Stifel Nicolaus Raises Zscaler (NASDAQ:ZS) Price Target to $200.00

Zscaler (NASDAQ:ZS) had its price objective raised by investment analysts at Stifel Nicolaus from $175.00 to $200.00 in a research note issued to investors on Wednesday,Benzinga reports. The firm currently has a “buy” rating on the stock. Stifel Nicolaus’ price target would indicate a potential upside of 7.49% from the company’s current price.

A number of other brokerages also recently issued reports on ZS. Rosenblatt Securities reaffirmed a “buy” rating and set a $200.00 target price on shares of Zscaler in a research report on Wednesday, June 10th. Guggenheim reissued a “buy” rating and issued a $214.00 price target on shares of Zscaler in a report on Wednesday, June 10th. Wolfe Research restated an “outperform” rating and set a $150.00 price target on shares of Zscaler in a research report on Thursday, June 11th. Truist Financial set a $210.00 price objective on shares of Zscaler in a report on Wednesday, May 27th. Finally, Mizuho lowered their price objective on shares of Zscaler from $210.00 to $185.00 and set an “outperform” rating on the stock in a research report on Wednesday, May 27th. Thirty-four equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $214.08.

Zscaler Stock Up 0.2%

Zscaler stock traded up $0.36 during trading on Wednesday, hitting $186.06. 608,772 shares of the company were exchanged, compared to its average volume of 3,380,536. The company has a current ratio of 1.86, a quick ratio of 1.86 and a debt-to-equity ratio of 0.72. The business’s 50 day moving average is $147.88 and its 200 day moving average is $150.61. Zscaler has a 52 week low of $114.63 and a 52 week high of $336.99. The company has a market capitalization of $30.09 billion, a P/E ratio of -386.94, a PEG ratio of 66.08 and a beta of 0.94.

Zscaler (NASDAQ:ZS) last released its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 earnings per share for the quarter, topping the consensus estimate of $1.01 by $0.07. Zscaler had a negative net margin of 2.44% and a negative return on equity of 0.37%. The business had revenue of $850.48 million for the quarter, compared to analysts’ expectations of $835.14 million. During the same period in the previous year, the company earned $0.84 earnings per share. The firm’s revenue for the quarter was up 25.4% compared to the same quarter last year. Zscaler has set its Q4 2026 guidance at 1.080-1.090 EPS and its FY 2026 guidance at 4.100-4.110 EPS. Analysts predict that Zscaler will post 0.12 earnings per share for the current year.

Insider Transactions at Zscaler

In other Zscaler news, CEO Jagtar Singh Chaudhry sold 2,878 shares of the stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $126.43, for a total transaction of $363,865.54. Following the completion of the transaction, the chief executive officer owned 343,038 shares in the company, valued at $43,370,294.34. This trade represents a 0.83% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Robert Schlossman sold 3,146 shares of Zscaler stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $126.43, for a total transaction of $397,748.78. Following the completion of the transaction, the insider owned 69,366 shares of the company’s stock, valued at $8,769,943.38. The trade was a 4.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders sold 16,269 shares of company stock worth $2,052,589. Insiders own 17.20% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. Kentucky Retirement Systems Insurance Trust Fund boosted its stake in shares of Zscaler by 1.4% during the third quarter. Kentucky Retirement Systems Insurance Trust Fund now owns 2,569 shares of the company’s stock valued at $770,000 after acquiring an additional 36 shares during the last quarter. Parallel Advisors LLC grew its holdings in Zscaler by 10.9% in the third quarter. Parallel Advisors LLC now owns 397 shares of the company’s stock valued at $119,000 after purchasing an additional 39 shares during the period. Smartleaf Asset Management LLC increased its holdings in shares of Zscaler by 7.5% during the 2nd quarter. Smartleaf Asset Management LLC now owns 648 shares of the company’s stock worth $204,000 after buying an additional 45 shares during the last quarter. Yousif Capital Management LLC increased its stake in Zscaler by 3.8% during the fourth quarter. Yousif Capital Management LLC now owns 1,326 shares of the company’s stock worth $274,000 after acquiring an additional 48 shares during the last quarter. Finally, Larson Financial Group LLC lifted its stake in shares of Zscaler by 2.6% in the 3rd quarter. Larson Financial Group LLC now owns 2,040 shares of the company’s stock valued at $611,000 after purchasing an additional 52 shares in the last quarter. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Cantor Fitzgerald reaffirmed its “Overweight” rating and set a $225 price target, implying roughly 22.5% upside from the referenced price. The firm cited potential synergies from Zscaler’s Red Canary acquisition, providing a near-term bullish catalyst. Cantor Fitzgerald rating article
• Positive Sentiment: Zscaler expanded its partnership with Carahsoft to distribute the Zscaler Zero Trust Exchange to U.S. small and midsize businesses and mid-market customers. The agreement could broaden Zscaler’s sales reach and create additional growth opportunities beyond large enterprises. Zscaler and Carahsoft partnership article
• Neutral Sentiment: Several Wall Street-focused reports noted that Zscaler carries a consensus-equivalent Buy recommendation. However, the coverage also cautioned that bullish analyst ratings can be overly optimistic and should not be viewed as a standalone investment signal. Zacks analyst ratings article
• Negative Sentiment: A comparison with Okta argued that Okta currently offers steadier growth and a lower valuation, potentially making it more attractive to investors seeking value in cybersecurity. Zscaler’s premium valuation may limit upside unless growth and profitability continue to improve. Zscaler versus Okta comparison

Zscaler Company Profile

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.