North Star Asset Management Inc. Makes New Investment in Zscaler, Inc. $ZS

North Star Asset Management Inc. purchased a new stake in Zscaler, Inc. (NASDAQ:ZS) during the 2nd quarter, Holdings Channel reports. The fund purchased 38,306 shares of the company’s stock, valued at approximately $5,407,000.

Several other large investors have also modified their holdings of ZS. Binnacle Investments Inc acquired a new stake in Zscaler during the 3rd quarter valued at $25,000. AlphaCentric Advisors LLC purchased a new position in Zscaler during the fourth quarter worth $29,000. University of Texas Texas AM Investment Management Co. acquired a new position in shares of Zscaler in the fourth quarter worth $30,000. Mcguire Capital Advisors Inc. acquired a new position in Zscaler in the 4th quarter valued at about $32,000. Finally, Western Wealth Management LLC purchased a new position in shares of Zscaler during the first quarter valued at approximately $33,000. 46.45% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the company. KeyCorp increased their target price on Zscaler from $185.00 to $210.00 and gave the stock an “overweight” rating in a research report on Friday, August 21st. B. Riley Financial dropped their price objective on shares of Zscaler from $225.00 to $215.00 and set a “buy” rating for the company in a research report on Wednesday, May 27th. Weiss Ratings reissued a “sell (e+)” rating on shares of Zscaler in a research note on Tuesday, June 9th. Royal Bank Of Canada restated an “outperform” rating and set a $200.00 target price on shares of Zscaler in a report on Wednesday, June 10th. Finally, JPMorgan Chase & Co. upped their price target on shares of Zscaler from $205.00 to $215.00 and gave the stock an “overweight” rating in a research report on Wednesday. Thirty-four investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Zscaler has a consensus rating of “Moderate Buy” and a consensus target price of $216.18.

Trending Headlines about Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: A broad cybersecurity-sector re-rating lifted Zscaler and other previously underperforming security stocks. The First Trust NASDAQ Cybersecurity ETF also advanced strongly, suggesting investors are buying the group rather than focusing only on ZS. Cybersecurity sector re-rating
• Positive Sentiment: J.P. Morgan assigned Zscaler a “buy” or “overweight” view and raised its price target from $205 to $215. The higher target reinforces expectations for additional upside and was a direct bullish catalyst. J.P. Morgan upgrades Zscaler
• Positive Sentiment: Zscaler participated in Deep Cogito’s $43 million Series A financing. The investment provides exposure to a developer of self-improving AI models and supports Zscaler’s broader enterprise-AI positioning, although it is unlikely to materially affect near-term earnings. Deep Cogito financing
• Neutral Sentiment: Investors are awaiting Zscaler’s quarterly earnings announcement. The company previously exceeded consensus estimates for earnings and revenue, but the upcoming report must validate expectations for continued growth in cloud security and AI-related demand. Zscaler earnings announcement
• Negative Sentiment: Evercore placed Zscaler on its tactical “underperform” list ahead of results, indicating that valuation and elevated growth expectations could create downside risk if the earnings outlook disappoints. Evercore underperform view
• Negative Sentiment: CFO Kevin Rubin sold 503 shares worth approximately $87,210 under a pre-arranged Rule 10b5-1 plan. The sale reduced his holdings by about 1.2% and is a modest negative signal, though the planned nature and small size limit its significance. Zscaler CFO stock sale

Zscaler Price Performance

Shares of NASDAQ ZS opened at $187.30 on Friday. Zscaler, Inc. has a fifty-two week low of $114.63 and a fifty-two week high of $336.99. The company has a quick ratio of 1.86, a current ratio of 1.86 and a debt-to-equity ratio of 0.72. The firm has a market cap of $30.29 billion, a PE ratio of -390.20, a price-to-earnings-growth ratio of 100.24 and a beta of 0.94. The business has a 50 day moving average price of $155.00 and a two-hundred day moving average price of $150.13.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings results on Tuesday, May 26th. The company reported $1.08 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.01 by $0.07. The business had revenue of $850.48 million during the quarter, compared to analyst estimates of $835.14 million. Zscaler had a negative net margin of 2.44% and a negative return on equity of 0.37%. The business’s revenue was up 25.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.84 earnings per share. Sell-side analysts expect that Zscaler, Inc. will post 0.13 earnings per share for the current fiscal year.

Insider Transactions at Zscaler

In related news, CFO Kevin Rubin sold 503 shares of the company’s stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $173.38, for a total transaction of $87,210.14. Following the sale, the chief financial officer directly owned 40,895 shares of the company’s stock, valued at approximately $7,090,375.10. This represents a 1.22% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Adam Geller sold 2,817 shares of the stock in a transaction 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 sale, the insider directly owned 42,314 shares in the company, valued at $5,187,696.40. This trade represents a 6.24% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 16,772 shares of company stock valued at $2,139,799 over the last 90 days. Insiders own 17.20% of the company’s stock.

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.