Zscaler (NASDAQ:ZS) Downgraded to “Neutral” at Bank of America

Bank of America lowered shares of Zscaler (NASDAQ:ZS) from a buy rating to a neutral rating in a research note released on Wednesday, MarketBeat.com reports. They currently have $195.00 price objective on the stock, down from their prior price objective of $265.00.

A number of other research analysts have also recently commented on the company. Oppenheimer dropped their price target on Zscaler from $260.00 to $230.00 and set an outperform rating for the company in a research note on Wednesday. UBS Group cut their price target on Zscaler from $270.00 to $250.00 and set a buy rating on the stock in a research note on Wednesday. Mizuho downgraded Zscaler from an outperform rating to a neutral rating and set a $220.00 price objective for the company. in a research note on Tuesday, July 16th. Raymond James initiated coverage on shares of Zscaler in a research report on Tuesday, July 23rd. They set a market perform rating on the stock. Finally, Rosenblatt Securities restated a neutral rating and issued a $190.00 price target on shares of Zscaler in a research report on Tuesday, May 28th. Nine investment analysts have rated the stock with a hold rating, twenty-five have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of Moderate Buy and an average target price of $217.41.

Zscaler Stock Down 18.7 %

ZS stock opened at $157.13 on Wednesday. Zscaler has a 52 week low of $146.59 and a 52 week high of $259.61. The business has a 50-day simple moving average of $188.90 and a 200 day simple moving average of $188.50. The company has a quick ratio of 1.75, a current ratio of 1.75 and a debt-to-equity ratio of 1.04. The company has a market cap of $23.75 billion, a PE ratio of -308.10 and a beta of 0.85.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings data on Tuesday, September 3rd. The company reported $0.88 EPS for the quarter, beating the consensus estimate of $0.70 by $0.18. The business had revenue of $592.90 million during the quarter, compared to the consensus estimate of $567.46 million. Zscaler had a negative net margin of 3.62% and a negative return on equity of 5.84%. The company’s revenue was up 30.3% on a year-over-year basis. During the same period in the previous year, the business earned ($0.17) earnings per share. Sell-side analysts anticipate that Zscaler will post -0.32 EPS for the current fiscal year.

Insider Transactions at Zscaler

In other Zscaler news, CFO Remo Canessa sold 4,689 shares of the business’s stock in a transaction on Tuesday, June 18th. The shares were sold at an average price of $180.93, for a total transaction of $848,380.77. Following the sale, the chief financial officer now owns 251,467 shares of the company’s stock, valued at approximately $45,497,924.31. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Corporate insiders own 19.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Sierra Summit Advisors LLC bought a new position in shares of Zscaler in the fourth quarter worth approximately $5,609,000. State Board of Administration of Florida Retirement System raised its position in shares of Zscaler by 6.9% during the 1st quarter. State Board of Administration of Florida Retirement System now owns 103,937 shares of the company’s stock valued at $20,021,000 after buying an additional 6,683 shares in the last quarter. Norges Bank bought a new stake in shares of Zscaler during the 4th quarter worth $117,599,000. Mitsubishi UFJ Asset Management Co. Ltd. grew its position in Zscaler by 9.1% in the first quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 116,691 shares of the company’s stock worth $22,478,000 after acquiring an additional 9,689 shares in the last quarter. Finally, Wealthcare Advisory Partners LLC increased its stake in Zscaler by 40.0% in the first quarter. Wealthcare Advisory Partners LLC now owns 2,438 shares of the company’s stock valued at $470,000 after acquiring an additional 696 shares during the last quarter. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

About Zscaler

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.