Zscaler, Inc. (NASDAQ:ZS) Stock Has Average Price Target of $219.78

Shares of Zscaler, Inc. (NASDAQ:ZS) have earned an average recommendation of “Moderate Buy” from the forty-three research firms that are presently covering the firm, Marketbeat reports. One research analyst has rated the stock with a sell rating, seven have given a hold rating and thirty-five have issued a buy rating on the company. The average 1-year price objective among brokers that have covered the stock in the last year is $238.07.

Several analysts recently issued reports on the stock. BTIG Research restated a “neutral” rating on shares of Zscaler in a report on Wednesday. Wells Fargo & Company lifted their price target on shares of Zscaler from $215.00 to $260.00 and gave the company an “overweight” rating in a research report on Wednesday. Royal Bank Of Canada reiterated an “outperform” rating and set a $236.00 price target on shares of Zscaler in a research report on Wednesday. Cantor Fitzgerald boosted their price target on shares of Zscaler from $225.00 to $275.00 and gave the company an “overweight” rating in a research note on Wednesday. Finally, Needham & Company LLC upped their price objective on shares of Zscaler from $215.00 to $255.00 and gave the stock a “buy” rating in a report on Wednesday.

Key Zscaler News

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Multiple analysts raised their price targets following investor day. Cantor Fitzgerald lifted its target to $275, Robert W. Baird to $285, Needham to $255, UBS, Truist and BNP Paribas Exane to $250, JPMorgan to $245, and Wedbush to $240. The upgrades reflect confidence in AI-security demand, cross-selling opportunities and new customer entry points. Wall Street sees 29% upside for Zscaler as eight firms raise price targets
• Positive Sentiment: Zscaler presented AI security as a significant demand catalyst, as enterprises seek protection from AI-agent-driven attacks. Analysts also cited expanding sales capacity, stronger new-customer acquisition and the potential for broader platform adoption. Zscaler Stock Jumps as AI Drives Demand for Zero Trust Platform
• Positive Sentiment: A new partnership with IBM and Red Hat will combine Zscaler’s Autonomous Application Shield with remediation tools to protect private applications during active vulnerability windows. The arrangement could strengthen Zscaler’s enterprise reach and product positioning. Zscaler unveils new private app security partnership
• Neutral Sentiment: Jefferies said the reaffirmed fiscal 2027 outlook supports near-term confidence, but considers management’s $10 billion fiscal 2031 annual recurring revenue target ambitious. Execution and sustained growth will be necessary to justify the long-term valuation. Zscaler’s $10 billion long-term ARR target looks ambitious
• Negative Sentiment: Analyst sentiment is not unanimous. Morgan Stanley maintained an equal-weight rating with a $185 target, below the current trading level, while BTIG reaffirmed its neutral rating. In addition, Pomerantz announced an investigation into potential investor claims, creating a modest headline risk. Pomerantz investor alert

Zscaler Price Performance

ZS stock opened at $213.55 on Monday. The business has a fifty day moving average of $183.14 and a two-hundred day moving average of $156.23. The company has a quick ratio of 1.70, a current ratio of 1.70 and a debt-to-equity ratio of 0.65. The stock has a market cap of $34.82 billion, a price-to-earnings ratio of -547.56, a price-to-earnings-growth ratio of 22.12 and a beta of 0.94. Zscaler has a 52-week low of $114.63 and a 52-week high of $336.99.

Zscaler (NASDAQ:ZS) last posted its earnings results on Thursday, September 3rd. The company reported $1.19 EPS for the quarter, beating analysts’ consensus estimates of $1.09 by $0.10. The company had revenue of $898.19 million for the quarter, compared to the consensus estimate of $876.96 million. Zscaler had a positive return on equity of 1.23% and a negative net margin of 1.88%.The company’s revenue for the quarter was up 24.9% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.89 earnings per share. Zscaler has set its FY 2027 guidance at 4.860-4.900 EPS and its Q1 2027 guidance at 1.150-1.160 EPS. As a group, research analysts anticipate that Zscaler will post 0.7 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Robert Schlossman sold 5,394 shares of the firm’s stock in a transaction on Monday, September 21st. The stock was sold at an average price of $200.00, for a total transaction of $1,078,800.00. Following the completion of the transaction, the insider directly owned 61,525 shares in the company, valued at $12,305,000. This trade represents a 8.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James A. Beer sold 177 shares of Zscaler stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $192.01, for a total value of $33,985.77. Following the completion of the sale, the director directly owned 4,030 shares of the company’s stock, valued at $773,800.30. The trade was a 4.21% 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 29,053 shares of company stock valued at $5,610,165 over the last quarter. 17.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Zscaler

Several hedge funds have recently bought and sold shares of ZS. Elevation Wealth Partners LLC grew its position in Zscaler by 84.3% in the 3rd quarter. Elevation Wealth Partners LLC now owns 153 shares of the company’s stock valued at $31,000 after acquiring an additional 70 shares in the last quarter. Bangor Savings Bank lifted its position in shares of Zscaler by 2.0% during the third quarter. Bangor Savings Bank now owns 8,273 shares of the company’s stock worth $1,650,000 after purchasing an additional 165 shares in the last quarter. Moody National Bank Trust Division lifted its position in shares of Zscaler by 57.8% during the third quarter. Moody National Bank Trust Division now owns 3,091 shares of the company’s stock worth $616,000 after purchasing an additional 1,132 shares in the last quarter. CX Institutional lifted its position in shares of Zscaler by 15.9% during the third quarter. CX Institutional now owns 611 shares of the company’s stock worth $122,000 after purchasing an additional 84 shares in the last quarter. Finally, Versant Capital Management Inc boosted its stake in shares of Zscaler by 45.6% in the third quarter. Versant Capital Management Inc now owns 230 shares of the company’s stock valued at $46,000 after purchasing an additional 72 shares during the period. Institutional investors and hedge funds own 46.45% of the company’s stock.

About Zscaler

Zscaler, Inc is a cloud-based cybersecurity company that provides security services designed to help organizations connect users, applications, devices and workloads securely. Its platform is built around a zero-trust security model, which verifies access based on identity, context and policy rather than relying primarily on traditional network perimeters.

The company’s offerings include Zscaler Internet Access, which helps secure internet and software-as-a-service access, and Zscaler Private Access, which provides controlled access to private applications without extending an organization’s network to remote users.