Zscaler (NASDAQ:ZS) Stock Rating Upgraded by Capital One Financial

Zscaler (NASDAQ:ZS) was upgraded by Capital One Financial from an “equal weight” rating to an “overweight” rating in a research report issued on Tuesday, MarketBeat.com reports. The brokerage presently has a $320.00 target price on the stock. Capital One Financial‘s target price indicates a potential upside of 27.00% from the stock’s current price.

A number of other research analysts have also weighed in on the company. Guggenheim reissued a “neutral” rating on shares of Zscaler in a report on Wednesday, September 3rd. Piper Sandler increased their price target on shares of Zscaler from $260.00 to $280.00 and gave the stock a “neutral” rating in a report on Wednesday, September 3rd. JMP Securities reissued a “market outperform” rating and set a $355.00 price target on shares of Zscaler in a research report on Wednesday, September 3rd. Bank of America decreased their price objective on shares of Zscaler from $355.00 to $335.00 and set a “buy” rating for the company in a research note on Wednesday. Finally, Susquehanna increased their price objective on shares of Zscaler from $320.00 to $340.00 and gave the stock a “positive” rating in a research note on Wednesday, September 3rd. Two analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $316.82.

Zscaler Stock Performance

Shares of ZS opened at $251.97 on Tuesday. The company has a current ratio of 2.01, a quick ratio of 2.01 and a debt-to-equity ratio of 0.95. The firm has a market cap of $40.18 billion, a PE ratio of -969.08 and a beta of 1.06. Zscaler has a 12 month low of $164.78 and a 12 month high of $336.99. The stock has a fifty day moving average price of $305.27 and a 200-day moving average price of $291.21.

Zscaler (NASDAQ:ZS) last announced its earnings results on Tuesday, November 25th. The company reported $0.96 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.11. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.The firm had revenue of $788.11 million for the quarter, compared to the consensus estimate of $773.86 million. During the same period in the previous year, the business earned $0.77 EPS. The firm’s revenue for the quarter was up 25.5% on a year-over-year basis. Zscaler has set its FY 2026 guidance at 3.780-3.820 EPS. Q2 2026 guidance at 0.890-0.900 EPS. Equities research analysts predict that Zscaler will post -0.1 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Jagtar Singh Chaudhry sold 2,865 shares of the stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $280.70, for a total transaction of $804,205.50. Following the transaction, the chief executive officer owned 350,700 shares in the company, valued at $98,441,490. This trade represents a 0.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Robert Schlossman sold 7,006 shares of the stock in a transaction on Thursday, October 2nd. The shares were sold at an average price of $305.57, for a total transaction of $2,140,823.42. Following the transaction, the insider directly owned 76,132 shares in the company, valued at approximately $23,263,655.24. The trade was a 8.43% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 43,084 shares of company stock valued at $12,446,825. Corporate insiders own 18.10% of the company’s stock.

Hedge Funds Weigh In On Zscaler

A number of institutional investors have recently bought and sold shares of the company. Binnacle Investments Inc purchased a new stake in shares of Zscaler in the 3rd quarter valued at approximately $25,000. SVB Wealth LLC purchased a new stake in shares of Zscaler during the 1st quarter valued at approximately $26,000. Tradewinds Capital Management LLC lifted its holdings in Zscaler by 145.7% in the third quarter. Tradewinds Capital Management LLC now owns 86 shares of the company’s stock valued at $26,000 after acquiring an additional 51 shares during the last quarter. Root Financial Partners LLC purchased a new position in Zscaler in the third quarter worth approximately $26,000. Finally, N.E.W. Advisory Services LLC purchased a new position in Zscaler in the first quarter worth approximately $29,000. 46.45% of the stock is owned by hedge funds and other institutional investors.

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.