MBL Wealth LLC Makes New Investment in Zscaler, Inc. $ZS

MBL Wealth LLC acquired a new position in shares of Zscaler, Inc. (NASDAQ:ZS) in the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor acquired 4,609 shares of the company’s stock, valued at approximately $919,000.

Several other hedge funds also recently modified their holdings of the stock. Root Financial Partners LLC bought a new position in shares of Zscaler in the third quarter valued at $97,000. Kings Path Partners LLC acquired a new position in shares of Zscaler in the third quarter valued at approximately $40,000. Capstone Capital Management Ltd bought a new stake in Zscaler in the 3rd quarter valued at $239,000. Physician Wealth Advisors Inc. grew its holdings in Zscaler by 1,837.5% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 155 shares of the company’s stock valued at $31,000 after buying an additional 147 shares in the last quarter. Finally, Pinnacle Associates Ltd. grew its holdings in Zscaler by 0.8% in the 3rd quarter. Pinnacle Associates Ltd. now owns 56,683 shares of the company’s stock valued at $11,304,000 after buying an additional 436 shares in the last quarter. Institutional investors own 46.45% of the company’s stock.

Zscaler News Roundup

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Higher price target: Freedom Broker raised its target on Zscaler from $230 to $270 while maintaining a “Buy” rating, citing continued strength across cybersecurity stocks. Freedom Broker raises Zscaler price target
• Positive Sentiment: Data-security growth: Zscaler’s Data Security annual recurring revenue surpassed $500 million and grew more than 30% year over year. Its security tools reportedly appeared in roughly 70% of “Security for AI” deals, supporting expectations for larger enterprise contracts and expansion within existing customers. Zscaler data security growth
• Positive Sentiment: AI partnership narrative: Zscaler is integrating with NVIDIA’s OpenShell architecture to help enterprises secure autonomous AI agents and sensitive data flows, linking its AI-security strategy to customer spending. NVIDIA and Zscaler AI security partnership
• Positive Sentiment: Investor interest: Hightower’s Stephanie Link reportedly purchased Zscaler shares, providing a favorable signal from an institutional investment manager. Hightower buys Zscaler shares
• Neutral Sentiment: Mixed analyst view: DA Davidson initiated coverage with a “Neutral” rating and a $215 target, below recent trading levels, tempering the more optimistic target increases. DA Davidson initiates Zscaler coverage
• Negative Sentiment: Legal investigation: Pomerantz LLP announced an investigation into potential securities-law violations on behalf of Zscaler investors. The development could increase litigation and disclosure risks, although no wrongdoing has been established. Pomerantz investigation of Zscaler

Wall Street Analyst Weigh In

Several research firms have weighed in on ZS. JPMorgan Chase & Co. increased their price objective on Zscaler from $215.00 to $245.00 and gave the stock an “overweight” rating in a research report on Wednesday, October 7th. Truist Financial restated a “buy” rating and issued a $250.00 price target (up from $200.00) on shares of Zscaler in a research note on Wednesday, October 7th. KeyCorp upped their price target on shares of Zscaler from $185.00 to $210.00 and gave the company an “overweight” rating in a research note on Friday, August 21st. Needham & Company LLC raised their price target on shares of Zscaler from $215.00 to $255.00 and gave the stock a “buy” rating in a research report on Wednesday, October 7th. Finally, BNP Paribas Exane reiterated an “outperform” rating and issued a $250.00 price objective (up from $230.00) on shares of Zscaler in a research note on Wednesday, October 7th. Thirty-seven analysts have rated the stock with 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, Zscaler has a consensus rating of “Moderate Buy” and a consensus target price of $240.14.

Zscaler Price Performance

ZS stock opened at $255.15 on Friday. The company’s 50-day moving average price is $196.94 and its two-hundred day moving average price is $163.22. The firm has a market cap of $41.60 billion, a P/E ratio of -654.23, a P/E/G ratio of 22.85 and a beta of 0.94. The company has a quick ratio of 1.70, a current ratio of 1.70 and a debt-to-equity ratio of 0.65. Zscaler, Inc. has a 12 month low of $114.63 and a 12 month high of $336.99.

Zscaler (NASDAQ:ZS) last issued its quarterly 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 company had revenue of $898.19 million during the quarter, compared to the consensus estimate of $876.96 million. Zscaler had a negative net margin of 1.88% and a positive return on equity of 1.23%. The firm’s quarterly revenue was up 24.9% on a year-over-year basis. During the same quarter in the prior year, the firm posted $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. On average, analysts anticipate that Zscaler, Inc. will post 0.69 earnings per share for the current fiscal year.

Insider Activity

In other Zscaler news, insider Adam Geller sold 23,958 shares of the firm’s stock in a transaction on Friday, October 9th. The stock was sold at an average price of $225.43, for a total value of $5,400,851.94. Following the sale, the insider owned 38,308 shares of the company’s stock, valued at approximately $8,635,772.44. This trade represents a 38.48% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Jagtar Chaudhry sold 2,852 shares of Zscaler stock in a transaction on Wednesday, September 16th. The shares were sold at an average price of $192.76, for a total value of $549,751.52. Following the completion of the transaction, the chief executive officer owned 340,186 shares in the company, valued at approximately $65,574,253.36. The trade was a 0.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 54,053 shares of company stock valued at $11,256,876 in the last three months. Company insiders own 17.20% of the company’s stock.

Zscaler Company Profile

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.