Oppenheimer Issues Pessimistic Forecast for Zscaler (NASDAQ:ZS) Stock Price

Zscaler (NASDAQ:ZS) had its price target lowered by research analysts at Oppenheimer from $280.00 to $250.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Oppenheimer’s price target points to a potential upside of 58.97% from the stock’s previous close.

A number of other equities research analysts also recently weighed in on the company. Morgan Stanley decreased their target price on Zscaler from $305.00 to $200.00 and set an “overweight” rating on the stock in a research report on Friday, February 27th. Capital One Financial set a $320.00 target price on shares of Zscaler and gave the stock an “overweight” rating in a research report on Wednesday, November 26th. Citizens Jmp reduced their price objective on Zscaler from $355.00 to $290.00 and set a “market outperform” rating on the stock in a research note on Friday, February 27th. Needham & Company LLC lowered their price target on shares of Zscaler from $310.00 to $180.00 and set a “buy” rating for the company in a report on Friday, February 27th. Finally, Zacks Research lowered Zscaler from a “hold” rating to a “strong sell” rating in a research report on Thursday, February 26th. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, six have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $267.13.

Zscaler Stock Down 3.3%

Zscaler stock traded down $5.36 during mid-day trading on Tuesday, hitting $157.26. The company’s stock had a trading volume of 943,931 shares, compared to its average volume of 2,689,607. Zscaler has a 52-week low of $140.56 and a 52-week high of $336.99. The company has a debt-to-equity ratio of 0.78, a current ratio of 1.90 and a quick ratio of 1.90. The company has a market cap of $25.29 billion, a PE ratio of -374.57 and a beta of 1.07. The firm’s 50 day moving average is $190.32 and its 200 day moving average is $250.01.

Zscaler (NASDAQ:ZS) last announced its quarterly earnings results on Thursday, February 26th. The company reported $1.01 EPS for the quarter, beating the consensus estimate of $0.89 by $0.12. The business had revenue of $815.75 million during the quarter, compared to analysts’ expectations of $798.92 million. Zscaler had a positive return on equity of 0.06% and a negative net margin of 2.25%.The firm’s quarterly revenue was up 25.9% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.78 EPS. 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 anticipate that Zscaler will post -0.1 earnings per share for the current year.

Insider Activity at Zscaler

In other news, CEO Jagtar Singh Chaudhry sold 2,843 shares of the company’s stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total value of $656,221.26. Following the transaction, the chief executive officer owned 347,857 shares in the company, valued at approximately $80,292,352.74. This represents a 0.81% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CFO Kevin Rubin sold 3,303 shares of the firm’s stock in a transaction dated Tuesday, December 16th. The stock was sold at an average price of $230.82, for a total value of $762,398.46. Following the completion of the transaction, the chief financial officer directly owned 48,161 shares in the company, valued at $11,116,522.02. The trade was a 6.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 19,350 shares of company stock worth $4,471,509 in the last 90 days. Corporate insiders own 17.20% of the company’s stock.

Institutional Investors Weigh In On Zscaler

Several large investors have recently made changes to their positions in the company. Bessemer Group Inc. grew its stake in shares of Zscaler by 3.2% in the 3rd quarter. Bessemer Group Inc. now owns 1,021 shares of the company’s stock valued at $306,000 after purchasing an additional 32 shares during the last quarter. Cox Capital Mgt LLC raised its position in shares of Zscaler by 0.6% during the 3rd quarter. Cox Capital Mgt LLC now owns 5,576 shares of the company’s stock worth $1,671,000 after purchasing an additional 33 shares during the last quarter. Brookstone Capital Management raised its holdings in shares of Zscaler by 3.7% in the third quarter. Brookstone Capital Management now owns 936 shares of the company’s stock worth $280,000 after acquiring an additional 33 shares during the last quarter. Wedbush Securities Inc. boosted its stake in shares of Zscaler by 0.7% during the third quarter. Wedbush Securities Inc. now owns 5,129 shares of the company’s stock valued at $1,537,000 after acquiring an additional 34 shares during the last quarter. Finally, Goldstream Capital Management Ltd grew its holdings in shares of Zscaler by 0.3% during the third quarter. Goldstream Capital Management Ltd now owns 12,450 shares of the company’s stock worth $3,731,000 after buying an additional 34 shares in the last quarter. 46.45% of the stock is owned by institutional investors.

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.