Zscaler, Inc. $ZS Stake Lifted by Y Intercept Hong Kong Ltd

Y Intercept Hong Kong Ltd increased its stake in Zscaler, Inc. (NASDAQ:ZS) by 252.3% in the 4th quarter, HoldingsChannel reports. The fund owned 46,963 shares of the company’s stock after acquiring an additional 33,631 shares during the period. Y Intercept Hong Kong Ltd’s holdings in Zscaler were worth $10,563,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also made changes to their positions in ZS. Integrated Wealth Concepts LLC boosted its holdings in shares of Zscaler by 19.9% in the first quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company’s stock valued at $285,000 after acquiring an additional 239 shares in the last quarter. NewEdge Advisors LLC boosted its holdings in shares of Zscaler by 8.2% in the first quarter. NewEdge Advisors LLC now owns 4,899 shares of the company’s stock valued at $972,000 after acquiring an additional 370 shares in the last quarter. Empowered Funds LLC boosted its holdings in shares of Zscaler by 9.2% in the first quarter. Empowered Funds LLC now owns 2,811 shares of the company’s stock valued at $558,000 after acquiring an additional 238 shares in the last quarter. Sivia Capital Partners LLC bought a new position in shares of Zscaler in the second quarter valued at approximately $252,000. Finally, Jump Financial LLC bought a new position in shares of Zscaler in the second quarter valued at approximately $3,019,000. 46.45% of the stock is currently owned by institutional investors.

Zscaler News Roundup

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Stephens reaffirmed Overweight on Zscaler and set a $200 price target, implying substantial upside from current levels.
• Positive Sentiment: Canaccord Genuity also reiterated Buy and raised its target to $210, signaling continued analyst confidence in Zscaler’s growth outlook.
• Positive Sentiment: Zscaler unveiled new AI-driven security features for its Zero Trust SASE platform, including the ZAgent Framework and other offerings aimed at securing AI agents, endpoints, partners, unmanaged devices, and Kubernetes environments. Zscaler Bets On AI Agent Security And Identity To Revive Growth
• Positive Sentiment: The company also expanded its Zero Trust SASE solution for a world of AI and distributed users, reinforcing its positioning in a fast-growing security niche. Zscaler expands Zero Trust SASE solution for ‘a world of AI with distributed users’
• Neutral Sentiment: Recent media coverage and Zacks commentary show Zscaler remains one of the more closely watched software names, with investors focused on whether AI-related demand can offset slowing growth expectations.
• Neutral Sentiment: Management commentary at recent events emphasized zero trust as a foundation for deploying AI agents, which supports the long-term thesis but does not appear to be an immediate catalyst.
• Negative Sentiment: Zacks noted that Zscaler is trading near a 52-week low after FY27 guidance pointed to slower growth, even though AI security bookings and platform gains may help support the stock.
• Negative Sentiment: The Schall Law Firm announced a fraud investigation into possible false or misleading statements, adding legal and reputational overhang for investors.

Zscaler Trading Up 2.7%

Shares of NASDAQ:ZS opened at $129.52 on Friday. The stock has a market capitalization of $20.94 billion, a price-to-earnings ratio of -269.83, a PEG ratio of 78.85 and a beta of 0.97. 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 quick ratio of 1.86 and a current ratio of 1.86. The company has a 50 day moving average price of $142.55 and a 200 day moving average price of $177.84.

Zscaler (NASDAQ:ZS) last issued its earnings results on Tuesday, May 26th. The company reported $1.08 earnings per share for the quarter, topping analysts’ consensus estimates of $1.01 by $0.07. The firm had revenue of $850.48 million during the quarter, compared to analysts’ expectations of $835.14 million. Zscaler had a negative net margin of 2.44% and a negative return on equity of 0.37%. The firm’s revenue for the quarter was up 25.4% compared to the same quarter last year. During the same period last year, the firm posted $0.84 earnings per share. Zscaler has set its Q4 2026 guidance at 1.080-1.090 EPS and its FY 2026 guidance at 4.100-4.110 EPS. On average, research analysts anticipate that Zscaler, Inc. will post 0.11 EPS for the current fiscal year.

Insider Activity

In related news, CFO Kevin Rubin sold 1,682 shares of the firm’s stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $156.59, for a total transaction of $263,384.38. Following the completion of the sale, the chief financial officer directly owned 46,479 shares in the company, valued at approximately $7,278,146.61. This trade represents a 3.49% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director James A. Beer sold 177 shares of the firm’s stock in a transaction that occurred on Wednesday, March 18th. The stock was sold at an average price of $153.53, for a total transaction of $27,174.81. Following the completion of the transaction, the director directly owned 4,384 shares of the company’s stock, valued at $673,075.52. This represents a 3.88% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 12,130 shares of company stock valued at $1,892,487 in the last ninety days. 17.20% of the stock is owned by company insiders.

Analysts Set New Price Targets

Several research analysts have recently issued reports on ZS shares. Mizuho decreased their price objective on shares of Zscaler from $210.00 to $185.00 and set an “outperform” rating for the company in a report on Wednesday, May 27th. Guggenheim reiterated a “buy” rating and issued a $214.00 price objective on shares of Zscaler in a report on Wednesday. JPMorgan Chase & Co. decreased their price objective on shares of Zscaler from $250.00 to $205.00 and set an “overweight” rating for the company in a report on Wednesday, May 27th. Evercore set a $155.00 target price on shares of Zscaler and gave the stock an “in-line” rating in a report on Wednesday, May 27th. Finally, Weiss Ratings restated a “sell (e+)” rating on shares of Zscaler in a report on Tuesday. Thirty-four equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $214.33.

Zscaler Company 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.