Commonwealth Equity Services LLC Lowers Holdings in Zscaler, Inc. $ZS

Commonwealth Equity Services LLC reduced its stake in shares of Zscaler, Inc. (NASDAQ:ZS) by 8.4% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 59,842 shares of the company’s stock after selling 5,459 shares during the quarter. Commonwealth Equity Services LLC’s holdings in Zscaler were worth $17,932,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors and hedge funds have also recently modified their holdings of the company. Tradewinds Capital Management LLC grew its stake in Zscaler by 145.7% during the third quarter. Tradewinds Capital Management LLC now owns 86 shares of the company’s stock valued at $26,000 after acquiring an additional 51 shares in the last quarter. Quaker Wealth Management LLC boosted its holdings in shares of Zscaler by 200.0% during the 2nd quarter. Quaker Wealth Management LLC now owns 97 shares of the company’s stock valued at $30,000 after purchasing an additional 194 shares during the last quarter. Exane Asset Management grew its position in shares of Zscaler by 185.7% during the second quarter. Exane Asset Management now owns 100 shares of the company’s stock valued at $31,000 after purchasing an additional 65 shares in the last quarter. Bayforest Capital Ltd purchased a new position in shares of Zscaler during the first quarter valued at about $34,000. Finally, Kozak & Associates Inc. bought a new stake in shares of Zscaler in the second quarter worth about $35,000. Institutional investors own 46.45% of the company’s stock.

Analyst Ratings Changes

A number of equities analysts recently commented on ZS shares. Needham & Company LLC dropped their price target on Zscaler from $350.00 to $310.00 and set a “buy” rating for the company in a research note on Wednesday, November 26th. Stifel Nicolaus lowered their target price on Zscaler from $330.00 to $320.00 and set a “buy” rating for the company in a research report on Wednesday, November 26th. Berenberg Bank cut their target price on shares of Zscaler from $400.00 to $390.00 and set a “buy” rating for the company in a report on Friday, November 28th. UBS Group decreased their price target on shares of Zscaler from $350.00 to $340.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. Finally, Cantor Fitzgerald reiterated an “overweight” rating on shares of Zscaler in a research report on Wednesday, November 26th. One analyst has rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $320.13.

Zscaler Trading Down 1.6%

ZS stock opened at $216.73 on Friday. Zscaler, Inc. has a twelve month low of $164.78 and a twelve month high of $336.99. The stock has a market capitalization of $34.56 billion, a price-to-earnings ratio of -833.54, a price-to-earnings-growth ratio of 4,224.62 and a beta of 1.02. The company has a quick ratio of 1.82, a current ratio of 1.82 and a debt-to-equity ratio of 0.86. The firm’s fifty day simple moving average is $258.73 and its two-hundred day simple moving average is $281.29.

Zscaler (NASDAQ:ZS) last released its earnings results on Tuesday, November 25th. The company reported $0.96 earnings per share (EPS) for the quarter, topping the consensus estimate 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 firm had revenue of $788.11 million during the quarter, compared to analyst estimates of $773.86 million. During the same quarter last year, the business earned $0.77 EPS. The business’s 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. As a group, analysts anticipate that Zscaler, Inc. will post -0.1 earnings per share for the current year.

Insider Activity

In other Zscaler news, insider Robert Schlossman sold 2,349 shares of the stock in a transaction on Wednesday, December 17th. The stock was sold at an average price of $232.79, for a total value of $546,823.71. Following the sale, the insider owned 74,653 shares in the company, valued at $17,378,471.87. This trade represents a 3.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director James A. Beer sold 653 shares of the business’s stock in a transaction on Friday, January 2nd. The shares were sold at an average price of $226.72, for a total transaction of $148,048.16. Following the sale, the director directly owned 3,485 shares of the company’s stock, valued at $790,119.20. This represents a 15.78% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 22,550 shares of company stock worth $5,511,509 in the last three months. Corporate insiders own 17.20% of the company’s stock.

Zscaler Company Profile

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.