Zscaler’s (ZS) “Overweight” Rating Reiterated at Cantor Fitzgerald

Cantor Fitzgerald reiterated their overweight rating on shares of Zscaler (NASDAQ:ZS) in a research note issued to investors on Wednesday, Marketbeat Ratings reports. The firm currently has a $225.00 price target on the stock.

A number of other brokerages also recently commented on ZS. Barclays reduced their target price on shares of Zscaler from $180.00 to $170.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 27th. Evercore set a $155.00 price target on shares of Zscaler and gave the stock an “in-line” rating in a report on Wednesday, May 27th. BMO Capital Markets reduced their price target on shares of Zscaler from $210.00 to $178.00 and set an “outperform” rating on the stock in a research report on Wednesday, May 27th. Canaccord Genuity Group reaffirmed a “buy” rating and set a $210.00 price target on shares of Zscaler in a research report on Thursday, June 11th. Finally, UBS Group decreased their price objective on Zscaler from $260.00 to $225.00 and set a “buy” rating on the stock in a report on Wednesday, May 27th. Thirty-four analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $215.36.

Zscaler Stock Up 3.9%

Shares of ZS opened at $181.74 on Wednesday. Zscaler has a 52-week low of $114.63 and a 52-week high of $336.99. The company has a market capitalization of $29.39 billion, a PE ratio of -378.62, a price-to-earnings-growth ratio of 68.66 and a beta of 0.94. The stock has a fifty day simple moving average of $151.10 and a two-hundred day simple moving average of $150.54. The company has a quick ratio of 1.86, a current ratio of 1.86 and a debt-to-equity ratio of 0.72.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 earnings per share 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 firm had revenue of $850.48 million for the quarter, compared to analysts’ expectations of $835.14 million. During the same quarter in the previous year, the company posted $0.84 EPS. The company’s revenue was up 25.4% compared to the same quarter last year. Zscaler has set its Q4 2026 guidance at 1.080-1.090 EPS and its FY 2026 guidance at 4.100-4.110 EPS. As a group, equities analysts forecast that Zscaler will post 0.12 EPS for the current year.

Insider Transactions at Zscaler

In other news, insider Adam Geller sold 2,817 shares of Zscaler stock in a transaction on Monday, June 22nd. The stock was sold at an average price of $122.60, for a total value of $345,364.20. Following the completion of the sale, the insider directly owned 42,314 shares of the company’s stock, valued at approximately $5,187,696.40. The trade was a 6.24% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Robert Schlossman sold 3,146 shares of the business’s stock in a transaction on Tuesday, June 16th. The shares were sold at an average price of $126.43, for a total value of $397,748.78. Following the completion of the sale, the insider owned 69,366 shares in the company, valued at $8,769,943.38. This represents a 4.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders have sold 16,269 shares of company stock valued at $2,052,589. Corporate insiders own 17.20% of the company’s stock.

Hedge Funds Weigh In On Zscaler

Several institutional investors have recently bought and sold shares of the company. Kentucky Retirement Systems Insurance Trust Fund lifted its position in shares of Zscaler by 1.4% during the third quarter. Kentucky Retirement Systems Insurance Trust Fund now owns 2,569 shares of the company’s stock worth $770,000 after purchasing an additional 36 shares in the last quarter. Parallel Advisors LLC grew its holdings in shares of Zscaler by 10.9% in the third quarter. Parallel Advisors LLC now owns 397 shares of the company’s stock valued at $119,000 after purchasing an additional 39 shares in the last quarter. Smartleaf Asset Management LLC grew its holdings in shares of Zscaler by 7.5% in the second quarter. Smartleaf Asset Management LLC now owns 648 shares of the company’s stock valued at $204,000 after purchasing an additional 45 shares in the last quarter. Yousif Capital Management LLC increased its stake in Zscaler by 3.8% during the 4th quarter. Yousif Capital Management LLC now owns 1,326 shares of the company’s stock worth $274,000 after buying an additional 48 shares during the period. Finally, Larson Financial Group LLC increased its stake in Zscaler by 2.6% during the 3rd quarter. Larson Financial Group LLC now owns 2,040 shares of the company’s stock worth $611,000 after buying an additional 52 shares during the period. 46.45% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: KeyBanc raised its price target to $210 from a lower prior target, citing what it views as a valuation discount and potential for the cybersecurity company to regain investor confidence. KeyBanc upgrades Zscaler price target
• Positive Sentiment: Additional bullish analyst actions supported the stock. Mizuho lifted its price target to $210, Stifel Nicolaus raised its target to $200, and Cantor Fitzgerald assigned Zscaler an “Overweight” rating. The actions suggest Wall Street sees upside despite the stock’s sharp decline from its 52-week high. Mizuho raises Zscaler price target Stifel raises Zscaler price target Cantor Fitzgerald rates Zscaler Overweight
• Positive Sentiment: Rising AI-driven cyber threats reinforce demand for Zscaler’s platform. NTT DATA CEO Abhijit Dubey said frontier AI is making attacks more sophisticated, expanding the attack surface, and accelerating attacks to machine speed—an industry trend that could increase demand for cloud-based zero-trust security. AI and cybersecurity threats
• Positive Sentiment: Zscaler’s expanded Carahsoft partnership targets U.S. small and midsize businesses with standardized bundles, simpler pricing, and broader partner enablement. The initiative could diversify Zscaler’s customer base and create an additional growth channel beyond large enterprises. Zscaler and Carahsoft SMB partnership
• Negative Sentiment: AI-lab IPO speculation remains a risk to sentiment. Reports that Anthropic may pursue a massive public offering renewed concerns that investors could redirect capital from enterprise software stocks toward AI companies, contributing to recent pressure on Zscaler. Zscaler and AI IPO concerns

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.