Quantbot Technologies LP Buys New Stake in Zscaler, Inc. $ZS

Quantbot Technologies LP bought a new stake in Zscaler, Inc. (NASDAQ:ZS) in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm bought 17,865 shares of the company’s stock, valued at approximately $2,522,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. Kentucky Retirement Systems Insurance Trust Fund increased 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 boosted its position in shares of Zscaler by 10.9% in the 3rd quarter. Parallel Advisors LLC now owns 397 shares of the company’s stock worth $119,000 after purchasing an additional 39 shares in the last quarter. Smartleaf Asset Management LLC boosted its position in shares of Zscaler by 7.5% in the 2nd quarter. Smartleaf Asset Management LLC now owns 648 shares of the company’s stock worth $204,000 after purchasing an additional 45 shares in the last quarter. Larson Financial Group LLC grew 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 last quarter. Finally, Crossmark Global Holdings Inc. grew its stake in Zscaler by 6.1% during the 3rd quarter. Crossmark Global Holdings Inc. now owns 976 shares of the company’s stock worth $292,000 after buying an additional 56 shares during the last quarter. 46.45% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on ZS. Zacks Research raised Zscaler from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 27th. The Goldman Sachs Group restated a “neutral” rating and set a $179.00 price target on shares of Zscaler in a research note on Wednesday, May 27th. Truist Financial set a $210.00 price target on Zscaler in a research note on Wednesday, May 27th. Stephens restated an “overweight” rating and set a $200.00 price objective on shares of Zscaler in a report on Friday, June 12th. Finally, Sanford C. Bernstein decreased their price objective on shares of Zscaler from $228.00 to $224.00 and set an “outperform” rating for the company in a research report on Wednesday, May 27th. Thirty-four equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $215.36.

Insider Transactions at Zscaler

In related news, CEO Jagtar Singh Chaudhry sold 2,878 shares of the company’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $126.43, for a total value of $363,865.54. Following the sale, the chief executive officer owned 343,038 shares in the company, valued at $43,370,294.34. This represents a 0.83% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Adam Geller sold 2,817 shares of the stock in a transaction that occurred on Monday, June 22nd. The stock was sold at an average price of $122.60, for a total transaction of $345,364.20. Following the completion of the transaction, the insider owned 42,314 shares in the company, valued at approximately $5,187,696.40. This trade represents a 6.24% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 16,269 shares of company stock worth $2,052,589. 17.20% of the stock is owned by company insiders.

Zscaler News Summary

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 Stock Performance

Shares of ZS stock opened at $181.74 on Monday. The business has a fifty day moving average of $151.10 and a 200 day moving average of $150.19. Zscaler, Inc. has a 1 year low of $114.63 and a 1 year high of $336.99. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.86 and a quick ratio of 1.86. The firm has a market capitalization of $29.39 billion, a price-to-earnings ratio of -378.62, a price-to-earnings-growth ratio of 106.97 and a beta of 0.94.

Zscaler (NASDAQ:ZS) last posted 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. The business had revenue of $850.48 million for the quarter, compared to the consensus estimate of $835.14 million. Zscaler had a negative return on equity of 0.37% and a negative net margin of 2.44%.The company’s quarterly revenue was up 25.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.84 EPS. 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, research analysts expect that Zscaler, Inc. will post 0.13 earnings per share for the current year.

Zscaler 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.