Zscaler (NASDAQ:ZS) Given New $260.00 Price Target at TD Cowen

Zscaler (NASDAQ:ZS) had its price target reduced by TD Cowen from $330.00 to $260.00 in a research note released on Tuesday,Benzinga reports. They currently have a buy rating on the stock.

Several other equities analysts have also commented on the stock. Macquarie Infrastructure initiated coverage on shares of Zscaler in a research note on Friday, October 31st. They issued an “outperform” rating and a $390.00 price target on the stock. Piper Sandler dropped their price objective on Zscaler from $280.00 to $260.00 and set a “neutral” rating on the stock in a report on Monday, January 5th. Stephens cut their price target on Zscaler from $340.00 to $225.00 and set an “overweight” rating on the stock in a research report on Monday. Loop Capital set a $320.00 target price on shares of Zscaler in a research report on Thursday, December 11th. Finally, Scotiabank reduced their price target on shares of Zscaler from $334.00 to $320.00 and set a “sector outperform” rating for the company in a research report on Wednesday, November 26th. One analyst has rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $293.84.

Zscaler Price Performance

Zscaler stock opened at $149.36 on Tuesday. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.86. The company has a fifty day simple moving average of $203.32 and a 200-day simple moving average of $257.39. The stock has a market cap of $23.82 billion, a P/E ratio of -574.44, a price-to-earnings-growth ratio of 292.08 and a beta of 1.02. Zscaler has a 12-month low of $141.56 and a 12-month high of $336.99.

Zscaler (NASDAQ:ZS) last posted its earnings results on Tuesday, November 25th. The company reported $0.96 EPS for the quarter, beating the consensus estimate of $0.85 by $0.11. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.The firm had revenue of $788.11 million for the quarter, compared to analyst estimates of $773.86 million. During the same quarter in the prior year, the company posted $0.77 earnings per share. Zscaler’s revenue for the quarter was up 25.5% compared to the same quarter last year. Equities analysts expect that Zscaler will post -0.1 EPS for the current fiscal year.

Insider Transactions at Zscaler

In related news, insider Adam Geller sold 1,620 shares of the business’s stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $232.79, for a total transaction of $377,119.80. Following the sale, the insider owned 50,528 shares of the company’s stock, valued at approximately $11,762,413.12. The trade was a 3.11% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director James A. Beer sold 653 shares of Zscaler stock in a transaction that occurred 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 owned 3,485 shares of the company’s stock, valued at approximately $790,119.20. The trade was a 15.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 19,350 shares of company stock valued at $4,471,509. 17.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Zscaler

Several hedge funds have recently added to or reduced their stakes in the business. Binnacle Investments Inc purchased a new stake in shares of Zscaler in the third quarter valued at about $25,000. Tradewinds Capital Management LLC raised its position in shares of Zscaler by 145.7% during the 3rd quarter. Tradewinds Capital Management LLC now owns 86 shares of the company’s stock worth $26,000 after purchasing an additional 51 shares during the last quarter. Root Financial Partners LLC acquired a new position in shares of Zscaler during the 3rd quarter worth approximately $26,000. McIlrath & Eck LLC purchased a new stake in Zscaler in the 3rd quarter valued at approximately $29,000. Finally, Quaker Wealth Management LLC grew its holdings in 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 buying an additional 194 shares during the last quarter. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

Key Zscaler News

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler and Bharti Airtel launched an AI & Cyber Threat Research Center to deepen Zscaler’s India footprint and AI security capabilities — a strategic win that supports long‑term revenue and local market influence. Article Title
• Positive Sentiment: A bullish Seeking Alpha piece highlights Zscaler’s strong retention, AI/data security expansion and a growing moat in AI‑agent security — a narrative that can attract long‑term investors despite near‑term margin noise. Article Title
• Positive Sentiment: Rosenblatt reaffirmed its Buy rating with a $280 price target, signalling continued analyst conviction in Zscaler’s growth thesis. Article Title
• Neutral Sentiment: Several large firms lowered price targets (JPMorgan to $267, Mizuho to $265, Robert W. Baird to $300) but generally kept Outperform/Buy ratings — this underscores belief in upside while acknowledging sector multiple compression. Article Title
• Negative Sentiment: BTIG cut its target sharply (from $365 to $209) and sector headlines around Anthropic’s new AI security tool triggered a broad selloff in cybersecurity names, creating near‑term downside risk and multiplier compression for ZS. Article Title
• Negative Sentiment: Market headlines (CNBC/Yahoo/MSN) show Zscaler and peers fell after the Anthropic tool launch, reflecting investor concerns that advanced AI tools may compress demand or replace some vendor workflows in security. Article Title

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.