a hold rating, twenty-nine have assigned a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokerages that have issued ratings on the stock in the last year is $307.00.

A number of equities analysts have weighed in on ZS shares. Rosenblatt Securities upped their price target on shares of Zscaler from $315.00 to $330.00 and gave the stock a “buy” rating in a research report on Wednesday, September 3rd. JMP Securities reiterated a “market outperform” rating and issued a $355.00 price target on shares of Zscaler in a research report on Wednesday, September 3rd. Scotiabank dropped their price target on shares of Zscaler from $360.00 to $334.00 and set a “sector outperform” rating for the company in a research report on Wednesday, September 3rd. Needham & Company LLC reiterated a “buy” rating and issued a $350.00 price target on shares of Zscaler in a research report on Wednesday, September 3rd. Finally, Piper Sandler upped their price target on shares of Zscaler from $260.00 to $280.00 and gave the stock a “neutral” rating in a research report on Wednesday, September 3rd.

Insider Activity at Zscaler

In related news, insider Robert Schlossman sold 3,832 shares of the firm’s stock in a transaction on Tuesday, September 16th. The shares were sold at an average price of $280.70, for a total transaction of $1,075,642.40. Following the completion of the transaction, the insider directly owned 83,138 shares of the company’s stock, valued at approximately $23,336,836.60. This trade represents a 4.41% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Adam Geller sold 11,193 shares of the firm’s stock in a transaction on Tuesday, September 16th. The shares were sold at an average price of $280.70, for a total transaction of $3,141,875.10. Following the transaction, the insider directly owned 53,942 shares of the company’s stock, valued at $15,141,519.40. The trade was a 17.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 32,878 shares of company stock valued at $9,266,002. Insiders own 18.10% of the company’s stock.

Hedge Funds Weigh In On Zscaler

Several institutional investors have recently bought and sold shares of the stock. Corient Private Wealth LLC grew its stake in Zscaler by 2.2% during the second quarter. Corient Private Wealth LLC now owns 31,715 shares of the company’s stock valued at $9,955,000 after acquiring an additional 672 shares in the last quarter. CacheTech Inc. purchased a new position in shares of Zscaler in the 2nd quarter worth $235,000. Adams Wealth Management purchased a new position in shares of Zscaler in the 2nd quarter worth $235,000. Caldwell Trust Co purchased a new position in shares of Zscaler in the 2nd quarter worth $63,000. Finally, Valeo Financial Advisors LLC purchased a new position in shares of Zscaler in the 2nd quarter worth $217,000. 46.45% of the stock is owned by hedge funds and other institutional investors.

Zscaler Stock Performance

ZS opened at $296.90 on Thursday. The firm has a market cap of $47.00 billion, a P/E ratio of -1,099.63 and a beta of 1.05. Zscaler has a 1-year low of $164.78 and a 1-year high of $318.46. The company has a 50 day simple moving average of $280.63 and a two-hundred day simple moving average of $261.56. The company has a debt-to-equity ratio of 0.95, a current ratio of 2.01 and a quick ratio of 2.01.

Zscaler (NASDAQ:ZS) last posted its quarterly earnings results on Tuesday, September 2nd. The company reported $0.89 earnings per share for the quarter, topping analysts’ consensus estimates of $0.80 by $0.09. The business had revenue of $719.23 million during the quarter, compared to analyst estimates of $707.15 million. Zscaler had a negative net margin of 1.55% and a negative return on equity of 0.47%. The company’s revenue was up 21.3% on a year-over-year basis. During the same period in the prior year, the business posted $0.88 earnings per share. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS. Equities analysts forecast that Zscaler will post -0.1 earnings per share for the current fiscal year.

About Zscaler

Zscaler, Inc operates as a cloud security company worldwide. The company offers Zscaler Internet Access solution that provides users, workloads, IoT, and OT devices secure access to externally managed applications, including software-as-a-service (SaaS) applications and internet destinations; and Zscaler Private Access solution, which is designed to provide access to managed applications hosted internally in data centers, and private or public clouds.