Zscaler (NASDAQ:ZS) Price Target Cut to $320.00 by Analysts at Berenberg Bank

Zscaler (NASDAQ:ZS) had its price target decreased by equities research analysts at Berenberg Bank from $390.00 to $320.00 in a research report issued to clients and investors on Friday,MarketScreener reports. The brokerage presently has a “buy” rating on the stock. Berenberg Bank’s price objective indicates a potential upside of 123.87% from the stock’s current price.

ZS has been the topic of a number of other reports. Citigroup lowered their target price on Zscaler from $350.00 to $305.00 and set a “buy” rating on the stock in a research report on Tuesday, January 13th. TD Cowen lowered their price objective on shares of Zscaler from $330.00 to $260.00 and set a “buy” rating on the stock in a report on Tuesday. UBS Group dropped their price objective on shares of Zscaler from $350.00 to $340.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. Piper Sandler decreased their target price on shares of Zscaler from $260.00 to $185.00 and set a “neutral” rating for the company in a research report on Friday. Finally, Needham & Company LLC lowered their target price on shares of Zscaler from $310.00 to $180.00 and set a “buy” rating on the stock in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $279.37.

Zscaler Trading Down 14.6%

Shares of NASDAQ ZS traded down $24.42 during midday trading on Friday, reaching $142.94. The stock had a trading volume of 1,515,619 shares, compared to its average volume of 2,451,177. The company’s 50 day moving average price is $200.63 and its 200 day moving average price is $256.06. The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.82 and a current ratio of 1.82. Zscaler has a twelve month low of $141.56 and a twelve month high of $336.99. The firm has a market cap of $22.80 billion, a price-to-earnings ratio of -552.75, a price-to-earnings-growth ratio of 317.40 and a beta of 1.02.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings results 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 firm had revenue of $815.75 million for the quarter, compared to analyst estimates of $798.92 million. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.The company’s revenue was up 25.9% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.78 earnings per share. Zscaler has set its Q3 2026 guidance at 1.000-1.010 EPS and its FY 2026 guidance at 3.990-4.020 EPS. As a group, sell-side analysts expect that Zscaler will post -0.1 EPS for the current year.

Insider Activity

In other news, EVP Raj Judge sold 3,438 shares of the 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 completion of the transaction, the executive vice president owned 70,394 shares in the company, valued at approximately $16,248,343.08. This represents a 4.66% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Adam Geller sold 2,060 shares of the business’s stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total value of $475,489.20. Following the completion of the sale, the insider owned 52,148 shares in the company, valued at $12,036,801.36. This represents a 3.80% 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 worth $4,471,509. 17.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Zscaler

Institutional investors and hedge funds have recently modified their holdings of the company. Groupama Asset Managment boosted its holdings in shares of Zscaler by 76,352.6% during the third quarter. Groupama Asset Managment now owns 4,750,000 shares of the company’s stock worth $1,423,385,000 after purchasing an additional 4,743,787 shares during the period. Federated Hermes Inc. grew its position in shares of Zscaler by 314.0% in the 2nd quarter. Federated Hermes Inc. now owns 1,171,983 shares of the company’s stock worth $367,932,000 after buying an additional 888,888 shares during the period. Vanguard Group Inc. increased its stake in shares of Zscaler by 8.3% in the 2nd quarter. Vanguard Group Inc. now owns 10,715,132 shares of the company’s stock worth $3,363,909,000 after acquiring an additional 824,626 shares in the last quarter. Price T Rowe Associates Inc. MD boosted its stake in Zscaler by 43.3% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 2,572,358 shares of the company’s stock worth $578,576,000 after acquiring an additional 777,414 shares in the last quarter. Finally, AQR Capital Management LLC grew its holdings in Zscaler by 61.8% in the third quarter. AQR Capital Management LLC now owns 1,941,571 shares of the company’s stock worth $576,083,000 after purchasing an additional 741,756 shares during the period. 46.45% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler reported Q2 results that beat consensus on revenue and adjusted EPS, with revenue up ~26% year-over-year and ARR growth of ~25%; management raised fiscal ARR guidance and lifted FY/Q3 EPS outlook—evidence of continued demand and improving profitability metrics. Zscaler Q2 Earnings Surpass Estimates
• Positive Sentiment: Zscaler expanded its footprint in India with an AI & Cyber Threat Research Center in partnership with Bharti Airtel — a strategic move to boost product development, local sales motion and presence in a large growth market. Zscaler Airtel AI Cyber Center Opens
• Neutral Sentiment: Earnings-call commentary highlighted strong demand for Zscaler’s AI security offerings and platform, but management also discussed acquisition-related churn and competitive pressure — useful color for determining whether ARR momentum is sustainable. Q2 2026 Earnings Call Transcript
• Negative Sentiment: Despite beats, shares fell after the quarter because Zscaler reported a wider GAAP net loss driven by higher sales, marketing and R&D spending and investors reacted to softer/uncertain revenue guidance in parts — a classic beat-but-disappoint reaction when margins or cash metrics worsen. Zscaler posts wider quarterly loss
• Negative Sentiment: Several sell-side analysts cut price targets (Needham, Piper Sandler) or updated ratings after the print, narrowing upside and signaling reduced near-term enthusiasm; that analyst revision activity is pressuring the stock. Analyst Price Target Changes (Benzinga)

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.