Brokerages Set Zscaler, Inc. (NASDAQ:ZS) PT at $216.65

Zscaler, Inc. (NASDAQ:ZS) has received an average rating of “Moderate Buy” from the forty-two research firms that are currently covering the company, MarketBeat Ratings reports. Two equities research analysts have rated the stock with a sell rating, six have issued a hold rating and thirty-four have issued a buy rating on the company. The average twelve-month target price among analysts that have issued a report on the stock in the last year is $216.5250.

Several research firms recently commented on ZS. BMO Capital Markets lifted their target price on shares of Zscaler from $178.00 to $200.00 and gave the stock an “outperform” rating in a research report on Friday, September 4th. Rosenblatt Securities reissued a “buy” rating and set a $200.00 price objective on shares of Zscaler in a research report on Friday, September 4th. Sanford C. Bernstein dropped their target price on Zscaler from $228.00 to $224.00 and set an “outperform” rating on the stock in a report on Wednesday, May 27th. Stephens set a $215.00 price objective on Zscaler in a research report on Friday, September 4th. Finally, Royal Bank Of Canada upped their price objective on Zscaler from $200.00 to $210.00 and gave the company an “outperform” rating in a research note on Friday, September 4th.

Key Stories Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Cybersecurity stocks rallied broadly after new AI safety warnings increased investor focus on the need for stronger identity, cloud and data protection. Zscaler rose alongside CrowdStrike and Palo Alto Networks, making the company one of the sector’s biggest movers. Cybersecurity Stocks Surge as AI Safety Warnings Spark Security Bid
• Positive Sentiment: The broader technology-sector rally lifted Zscaler substantially, with the stock described as gaining as much as 17% during the session. The move reflects renewed enthusiasm for cybersecurity software and AI-related security spending. Cybersecurity rally takes Zscaler up 17%
• Positive Sentiment: Unusually heavy options activity may have amplified the rally: investors purchased 34,160 Zscaler call options, approximately 22% above average call volume. The activity signals increased short-term bullish positioning, although options flows do not guarantee continued gains.
• Neutral Sentiment: Zscaler was included among several software stocks posting large advances, including HubSpot, ServiceNow, Okta and Workday, suggesting the session reflected a wider software and technology re-rating rather than an isolated Zscaler catalyst. Software shares rally
• Neutral Sentiment: Wedbush initiated coverage on Zscaler, but the available report does not provide a rating or price target, limiting its immediate impact on the investment case. Wedbush Initiates Coverage on Zscaler

Zscaler Price Performance

ZS stock opened at $191.73 on Thursday. The stock has a 50-day moving average price of $164.21 and a two-hundred day moving average price of $150.70. Zscaler has a 1 year low of $114.63 and a 1 year high of $336.99. The company has a current ratio of 1.70, a quick ratio of 1.70 and a debt-to-equity ratio of 0.65. The stock has a market cap of $31.26 billion, a PE ratio of -491.62, a price-to-earnings-growth ratio of 20.42 and a beta of 0.95.

Zscaler (NASDAQ:ZS) last posted its earnings results on Thursday, September 3rd. The company reported $1.19 earnings per share for the quarter, topping analysts’ consensus estimates of $1.09 by $0.10. The business had revenue of $898.19 million for the quarter, compared to analyst estimates of $876.96 million. Zscaler had a positive return on equity of 1.23% and a negative net margin of 1.88%.The firm’s revenue was up 24.9% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.89 EPS. Zscaler has set its FY 2027 guidance at 4.860-4.900 EPS and its Q1 2027 guidance at 1.150-1.160 EPS. Equities analysts forecast that Zscaler will post 0.59 EPS for the current fiscal year.

Insider Buying and Selling at Zscaler

In other news, CFO Kevin Rubin sold 3,000 shares of the company’s stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $124.22, for a total transaction of $372,660.00. Following the sale, the chief financial officer directly owned 41,901 shares in the company, valued at $5,204,942.22. This represents a 6.68% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Adam Geller sold 2,817 shares of the business’s stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $122.60, for a total transaction of $345,364.20. Following the transaction, the insider directly owned 42,314 shares of the company’s stock, valued at approximately $5,187,696.40. This represents a 6.24% decrease in their position. 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. Over the last quarter, insiders sold 7,122 shares of company stock valued at $919,749. 17.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Zscaler

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. California State Teachers Retirement System boosted its holdings in shares of Zscaler by 13,837.9% during the 2nd quarter. California State Teachers Retirement System now owns 19,388,787 shares of the company’s stock valued at $2,736,727,000 after buying an additional 19,249,679 shares in the last quarter. BlackRock Inc. bought a new stake in shares of Zscaler in the second quarter worth approximately $1,396,028,000. First Trust Advisors LP lifted its holdings in shares of Zscaler by 36.2% during the 1st quarter. First Trust Advisors LP now owns 3,518,678 shares of the company’s stock valued at $493,635,000 after buying an additional 935,781 shares during the period. Connor Clark & Lunn Investment Management Ltd. purchased a new position in Zscaler in the second quarter worth about $102,271,000. Finally, Pictet Asset Management Holding SA raised its position in Zscaler by 52.5% in the first quarter. Pictet Asset Management Holding SA now owns 1,920,540 shares of the company’s stock worth $269,285,000 after acquiring an additional 661,413 shares during the period. 46.45% of the stock is owned by hedge funds and other institutional investors.

Zscaler Company Profile

Zscaler, Inc is a cloud-native cybersecurity company that provides security services designed to help organizations connect users, devices, applications and workloads securely over the internet. Its platform is built around a zero-trust security model, which verifies access based on identity, context and policy rather than relying primarily on a traditional corporate network perimeter.

The company’s offerings include Zscaler Internet Access, which secures access to internet and software-as-a-service applications, and Zscaler Private Access, which provides secure, policy-based access to private applications without requiring conventional virtual private networks.