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Zscaler (ZS)
NASDAQ:ZS
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Zscaler (ZS) Price & Analysis

9,519 Followers

ZS Stock Chart & Stats

$134.68
$2.40(1.31%)
At close: 4:00 PM EST
$134.68
$2.40(1.31%)

Bulls Say, Bears Say

Bulls Say
Rapid Revenue Scale With High Gross MarginsSustained, multi-year revenue expansion combined with ~77% gross margins indicates a scalable subscription economics model. Durable recurring ARR growth suggests broad enterprise adoption and room for upsell, supporting margin leverage and long-term cash conversion as the platform matures.
Robust Free Cash Flow And Improving Operating Cash GenerationConsistently rising operating cash flow and billion-dollar TTM free cash flow provide durable financial flexibility. Strong cash generation funds reinvestment, M&A and strategic partnerships without relying on equity financing, supporting long-term product investment and balance sheet resilience.
Platform Momentum: AI, Data Security, And Marketplace TractionGrowing AI and data-security offerings, plus marketplace and partner traction, bolster differentiation and cross-sell potential across large enterprise accounts. Strategic M&A (Symmetry) and alliances (Anthropic, OpenAI) strengthen technical moat and recurring revenue diversity over the medium term.
Bears Say
Continued GAAP Unprofitability And Negative ROEDespite margin improvement, GAAP losses and negative ROE persist, meaning accounting profitability hasn't matched cash strength. This gap can constrain investor confidence and implies the business must sustain growth or further operating leverage to convert strong cash flows into durable GAAP earnings.
Guidance Implies Material Growth DecelerationA multi-year growth slowdown to mid-teens ARR growth suggests tougher comps and slower net-new ARR trends. Structural deceleration pressures long-term revenue trajectory, requiring either higher retention/expansion rates or margin expansion to sustain shareholder return expectations over 2–3 years.
Rising CapEx And Supply-chain Driven Cost PressureHigher, persistent CapEx driven by AI/data infrastructure increases cash reinvestment needs and compresses free cash flow margins. Supply-driven price and availability pressure for memory/storage/processors can raise unit costs and slow deployment cadence, reducing near-to-medium-term cash conversion durability.

Zscaler News

ZS FAQ

What was Zscaler’s price range in the past 12 months?
Zscaler lowest stock price was $114.63 and its highest was $336.99 in the past 12 months.
    What is Zscaler’s market cap?
    Zscaler’s market cap is $24.25B.
      When is Zscaler’s upcoming earnings report date?
      Zscaler’s upcoming earnings report date is Sep 08, 2026 which is in 50 days.
        How were Zscaler’s earnings last quarter?
        Zscaler released its earnings results on May 26, 2026. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $1.01 by $0.07.
          Is Zscaler overvalued?
          According to Wall Street analysts Zscaler’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Zscaler pay dividends?
            Zscaler does not currently pay dividends.
            What is Zscaler’s EPS estimate?
            Zscaler’s EPS estimate is 1.09.
              How many shares outstanding does Zscaler have?
              Zscaler has 161,709,520 shares outstanding.
                What happened to Zscaler’s price movement after its last earnings report?
                Zscaler reported an EPS of $1.08 in its last earnings report, beating expectations of $1.01. Following the earnings report the stock price went down -31.522%.
                  Which hedge fund is a major shareholder of Zscaler?
                  Currently, no hedge funds are holding shares in ZS
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Zscaler

                    Globally recognized, Zscaler, Inc. functions as a leading provider of cloud-based security solutions. Its core offerings include Zscaler Internet Access (ZIA), which ensures secure connectivity for a diverse range of entities – including users, servers, operational technology (OT), and IoT devices – when accessing external resources like software-as-a-service (SaaS) applications and general internet destinations. Complementing this, the Zscaler Private Access (ZPA) solution facilitates secure entry to internal applications residing in private or public clouds and traditional data centers. Zscaler also delivers Zscaler Digital Experience (ZDX), a tool that assesses the complete user journey across various business applications. ZDX then generates a clear, digestible digital experience score for individual users, specific applications, and different locations within an organization. Furthermore, the company's portfolio extends to advanced workload segmentation solutions. This category includes Zscaler Cloud Security Posture Management (CSPM), designed to identify and correct application misconfigurations across SaaS, IaaS, and PaaS environments, thereby minimizing risk and upholding compliance standards. Another key offering is Zscaler Cloud Workload Segmentation, specifically engineered to fortify application-to-application communication within public clouds and data centers. Its objective is to thwart lateral threat propagation, safeguard applications from compromise, and ultimately mitigate the potential for data breaches. The underlying platform is built upon integral components such as the Zscaler Central Authority, Zscaler Enforcement Nodes, and Zscaler Log Servers. Serving a diverse global clientele, Zscaler caters to numerous sectors including aviation and transportation, conglomerates, consumer goods and retail, financial services, healthcare, manufacturing, media and communications, public sector and education, as well as technology and telecommunications. Founded in 2007, the company initially operated as SafeChannel, Inc., before rebranding to Zscaler, Inc. in August 2008. Its corporate headquarters are located in San Jose, California.

                    Zscaler (ZS) Earnings & Revenues

                    ZS Stock 12 Month Forecast

                    Average Price Target

                    $196.76
                    ▲(46.10% Upside)
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                    Ownership Overview

                    17.11%14.31%0.43%50.91%
                    17.11% Insiders
                    0.43% Other Institutional Investors
                    50.91% Public Companies and Individual Investors
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