Avalon Global Asset Management LLC Buys Shares of 35,000 Zscaler, Inc. $ZS

Avalon Global Asset Management LLC purchased a new position in shares of Zscaler, Inc. (NASDAQ:ZS) in the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor purchased 35,000 shares of the company’s stock, valued at approximately $10,988,000. Zscaler comprises about 1.3% of Avalon Global Asset Management LLC’s portfolio, making the stock its 23rd largest position.

Other hedge funds have also recently bought and sold shares of the company. California Public Employees Retirement System boosted its stake in Zscaler by 16.9% during the 2nd quarter. California Public Employees Retirement System now owns 162,015 shares of the company’s stock valued at $50,863,000 after purchasing an additional 23,452 shares during the period. Cary Street Partners Financial LLC bought a new stake in shares of Zscaler during the second quarter valued at approximately $224,000. Cerity Partners LLC boosted its position in shares of Zscaler by 9.7% during the second quarter. Cerity Partners LLC now owns 25,158 shares of the company’s stock worth $7,898,000 after buying an additional 2,230 shares during the period. Federated Hermes Inc. grew its holdings in Zscaler by 314.0% in the 2nd quarter. Federated Hermes Inc. now owns 1,171,983 shares of the company’s stock worth $367,932,000 after buying an additional 888,888 shares in the last quarter. Finally, Jump Financial LLC bought a new position in Zscaler in the 2nd quarter worth approximately $3,019,000. 46.45% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the company. Susquehanna lifted their target price on Zscaler from $320.00 to $340.00 and gave the company a “positive” rating in a research note on Wednesday, September 3rd. Needham & Company LLC cut their price objective on shares of Zscaler from $350.00 to $310.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. Scotiabank reduced their price objective on shares of Zscaler from $334.00 to $320.00 and set a “sector outperform” rating for the company in a report on Wednesday, November 26th. BMO Capital Markets increased their target price on shares of Zscaler from $295.00 to $315.00 and gave the company an “outperform” rating in a research report on Wednesday, September 3rd. Finally, Bank of America lowered their target price on shares of Zscaler from $355.00 to $335.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. One analyst has rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $321.87.

Zscaler Trading Up 0.3%

NASDAQ:ZS opened at $242.68 on Monday. The stock has a fifty day simple moving average of $298.96 and a 200 day simple moving average of $291.39. The firm has a market capitalization of $38.70 billion, a price-to-earnings ratio of -933.35 and a beta of 1.07. Zscaler, Inc. has a 1-year low of $164.78 and a 1-year high of $336.99. The company has a quick ratio of 1.82, a current ratio of 1.82 and a debt-to-equity ratio of 0.86.

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

Insider Activity

In related news, insider Adam Geller sold 10,464 shares of the firm’s stock in a transaction that occurred on Wednesday, September 17th. The shares were sold at an average price of $284.25, for a total value of $2,974,392.00. Following the completion of the transaction, the insider owned 43,478 shares of the company’s stock, valued at approximately $12,358,621.50. This trade represents a 19.40% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Jagtar Singh Chaudhry sold 2,865 shares of the business’s stock in a transaction on Tuesday, September 16th. The shares were sold at an average price of $280.70, for a total transaction of $804,205.50. Following the sale, the chief executive officer directly owned 350,700 shares in the company, valued at approximately $98,441,490. This trade represents a 0.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 43,084 shares of company stock worth $12,446,825 in the last quarter. Insiders own 17.20% of the company’s stock.

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.