EFG International AG Makes New $699,000 Investment in Zscaler, Inc. $ZS

EFG International AG purchased a new stake in shares of Zscaler, Inc. (NASDAQ:ZS) in the second quarter, according to the company in its most recent filing with the SEC. The firm purchased 4,950 shares of the company’s stock, valued at approximately $699,000.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Binnacle Investments Inc bought a new position in Zscaler in the third quarter valued at $25,000. AlphaCentric Advisors LLC purchased a new position in shares of Zscaler in the 4th quarter worth about $29,000. University of Texas Texas AM Investment Management Co. purchased a new position in shares of Zscaler in the 4th quarter worth about $30,000. Mcguire Capital Advisors Inc. bought a new position in shares of Zscaler during the 4th quarter valued at about $32,000. Finally, Strive Financial Group LLC bought a new position in shares of Zscaler during the 4th quarter valued at about $39,000. Hedge funds and other institutional investors own 46.45% of the company’s stock.

Insider Activity

In related 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 sale, the chief executive officer directly owned 343,038 shares of the company’s stock, valued at approximately $43,370,294.34. This represents a 0.83% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Adam Geller sold 2,817 shares of Zscaler stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $122.60, for a total transaction of $345,364.20. Following the completion of the transaction, the insider directly owned 42,314 shares of the company’s stock, valued at $5,187,696.40. This trade represents a 6.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 16,772 shares of company stock worth $2,139,799. 17.20% of the stock is currently owned by company insiders.

Key Stories Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: A broad cybersecurity-sector re-rating lifted Zscaler and other previously underperforming security stocks. The First Trust NASDAQ Cybersecurity ETF also advanced strongly, suggesting investors are buying the group rather than focusing only on ZS. Cybersecurity sector re-rating
• Positive Sentiment: J.P. Morgan assigned Zscaler a “buy” or “overweight” view and raised its price target from $205 to $215. The higher target reinforces expectations for additional upside and was a direct bullish catalyst. J.P. Morgan upgrades Zscaler
• Positive Sentiment: Zscaler participated in Deep Cogito’s $43 million Series A financing. The investment provides exposure to a developer of self-improving AI models and supports Zscaler’s broader enterprise-AI positioning, although it is unlikely to materially affect near-term earnings. Deep Cogito financing
• Neutral Sentiment: Investors are awaiting Zscaler’s quarterly earnings announcement. The company previously exceeded consensus estimates for earnings and revenue, but the upcoming report must validate expectations for continued growth in cloud security and AI-related demand. Zscaler earnings announcement
• Negative Sentiment: Evercore placed Zscaler on its tactical “underperform” list ahead of results, indicating that valuation and elevated growth expectations could create downside risk if the earnings outlook disappoints. Evercore underperform view
• Negative Sentiment: CFO Kevin Rubin sold 503 shares worth approximately $87,210 under a pre-arranged Rule 10b5-1 plan. The sale reduced his holdings by about 1.2% and is a modest negative signal, though the planned nature and small size limit its significance. Zscaler CFO stock sale

Zscaler Price Performance

ZS stock opened at $187.30 on Friday. The firm has a 50 day moving average price of $155.00 and a 200-day moving average price of $150.13. Zscaler, Inc. has a 52-week low of $114.63 and a 52-week high of $336.99. The firm has a market capitalization of $30.29 billion, a price-to-earnings ratio of -390.20, a PEG ratio of 100.24 and a beta of 0.94. The company has a debt-to-equity ratio of 0.72, a quick ratio of 1.86 and a current ratio of 1.86.

Zscaler (NASDAQ:ZS) last posted 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. The company had revenue of $850.48 million for the quarter, compared to the consensus estimate of $835.14 million. Zscaler had a negative return on equity of 0.37% and a negative net margin of 2.44%.The firm’s quarterly revenue was up 25.4% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.84 EPS. Equities research analysts forecast that Zscaler, Inc. will post 0.13 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research firms have issued reports on ZS. Stephens restated an “overweight” rating and issued a $200.00 price objective on shares of Zscaler in a research report on Friday, June 12th. Cantor Fitzgerald reissued an “overweight” rating and issued a $225.00 target price on shares of Zscaler in a research note on Wednesday, August 19th. B. Riley Financial reduced their price target on Zscaler from $225.00 to $215.00 and set a “buy” rating on the stock in a report on Wednesday, May 27th. UBS Group lowered their price target on Zscaler from $260.00 to $225.00 and set a “buy” rating for the company in a research report on Wednesday, May 27th. Finally, Scotiabank dropped their price objective on Zscaler from $190.00 to $175.00 and set a “sector outperform” rating for the company in a report on Wednesday, May 27th. Thirty-four analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $216.18.

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.