Adam Geller Sells 1,940 Shares of Zscaler (NASDAQ:ZS) Stock

Zscaler, Inc. (NASDAQ:ZS) insider Adam Geller sold 1,940 shares of the firm’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $126.43, for a total value of $245,274.20. Following the completion of the sale, the insider directly owned 45,131 shares in the company, valued at $5,705,912.33. This trade represents a 4.12% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Zscaler Price Performance

NASDAQ:ZS traded down $2.85 during trading hours on Wednesday, hitting $124.38. The company’s stock had a trading volume of 3,115,502 shares, compared to its average volume of 7,138,735. The stock has a fifty day simple moving average of $141.85 and a 200-day simple moving average of $174.22. The company has a market capitalization of $20.11 billion, a P/E ratio of -259.12, a PEG ratio of 79.55 and a beta of 0.97. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.86 and a quick ratio of 1.86. Zscaler, Inc. has a twelve month low of $114.63 and a twelve month high of $336.99.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 EPS for the quarter, beating 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 firm had revenue of $850.48 million for the quarter, compared to analyst estimates of $835.14 million. During the same period last year, the firm posted $0.84 earnings per share. The business’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, analysts anticipate that Zscaler, Inc. will post 0.11 EPS for the current fiscal year.

Hedge Funds Weigh In On Zscaler

A number of hedge funds have recently made changes to their positions in ZS. Binnacle Investments Inc bought a new position in shares of Zscaler during the third quarter worth about $25,000. AlphaCentric Advisors LLC bought a new position in shares of Zscaler during the fourth quarter worth about $29,000. Picton Mahoney Asset Management bought a new position in shares of Zscaler during the third quarter worth about $30,000. University of Texas Texas AM Investment Management Co. bought a new position in shares of Zscaler during the fourth quarter worth about $30,000. Finally, Mcguire Capital Advisors Inc. bought a new position in shares of Zscaler during the fourth quarter worth about $32,000. 46.45% of the stock is currently owned by institutional investors.

Key Stories 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

Analysts Set New Price Targets

A number of analysts have recently commented on the company. Wells Fargo & Company cut their price target on Zscaler from $210.00 to $180.00 and set an “overweight” rating on the stock in a research note on Thursday, May 28th. Barclays cut their price target on Zscaler from $180.00 to $170.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 27th. Robert W. Baird cut their price target on Zscaler from $265.00 to $230.00 and set an “outperform” rating on the stock in a research note on Wednesday, May 27th. Guggenheim reissued a “buy” rating and set a $214.00 price target on shares of Zscaler in a research note on Wednesday, June 10th. Finally, TD Cowen reissued a “buy” rating on shares of Zscaler in a research note on Wednesday, May 27th. Thirty-four 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’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average 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.