Zscaler (NASDAQ:ZS) Given “Neutral” Rating at BTIG Research

BTIG Research reissued their neutral rating on shares of Zscaler (NASDAQ:ZS) in a report released on Thursday, Marketbeat Ratings reports.

Several other equities analysts have also recently issued reports on ZS. Weiss Ratings reissued a “sell (d-)” rating on shares of Zscaler in a research note on Wednesday, January 21st. Oppenheimer decreased their target price on shares of Zscaler from $280.00 to $250.00 and set an “outperform” rating on the stock in a research report on Tuesday, March 10th. Barclays set a $220.00 target price on shares of Zscaler in a research report on Thursday, February 19th. JPMorgan Chase & Co. decreased their target price on shares of Zscaler from $354.00 to $267.00 and set an “overweight” rating on the stock in a research report on Friday, February 20th. Finally, TD Cowen decreased their target price on shares of Zscaler from $330.00 to $260.00 and set a “buy” rating on the stock in a research report on Tuesday, February 24th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating, eight have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $267.86.

Zscaler Stock Performance

Shares of ZS opened at $122.23 on Thursday. The company has a debt-to-equity ratio of 0.78, a quick ratio of 1.90 and a current ratio of 1.90. The stock has a market capitalization of $19.65 billion, a P/E ratio of -291.02 and a beta of 1.12. The company’s fifty day moving average is $157.28 and its two-hundred day moving average is $229.02. Zscaler has a 1 year low of $120.76 and a 1 year high of $336.99.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings data on Thursday, February 26th. The company reported $1.01 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.89 by $0.12. The company had revenue of $815.75 million for the quarter, compared to analysts’ expectations of $798.92 million. Zscaler had a negative net margin of 2.25% and a positive return on equity of 0.06%. Zscaler’s revenue was up 25.9% compared to the same quarter last year. During the same period in the previous year, the company posted $0.78 EPS. Zscaler has set its Q3 2026 guidance at 1.000-1.010 EPS and its FY 2026 guidance at 3.990-4.020 EPS. On average, sell-side analysts predict that Zscaler will post -0.1 earnings per share for the current year.

Insider Activity at Zscaler

In other news, EVP Raj Judge sold 2,488 shares of the company’s stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $156.59, for a total transaction of $389,595.92. Following the completion of the transaction, the executive vice president owned 67,906 shares of the company’s stock, valued at $10,633,400.54. This represents a 3.53% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Jagtar Singh Chaudhry sold 1,941 shares of the company’s stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $156.59, for a total transaction of $303,941.19. Following the transaction, the chief executive officer directly owned 345,916 shares of the company’s stock, valued at approximately $54,166,986.44. This represents a 0.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 12,130 shares of company stock worth $1,892,487. Corporate insiders own 17.20% of the company’s stock.

Institutional Trading of Zscaler

Institutional investors and hedge funds have recently bought and sold shares of the business. Integrated Wealth Concepts LLC raised its holdings in Zscaler by 19.9% in the first quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company’s stock valued at $285,000 after buying an additional 239 shares during the period. NewEdge Advisors LLC raised its holdings in Zscaler by 8.2% in the first quarter. NewEdge Advisors LLC now owns 4,899 shares of the company’s stock valued at $972,000 after buying an additional 370 shares during the period. Empowered Funds LLC raised its holdings in Zscaler by 9.2% in the first quarter. Empowered Funds LLC now owns 2,811 shares of the company’s stock valued at $558,000 after buying an additional 238 shares during the period. Sivia Capital Partners LLC purchased a new position in Zscaler in the second quarter valued at approximately $252,000. Finally, Jump Financial LLC purchased a new position in Zscaler in the second quarter valued at approximately $3,019,000. Institutional investors and hedge funds own 46.45% of the company’s stock.

Trending Headlines about Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Two bullish investor pieces argue the selloff creates a buying opportunity — authors point to Zscaler’s strong 26% YoY revenue growth, AI tailwinds, and attractive valuation after the pullback. They reiterate Buy/Strong‑Buy views expecting long‑term margin expansion and operating leverage. Zscaler: A Generational Opportunity To ‘Buy’ AI Tailwinds At A Discount
• Positive Sentiment: Another Seeking Alpha piece upgrades Zscaler to “Strong Buy,” highlighting solid quarter (beat and raised outlook), a healthy balance sheet, and long‑term margin potential driven by AI and scale — a counterpoint to short‑term negative sentiment. Zscaler: Time To Upgrade Amidst Pessimistic Software Sentiment
• Neutral Sentiment: Q4/earnings recaps show Zscaler remains one of the faster‑growing large cloud security vendors (mid‑20s YoY revenue growth) and that results generally beat expectations, but the sectorwide weakness and macro concerns are weighing on multiples. This contextual analysis supports both bullish and bearish views. Cybersecurity Stocks Q4 Recap: Benchmarking Zscaler (NASDAQ:ZS)
• Negative Sentiment: BTIG downgraded Zscaler from Buy to Neutral and removed its price target, citing rising competition and a more cautious outlook — the downgrade is the primary catalyst cited across multiple outlets for today’s selloff. Zscaler (ZS) Stock Plummets 8% Following BTIG Downgrade Amid Competitive Pressures
• Negative Sentiment: Coverage across financial sites highlights that weak sentiment has pushed Zscaler toward a 52‑week low; analysts and investors are flagging slower growth expectations and competitive pressure from both incumbents and AI startups as valuation risks. Zscaler hit 52-week low as Wall Street becomes worried over its slowing growth
• Negative Sentiment: Multiple outlets (Yahoo, MSN, 247WallStreet) report the BTIG action and note the market reaction — these articles reinforce negative momentum by citing removed price targets and increased investor caution. Why Zscaler (ZS) Shares Are Falling Today
• Negative Sentiment: Benzinga and other brief reports reiterate the neutral/hold stances and the technical/volume signals — reinforcing short‑term selling pressure even though fundamentals (recent beats and guidance) remain intact. Benzinga coverage

About Zscaler

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.