Zscaler (NASDAQ:ZS) Stock Rating Upgraded by DA Davidson

by · The Markets Daily

Zscaler (NASDAQ:ZS – Get Free Report) was upgraded by equities research analysts at DA Davidson to a “hold” rating in a research report issued on Wednesday, Zacks reports.

Other equities research analysts have also issued reports about the company. BMO Capital Markets increased their price target on Zscaler from $178.00 to $200.00 and gave the stock an “outperform” rating in a research report on Friday, September 4th. Sanford C. Bernstein raised their price target on Zscaler from $224.00 to $298.00 and gave the company an “outperform” rating in a report on Thursday, September 17th. JPMorgan Chase & Co. lifted their price objective on Zscaler from $215.00 to $245.00 and gave the company an “overweight” rating in a research report on Wednesday, October 7th. Stifel Nicolaus lifted their price objective on Zscaler from $200.00 to $235.00 and gave the company a “buy” rating in a research report on Wednesday, October 7th. Finally, Rosenblatt Securities set a $250.00 price objective on Zscaler in a research note on Wednesday, October 7th. Thirty-six equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $239.44.

Check Out Our Latest Analysis on ZS

Zscaler Trading Up 7.8%

Shares of ZS stock opened at $231.33 on Wednesday. The company has a market capitalization of $37.72 billion, a P/E ratio of -593.15, a P/E/G ratio of 20.61 and a beta of 0.94. Zscaler has a 12-month low of $114.63 and a 12-month high of $336.99. The company has a quick ratio of 1.70, a current ratio of 1.70 and a debt-to-equity ratio of 0.65. The firm has a 50-day moving average price of $194.52 and a 200 day moving average price of $161.88.

Zscaler (NASDAQ:ZS – Get Free Report) last issued its quarterly earnings data on Thursday, September 3rd. The company reported $1.19 earnings per share for the quarter, topping the consensus estimate of $1.09 by $0.10. The firm had revenue of $898.19 million for the quarter, compared to analysts’ expectations of $876.96 million. Zscaler had a negative net margin of 1.88% and a positive return on equity of 1.23%. The company’s quarterly revenue was up 24.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.89 earnings per share. Zscaler has set its FY 2027 guidance at 4.860-4.900 EPS and its Q1 2027 guidance at 1.150-1.160 EPS. Research analysts forecast that Zscaler will post 0.69 earnings per share for the current fiscal year.

Insider Activity at Zscaler

In other news, insider Adam Geller sold 1,042 shares of the stock in a transaction that occurred on Monday, October 12th. The shares were sold at an average price of $235.95, for a total transaction of $245,859.90. Following the sale, the insider directly owned 38,308 shares of the company’s stock, valued at $9,038,772.60. This represents a 2.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Kevin Rubin sold 519 shares of the business’s stock in a transaction that occurred on Friday, September 25th. The stock was sold at an average price of $197.28, for a total transaction of $102,388.32. Following the completion of the transaction, the chief financial officer owned 42,768 shares of the company’s stock, valued at $8,437,271.04. This trade represents a 1.20% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 54,053 shares of company stock valued at $11,256,876 over the last three months. 17.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Zscaler

Hedge funds and other institutional investors have recently made changes to their positions in the company. Quintet Private Bank Europe S.A. raised its position in shares of Zscaler by 4.5% during the third quarter. Quintet Private Bank Europe S.A. now owns 1,170 shares of the company’s stock worth $233,000 after acquiring an additional 50 shares during the last quarter. Triumph Capital Management lifted its stake in shares of Zscaler by 6.3% during the third quarter. Triumph Capital Management now owns 923 shares of the company’s stock valued at $184,000 after acquiring an additional 55 shares during the period. NFSG Corp lifted its stake in shares of Zscaler by 2.6% during the third quarter. NFSG Corp now owns 2,437 shares of the company’s stock valued at $486,000 after acquiring an additional 62 shares during the period. Parkside Financial Bank & Trust boosted its holdings in Zscaler by 18.8% in the second quarter. Parkside Financial Bank & Trust now owns 417 shares of the company’s stock valued at $59,000 after acquiring an additional 66 shares during the last quarter. Finally, Elevation Wealth Partners LLC boosted its holdings in Zscaler by 84.3% in the third quarter. Elevation Wealth Partners LLC now owns 153 shares of the company’s stock valued at $31,000 after acquiring an additional 70 shares during the last quarter. 46.45% of the stock is owned by institutional investors and hedge funds.

About Zscaler

(Get Free Report)

Zscaler, Inc is a cloud-based cybersecurity company that helps organizations secure access to applications, websites, data and other digital resources. Its platform is designed around a zero-trust security model, which verifies users and devices and enforces security policies before granting access, rather than relying primarily on a traditional corporate network perimeter.

The company’s offerings include Zscaler Internet Access, which provides secure access to internet and software-as-a-service applications, and Zscaler Private Access, which enables secure access to private applications without extending an organization’s network to users.

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