Zscaler (NASDAQ:ZS) Director Sells $27,174.81 in Stock

Zscaler, Inc. (NASDAQ:ZS) Director James Beer sold 177 shares of the firm’s stock in a transaction on Wednesday, March 18th. The stock was sold at an average price of $153.53, for a total value of $27,174.81. Following the transaction, the director directly owned 4,384 shares of the company’s stock, valued at approximately $673,075.52. This represents a 3.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website.

Zscaler Trading Down 2.5%

NASDAQ ZS opened at $151.47 on Friday. The firm has a market capitalization of $24.35 billion, a PE ratio of -360.64 and a beta of 1.07. The business’s 50-day moving average price is $177.87 and its two-hundred day moving average price is $242.64. The company has a current ratio of 1.90, a quick ratio of 1.90 and a debt-to-equity ratio of 0.78. Zscaler, Inc. has a 12 month low of $140.56 and a 12 month high of $336.99.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings data on Thursday, February 26th. The company reported $1.01 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.89 by $0.12. Zscaler had a positive return on equity of 0.06% and a negative net margin of 2.25%.The company had revenue of $815.75 million during the quarter, compared to the consensus estimate of $798.92 million. During the same period last year, the company earned $0.78 earnings per share. The firm’s revenue was up 25.9% compared to the same quarter last year. Zscaler has set its Q3 2026 guidance at 1.000-1.010 EPS and its FY 2026 guidance at 3.990-4.020 EPS. On average, analysts expect that Zscaler, Inc. will post -0.1 EPS for the current year.

Zscaler News Roundup

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler will establish a global headquarters in Santa Clara, signaling long?term commitment and capacity to scale operations and hiring in a core tech market. Zscaler to establish global headquarters in Santa Clara
• Positive Sentiment: Commercial/product wins: Zscaler launched an AI & Cyber Threat Research Center with Bharti Airtel and expanded global data?sovereignty controls on its Zero Trust Exchange — moves that help win regulated and APAC customers and support ARR growth. Partnership with Bharti Airtel Data sovereignty expansion
• Neutral Sentiment: Fundamentals: Zscaler beat February quarterly EPS and revenue estimates and provided FY/Q guidance that kept investors focused on growth vs. margin tradeoffs (guidance supports recurring revenue visibility but AI investments may pressure margins). Company overview & latest results
• Negative Sentiment: Unusually heavy put?option activity — about 47,656 puts traded (~74% above average), indicating elevated bearish positioning and the potential for amplified downside volatility. Options trading alert
• Negative Sentiment: Clustered insider selling — multiple Form 4s show CEO, CFO, EVP and other senior insiders sold stock mid?March. Collectively these sales are being read as a near?term negative signal, even if for liquidity/tax reasons. SEC insider filing (example)
• Negative Sentiment: Analyst pressure and competition — recent price?target trims (Oppenheimer, BMO, Needham, Piper) and comparisons to CrowdStrike highlight faster ARR/margin momentum at some peers and growing margin pressure from Zscaler’s newer AI offerings, weighing on valuation. Price target coverage Competitive comparison

Institutional Investors Weigh In On Zscaler

Several hedge funds and other institutional investors have recently modified their holdings of the company. Integrated Wealth Concepts LLC grew its position in Zscaler by 19.9% in the 1st quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company’s stock valued at $285,000 after purchasing an additional 239 shares during the period. NewEdge Advisors LLC lifted its stake in shares of Zscaler by 8.2% in the first quarter. NewEdge Advisors LLC now owns 4,899 shares of the company’s stock valued at $972,000 after buying an additional 370 shares in the last quarter. Empowered Funds LLC grew its holdings in shares of Zscaler by 9.2% during the first quarter. Empowered Funds LLC now owns 2,811 shares of the company’s stock valued at $558,000 after buying an additional 238 shares during the last quarter. Sivia Capital Partners LLC bought a new stake in shares of Zscaler during the second quarter worth about $252,000. Finally, Kingsview Wealth Management LLC increased its position in shares of Zscaler by 24.3% during the second quarter. Kingsview Wealth Management LLC now owns 3,740 shares of the company’s stock worth $1,174,000 after acquiring an additional 731 shares in the last quarter. Institutional investors own 46.45% of the company’s stock.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on ZS shares. The Goldman Sachs Group decreased their price objective on shares of Zscaler from $290.00 to $257.00 and set a “neutral” rating for the company in a research report on Monday, March 2nd. Berenberg Bank cut their price target on shares of Zscaler from $390.00 to $320.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Mizuho decreased their price target on Zscaler from $265.00 to $250.00 and set an “outperform” rating for the company in a report on Friday, February 27th. Morgan Stanley lowered their price objective on Zscaler from $305.00 to $200.00 and set an “overweight” rating for the company in a research report on Friday, February 27th. Finally, Needham & Company LLC cut their target price on Zscaler from $310.00 to $180.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Two analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, six have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, Zscaler has an average rating of “Moderate Buy” and a consensus price target of $267.13.

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.