Zscaler (NASDAQ:ZS) Receives Buy Rating from Rosenblatt Securities

Rosenblatt Securities restated their buy rating on shares of Zscaler (NASDAQ:ZS) in a report published on Tuesday morning,Benzinga reports. They currently have a $280.00 target price on the stock.

A number of other brokerages also recently weighed in on ZS. JPMorgan Chase & Co. lowered their price target on Zscaler from $354.00 to $267.00 and set an “overweight” rating on the stock in a research report on Friday, February 20th. Citigroup lowered their price target on shares of Zscaler from $350.00 to $305.00 and set a “buy” rating on the stock in a report on Tuesday, January 13th. UBS Group lowered their target price on Zscaler from $350.00 to $340.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. Macquarie Infrastructure started coverage on Zscaler in a research report on Friday, October 31st. They set an “outperform” rating and a $390.00 price objective on the stock. Finally, Capital One Financial set a $320.00 price objective on shares of Zscaler and gave the stock an “overweight” rating in a research note on Wednesday, November 26th. One investment analyst has rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Zscaler currently has an average rating of “Moderate Buy” and a consensus price target of $293.84.

Zscaler Trading Up 4.2%

NASDAQ ZS opened at $149.36 on Tuesday. Zscaler has a 12 month low of $141.56 and a 12 month high of $336.99. 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 stock has a 50 day moving average of $203.32 and a 200-day moving average of $257.39. The company has a market cap of $23.82 billion, a PE ratio of -574.44, a PEG ratio of 292.08 and a beta of 1.02.

Zscaler (NASDAQ:ZS) last posted its quarterly 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. The firm had revenue of $788.11 million for the quarter, compared to analyst estimates of $773.86 million. Zscaler had a negative net margin of 1.45% and a negative return on equity of 0.12%. The company’s quarterly revenue was up 25.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.77 earnings per share. On average, equities research analysts anticipate that Zscaler will post -0.1 EPS for the current fiscal year.

Insider Activity at Zscaler

In other news, CEO Jagtar Singh Chaudhry sold 2,843 shares of the company’s stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total transaction of $656,221.26. Following the completion of the sale, the chief executive officer owned 347,857 shares of the company’s stock, valued at $80,292,352.74. This represents a 0.81% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Raj Judge sold 3,438 shares of Zscaler stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $230.82, for a total transaction of $793,559.16. Following the transaction, the executive vice president owned 70,394 shares in the company, valued at $16,248,343.08. This represents a 4.66% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 19,350 shares of company stock valued at $4,471,509 in the last 90 days. 17.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Zscaler

Large investors have recently made changes to their positions in the company. Binnacle Investments Inc purchased a new stake in shares of Zscaler during the 3rd quarter worth approximately $25,000. Tradewinds Capital Management LLC increased its position 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 during the last quarter. Root Financial Partners LLC purchased a new stake in Zscaler in the 3rd quarter worth about $26,000. McIlrath & Eck LLC bought a new stake in Zscaler in the third quarter worth about $29,000. Finally, AlphaCentric Advisors LLC purchased a new position in shares of Zscaler during the fourth quarter valued at approximately $29,000. 46.45% of the stock is owned by institutional investors.

Trending Headlines about Zscaler

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.