Sumitomo Mitsui Trust Group Inc. Raises Stake in Zscaler, Inc. $ZS

Sumitomo Mitsui Trust Group Inc. raised its holdings in Zscaler, Inc. (NASDAQ:ZS) by 1.3% during the third quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 249,591 shares of the company’s stock after purchasing an additional 3,114 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned about 0.16% of Zscaler worth $74,792,000 as of its most recent filing with the SEC.

Other hedge funds have also made changes to their positions in the company. Integrated Wealth Concepts LLC raised its stake in Zscaler by 19.9% during the 1st quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company’s stock valued at $285,000 after acquiring an additional 239 shares during the last quarter. NewEdge Advisors LLC increased its holdings in shares of Zscaler by 8.2% in the first quarter. NewEdge Advisors LLC now owns 4,899 shares of the company’s stock valued at $972,000 after purchasing an additional 370 shares during the period. Empowered Funds LLC raised its stake in shares of Zscaler by 9.2% during the first quarter. Empowered Funds LLC now owns 2,811 shares of the company’s stock worth $558,000 after purchasing an additional 238 shares during the last quarter. Financiere des Professionnels Fonds d investissement inc. acquired a new stake in shares of Zscaler during the second quarter worth $532,000. Finally, Aaron Wealth Advisors LLC purchased a new position in Zscaler in the 2nd quarter valued at $205,000. Institutional investors and hedge funds own 46.45% of the company’s stock.

Zscaler Price Performance

Shares of NASDAQ:ZS opened at $214.27 on Thursday. The firm has a market capitalization of $34.17 billion, a price-to-earnings ratio of -824.08, a price-to-earnings-growth ratio of 4,157.99 and a beta of 1.02. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.82 and a quick ratio of 1.82. The business’s 50 day simple moving average is $251.92 and its 200-day simple moving average is $279.05. Zscaler, Inc. has a 12 month low of $164.78 and a 12 month high of $336.99.

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

Analyst Ratings Changes

A number of equities analysts have commented on ZS shares. Macquarie started coverage on shares of Zscaler in a research report on Friday, October 31st. They set an “outperform” rating and a $390.00 price objective for the company. Robert W. Baird increased their price target on shares of Zscaler from $350.00 to $360.00 and gave the stock an “outperform” rating in a report on Wednesday, November 26th. KeyCorp reduced their price objective on shares of Zscaler from $350.00 to $300.00 and set an “overweight” rating for the company in a research report on Monday. Wedbush lifted their price objective on Zscaler from $330.00 to $350.00 and gave the company an “outperform” rating in a report on Monday, November 10th. Finally, Loop Capital set a $320.00 target price on Zscaler in a research note on Thursday, December 11th. One analyst has rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $317.63.

Key Zscaler News

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: KeyCorp reiterated an Overweight view and published quarterly EPS forecasts (Q4 2027 EPS $0.14; Q1 2027 $(0.05); Q2 2027 $0.04; Q3 2027 $0.10; Q4 2027 $0.14) and a $300 price target — signals of analyst confidence in Zscaler’s multi‑quarter recovery and a sizable upside vs. current levels. KeyCorp estimates / MarketBeat
• Positive Sentiment: Zscaler appointed Dr. Swamy Kocherlakota as EVP of Agentic AI Security Engineering, strengthening leadership in AI security — a key strategic area as customers prioritize secure AI deployments. Zscaler Appoints Dr. Swamy Kocherlakota
• Positive Sentiment: WEI achieved Zscaler Premier Partner status, which could accelerate enterprise sales and deployments for zero‑trust and secure AI use cases. This is a modest but tangible channel / go‑to‑market tailwind. WEI Achieves Zscaler Premier Partner Status
• Neutral Sentiment: Citigroup lowered its price target from $350 to $305 but maintained a Buy rating — this reduces some of the near‑term upside narrative while leaving institutional endorsement intact. Citigroup price target change (Benzinga)
• Neutral Sentiment: Benzinga compiled 24 analyst projections for Zscaler — useful for gauging consensus dispersion, but not a single catalyst. Forecasting The Future: 24 Analyst Projections For Zscaler
• Negative Sentiment: Zacks flagged that Zscaler fell more than the broader market today, highlighting short‑term profit taking and sentiment volatility; technicals are a headwind (shares trading below their 50‑ and 200‑day moving averages). Why Zscaler (ZS) Dipped More Than Broader Market Today

Insider Activity at Zscaler

In related news, insider Adam Geller sold 2,060 shares of the company’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $230.82, for a total value of $475,489.20. Following the sale, the insider owned 52,148 shares of the company’s stock, valued at approximately $12,036,801.36. This represents a 3.80% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Kevin Rubin sold 3,303 shares of the firm’s stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $230.82, for a total value of $762,398.46. Following the transaction, the chief financial officer directly owned 48,161 shares of the company’s stock, valued at $11,116,522.02. The trade was a 6.42% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 22,550 shares of company stock valued at $5,511,509 in the last quarter. 17.20% of the stock is owned by corporate insiders.

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.