Zscaler, Inc. $ZS Shares Sold by Rheos Capital Works Inc.

Rheos Capital Works Inc. reduced its position in Zscaler, Inc. (NASDAQ:ZS) by 13.2% during the 3rd quarter, HoldingsChannel reports. The institutional investor owned 79,000 shares of the company’s stock after selling 12,000 shares during the period. Rheos Capital Works Inc.’s holdings in Zscaler were worth $23,673,000 at the end of the most recent quarter.

Several other large investors have also made changes to their positions in the company. Vanguard Group Inc. grew its position in Zscaler by 8.3% during the second quarter. Vanguard Group Inc. now owns 10,715,132 shares of the company’s stock valued at $3,363,909,000 after acquiring an additional 824,626 shares during the period. Geode Capital Management LLC raised its holdings in shares of Zscaler by 6.0% in the 2nd quarter. Geode Capital Management LLC now owns 1,866,329 shares of the company’s stock worth $584,160,000 after purchasing an additional 105,318 shares during the period. AQR Capital Management LLC lifted its stake in shares of Zscaler by 0.7% in the 2nd quarter. AQR Capital Management LLC now owns 1,199,815 shares of the company’s stock valued at $371,823,000 after purchasing an additional 7,885 shares in the last quarter. Federated Hermes Inc. grew its holdings in shares of Zscaler by 314.0% during the 2nd quarter. Federated Hermes Inc. now owns 1,171,983 shares of the company’s stock worth $367,932,000 after purchasing an additional 888,888 shares during the period. Finally, Legal & General Group Plc grew its holdings in shares of Zscaler by 2.0% during the 2nd quarter. Legal & General Group Plc now owns 607,899 shares of the company’s stock worth $190,844,000 after purchasing an additional 11,676 shares during the period. 46.45% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at Zscaler

In other Zscaler news, insider Robert Schlossman sold 2,349 shares of the firm’s stock in a transaction that occurred on Wednesday, December 17th. The stock was sold at an average price of $232.79, for a total transaction of $546,823.71. Following the completion of 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 position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director James A. Beer sold 653 shares of Zscaler stock in a transaction that occurred on Friday, January 2nd. The stock was sold at an average price of $226.72, for a total value of $148,048.16. Following the sale, the director owned 3,485 shares in the company, 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. In the last 90 days, insiders sold 22,550 shares of company stock valued at $5,511,509. Company insiders own 17.20% of the company’s stock.

Zscaler Price Performance

Shares of ZS stock opened at $222.03 on Wednesday. The company has a market capitalization of $35.41 billion, a PE ratio of -853.93, a price-to-earnings-growth ratio of 4,271.41 and a beta of 1.02. The firm has a fifty day simple moving average of $264.85 and a 200-day simple moving average of $282.73. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.86. Zscaler, Inc. has a twelve month low of $164.78 and a twelve month high of $336.99.

Zscaler (NASDAQ:ZS) last released 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. 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 for the quarter, compared to the consensus estimate of $773.86 million. During the same quarter in the previous year, the firm posted $0.77 EPS. The firm’s quarterly 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. Equities research analysts anticipate that Zscaler, Inc. will post -0.1 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

ZS has been the topic of several research reports. Piper Sandler cut their price target on shares of Zscaler from $280.00 to $260.00 and set a “neutral” rating on the stock in a report on Monday. Wedbush increased their price objective on shares of Zscaler from $330.00 to $350.00 and gave the stock an “outperform” rating in a research report on Monday, November 10th. Scotiabank cut their target price on shares of Zscaler from $334.00 to $320.00 and set a “sector outperform” rating on the stock in a research note on Wednesday, November 26th. Cantor Fitzgerald restated an “overweight” rating on shares of Zscaler in a report on Wednesday, November 26th. Finally, Royal Bank Of Canada decreased their price target on shares of Zscaler from $366.00 to $290.00 and set an “outperform” rating for the company in a research report on Monday. One investment analyst has rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $320.13.

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.