Zscaler (NASDAQ:ZS) CFO Sells $213,160.98 in Stock

Zscaler, Inc. (NASDAQ:ZS) CFO Kevin Rubin sold 1,686 shares of Zscaler stock in a transaction on Tuesday, June 16th. The shares were sold at an average price of $126.43, for a total value of $213,160.98. Following the completion of the transaction, the chief financial officer owned 44,901 shares of the company’s stock, valued at approximately $5,676,833.43. This trade represents a 3.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Zscaler Stock Down 2.2%

NASDAQ ZS traded down $2.85 during trading on Wednesday, reaching $124.38. 3,115,502 shares of the company’s stock were exchanged, compared to its average volume of 7,138,735. The stock has a market cap of $20.11 billion, a P/E ratio of -259.12, a price-to-earnings-growth ratio of 79.55 and a beta of 0.97. The company has a debt-to-equity ratio of 0.72, a quick ratio of 1.86 and a current ratio of 1.86. The company has a 50 day moving average price of $141.85 and a two-hundred day moving average price of $174.22. Zscaler, Inc. has a 1 year low of $114.63 and a 1 year high of $336.99.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.01 by $0.07. Zscaler had a negative return on equity of 0.37% and a negative net margin of 2.44%.The company had revenue of $850.48 million during the quarter, compared to the consensus estimate of $835.14 million. During the same period in the previous year, the business earned $0.84 EPS. Zscaler’s revenue for the quarter was up 25.4% on a year-over-year basis. Zscaler has set its Q4 2026 guidance at 1.080-1.090 EPS and its FY 2026 guidance at 4.100-4.110 EPS. On average, equities research analysts anticipate that Zscaler, Inc. will post 0.11 EPS for the current fiscal year.

Institutional Investors Weigh In On Zscaler

Several institutional investors have recently modified their holdings of the company. Groupama Asset Managment lifted its stake in Zscaler by 76,352.6% in the 3rd quarter. Groupama Asset Managment now owns 4,750,000 shares of the company’s stock valued at $1,423,385,000 after buying an additional 4,743,787 shares in the last quarter. First Trust Advisors LP lifted its stake in Zscaler by 36.2% in the 1st quarter. First Trust Advisors LP now owns 3,518,678 shares of the company’s stock valued at $493,635,000 after buying an additional 935,781 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its stake in Zscaler by 43.3% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,572,358 shares of the company’s stock valued at $578,576,000 after buying an additional 777,414 shares in the last quarter. AQR Capital Management LLC lifted its stake in Zscaler by 61.8% in the 3rd quarter. AQR Capital Management LLC now owns 1,941,571 shares of the company’s stock valued at $576,083,000 after buying an additional 741,756 shares in the last quarter. Finally, Pictet Asset Management Holding SA lifted its stake in Zscaler by 52.5% in the 1st quarter. Pictet Asset Management Holding SA now owns 1,920,540 shares of the company’s stock valued at $269,285,000 after buying an additional 661,413 shares in the last quarter. Hedge funds and other institutional investors own 46.45% of the company’s stock.

Key Headlines Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Robert W. Baird reiterated a Buy rating on Zscaler and set a $230 price target, implying substantial upside from current levels. Short Sellers May Regret Shorting ZScaler (ZS) As One Analyst Points To 79% Upside
• Positive Sentiment: Zscaler said it expanded Project AI-Guardian with major technology alliance partners, a move that supports its product ecosystem and could help long-term growth. Zscaler (ZS) Adds Major Tech Partners to Project AI-Guardian
• Neutral Sentiment: Jim Cramer said SaaS names like Zscaler have fallen out of favor on Wall Street, which highlights weak sentiment toward the sector but does not change fundamentals directly. Jim Cramer Says SaaS Companies Like Zscaler “Have Fallen Viciously Out of Favor on Wall Street”
• Negative Sentiment: The Schall Law Firm and Pomerantz LLP both announced investigations into Zscaler over possible securities-law violations, adding legal overhang for the stock. ZS Investors Have Opportunity to Join Zscaler, Inc. Fraud Investigation with the Schall Law Firm
• Negative Sentiment: Several executives and directors, including the CEO, CFO, and other insiders, disclosed stock sales. While most were tied to tax withholding or pre-arranged plans, multiple sales in one day can still weigh on investor sentiment. SEC filing for CEO sale

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on ZS. Citizens Jmp dropped their price target on Zscaler from $290.00 to $210.00 and set a “market outperform” rating on the stock in a research report on Friday, May 1st. Citigroup restated a “market outperform” rating on shares of Zscaler in a research report on Wednesday, May 27th. Zacks Research upgraded Zscaler from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 27th. UBS Group dropped their price target on Zscaler from $260.00 to $225.00 and set a “buy” rating on the stock in a research report on Wednesday, May 27th. Finally, JPMorgan Chase & Co. dropped their price target on Zscaler from $250.00 to $205.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 27th. Thirty-four investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $214.33.

About Zscaler

Zscaler is a cloud security company that delivers a cloud-native platform to protect users, applications and data as organizations move away from traditional, network-centric security architectures. The company focuses on a zero trust approach that assumes no implicit trust for users or devices, providing secure access to the internet, SaaS applications and private applications regardless of where users are located. Zscaler positions its services as an alternative to legacy appliances and site-centric VPNs, aiming to simplify security while enabling modern, distributed workforces.

Key offerings are built around the Zscaler Zero Trust Exchange, a multi-tenant cloud platform that enforces security and access policies in-line.