Key Points
- Zscaler CFO Kevin Rubin sold 503 shares for approximately $87,210 under a pre-arranged Rule 10b5-1 trading plan, reducing his direct holdings by about 1.2% to 40,895 shares.
- Zscaler recently beat quarterly expectations, reporting $1.08 in adjusted EPS and $850.48 million in revenue, up 25.4% year over year.
- Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $216.18, although some firms have flagged downside risks ahead of results.
Zscaler, Inc. (NASDAQ:ZS - Get Free Report) CFO Kevin Rubin sold 503 shares of Zscaler stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $173.38, for a total value of $87,210.14. Following the sale, the chief financial officer directly owned 40,895 shares of the company's stock, valued at approximately $7,090,375.10. This trade represents a 1.22% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Kevin Rubin also recently made the following trade(s):
- On Monday, July 27th, Kevin Rubin sold 503 shares of Zscaler stock. The stock was sold at an average price of $147.12, for a total value of $74,001.36.
- On Thursday, June 25th, Kevin Rubin sold 3,000 shares of Zscaler stock. The shares were sold at an average price of $124.22, for a total value of $372,660.00.
- On Tuesday, June 16th, Kevin Rubin sold 1,686 shares of Zscaler stock. The shares were sold at an average price of $126.43, for a total value of $213,160.98.
Zscaler Stock Up 1.1%
NASDAQ:ZS opened at $170.31 on Thursday. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.86 and a quick ratio of 1.86. Zscaler, Inc. has a 1-year low of $114.63 and a 1-year high of $336.99. The company has a 50-day moving average of $153.75 and a 200 day moving average of $149.99. The firm has a market cap of $27.54 billion, a PE ratio of -354.81, a price-to-earnings-growth ratio of 99.13 and a beta of 0.94.
Zscaler (NASDAQ:ZS - Get Free Report) last posted its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 EPS for the quarter, beating the consensus estimate of $1.01 by $0.07. Zscaler had a negative net margin of 2.44% and a negative return on equity of 0.37%. The business had revenue of $850.48 million during the quarter, compared to analyst estimates of $835.14 million. During the same quarter in the previous year, the business posted $0.84 EPS. The company's quarterly revenue was up 25.4% compared to the same quarter last year. As a group, research analysts anticipate that Zscaler, Inc. will post 0.13 EPS for the current fiscal year.
Wall Street Analysts Forecast Growth
A number of research firms have weighed in on ZS. Citigroup restated a "market outperform" rating on shares of Zscaler in a report on Wednesday, May 27th. Wedbush reissued an "outperform" rating and issued a $220.00 price target on shares of Zscaler in a research report on Wednesday, June 10th. Wolfe Research restated an "outperform" rating and set a $150.00 price objective on shares of Zscaler in a research note on Thursday, June 11th. UBS Group dropped their price objective on Zscaler from $260.00 to $225.00 and set a "buy" rating on the stock in a research report on Wednesday, May 27th. Finally, Deutsche Bank Aktiengesellschaft cut their target price on Zscaler from $185.00 to $175.00 and set a "buy" rating on the stock in a research note on Wednesday, May 27th. Thirty-four analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $216.18.
Get Our Latest Report on Zscaler
Zscaler News Roundup
Here are the key news stories impacting Zscaler this week:
- Positive Sentiment: JPMorgan raised its price target on Zscaler (ZS) from $205 to $215 and maintained an “overweight” rating, signaling confidence in the company’s growth outlook and providing a favorable catalyst for the stock. JPMorgan raises Zscaler price target
- Positive Sentiment: Guggenheim reaffirmed its “buy” rating on Zscaler, adding to the constructive analyst sentiment surrounding the cybersecurity software provider ahead of earnings. Guggenheim reaffirms buy rating
- Positive Sentiment: Zscaler participated in Deep Cogito’s $43 million Series A financing. The investment gives Zscaler exposure to a startup developing self-improving AI models and may support its broader positioning in enterprise artificial intelligence, although the deal is unlikely to materially affect near-term financial results. Deep Cogito raises Series A
- Neutral Sentiment: Recent coverage noted that ZS outperformed the broader market during the latest session, while its previous quarter included an earnings and revenue beat. Investors are now focused on whether that momentum continued into the upcoming report. Zscaler market performance analysis
- Negative Sentiment: Evercore added Zscaler to its tactical “underperform” list ahead of the results, highlighting downside risk if expectations for cybersecurity and AI-driven growth prove too aggressive. Analyst opinions on ZS remain mixed. Evercore adds Zscaler to underperform list
- Negative Sentiment: CFO Kevin Rubin sold 503 shares under a pre-arranged Rule 10b5-1 trading plan. The relatively small transaction reduced his holdings by about 1.2%, so it is a modest sentiment concern rather than a strong indication of weakening fundamentals. Zscaler CFO stock sale
Institutional Inflows and Outflows
Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. California State Teachers Retirement System raised its holdings in shares of Zscaler by 13,837.9% in the second quarter. California State Teachers Retirement System now owns 19,388,787 shares of the company's stock worth $2,736,727,000 after buying an additional 19,249,679 shares during the last quarter. BlackRock Inc. purchased a new stake in shares of Zscaler during the second quarter valued at $1,396,028,000. First Trust Advisors LP grew its holdings in shares of Zscaler by 36.2% during the first quarter. First Trust Advisors LP now owns 3,518,678 shares of the company's stock valued at $493,635,000 after buying an additional 935,781 shares during the last quarter. Price T Rowe Associates Inc. MD increased its position in shares of Zscaler by 43.3% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,572,358 shares of the company's stock valued at $578,576,000 after acquiring an additional 777,414 shares during the period. Finally, AQR Capital Management LLC raised its stake in Zscaler by 61.8% in the 3rd quarter. AQR Capital Management LLC now owns 1,941,571 shares of the company's stock worth $576,083,000 after acquiring an additional 741,756 shares during the last quarter. 46.45% of the stock is currently owned by hedge funds and other institutional investors.
Zscaler Company Profile
(
Get Free Report)
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.
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