Zscaler price target lowered to $195 from $200 at Loop Capital

Loop Capital lowered the firm’s price target on Zscaler (ZS) to $195 from $200 and keeps a Hold rating on the shares after its Q1 results and updated guidance. Facing the same macro headwinds as its peers and making significant changes to its sales motion, the company continues to show solid, steady execution, with its billings around new/upsells and unscheduled renewals growing at 20%, the analyst tells investors in a research note. Loop adds however that it remains wary of Zscaler’s current go-to-market transition that required revamping of its sales organization to better manage its business which is becoming more driven by upsells from its installed base.