Zscaler (NASDAQ:ZS) Rating Lowered to Hold at Wall Street Zen

Zscaler (NASDAQ:ZS) was downgraded by stock analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued on Saturday.

Several other research firms have also commented on ZS. Piper Sandler raised their price objective on Zscaler from $260.00 to $280.00 and gave the company a “neutral” rating in a research report on Wednesday, September 3rd. BTIG Research reissued a “buy” rating on shares of Zscaler in a research report on Thursday, July 10th. Royal Bank Of Canada raised their price objective on Zscaler from $335.00 to $350.00 and gave the company an “outperform” rating in a research report on Thursday, October 2nd. KeyCorp raised their price objective on Zscaler from $345.00 to $350.00 and gave the company an “overweight” rating in a research report on Wednesday, September 3rd. Finally, Wedbush reaffirmed an “outperform” rating and set a $330.00 target price on shares of Zscaler in a research report on Wednesday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $307.43.

Zscaler Trading Up 0.3%

NASDAQ:ZS opened at $300.25 on Friday. The business’s 50-day moving average is $286.62 and its two-hundred day moving average is $271.36. The company has a debt-to-equity ratio of 0.95, a current ratio of 2.01 and a quick ratio of 2.01. Zscaler has a 12 month low of $164.78 and a 12 month high of $319.89. The firm has a market capitalization of $47.53 billion, a PE ratio of -1,112.04 and a beta of 1.06.

Zscaler (NASDAQ:ZS) last released its quarterly earnings data on Tuesday, September 2nd. The company reported $0.89 EPS for the quarter, beating the consensus estimate of $0.80 by $0.09. Zscaler had a negative return on equity of 0.47% and a negative net margin of 1.55%.The company had revenue of $719.23 million for the quarter, compared to analyst estimates of $707.15 million. During the same period last year, the company posted $0.88 earnings per share. The firm’s revenue was up 21.3% compared to the same quarter last year. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS. Research analysts predict that Zscaler will post -0.1 earnings per share for the current fiscal year.

Insider Transactions at Zscaler

In related news, insider Adam Geller sold 10,464 shares of the business’s stock in a transaction dated Wednesday, September 17th. The stock was sold at an average price of $284.25, for a total value of $2,974,392.00. Following the completion of the sale, the insider directly owned 43,478 shares of the company’s stock, valued at $12,358,621.50. The trade was a 19.40% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Robert Schlossman sold 7,006 shares of the business’s stock in a transaction dated Thursday, October 2nd. The shares were sold at an average price of $305.57, for a total value of $2,140,823.42. Following the completion of the sale, the insider directly owned 76,132 shares of the company’s stock, valued at approximately $23,263,655.24. This represents a 8.43% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 39,884 shares of company stock valued at $11,406,825 in the last three months. Corporate insiders own 18.10% of the company’s stock.

Hedge Funds Weigh In On Zscaler

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Quaker Wealth Management LLC boosted its stake in Zscaler by 200.0% in the second quarter. Quaker Wealth Management LLC now owns 97 shares of the company’s stock valued at $30,000 after acquiring an additional 194 shares during the period. Exane Asset Management boosted its stake in Zscaler by 185.7% in the second quarter. Exane Asset Management now owns 100 shares of the company’s stock valued at $31,000 after acquiring an additional 65 shares during the period. Kozak & Associates Inc. acquired a new position in Zscaler in the second quarter valued at approximately $35,000. ORG Partners LLC boosted its stake in Zscaler by 284.8% in the first quarter. ORG Partners LLC now owns 127 shares of the company’s stock valued at $26,000 after acquiring an additional 94 shares during the period. Finally, SVB Wealth LLC acquired a new position in Zscaler in the first quarter valued at approximately $26,000. 46.45% of the stock is currently owned by institutional investors and hedge funds.

Zscaler Company Profile

Zscaler, Inc operates as a cloud security company worldwide. The company offers Zscaler Internet Access solution that provides users, workloads, IoT, and OT devices secure access to externally managed applications, including software-as-a-service (SaaS) applications and internet destinations; and Zscaler Private Access solution, which is designed to provide access to managed applications hosted internally in data centers, and private or public clouds.