Zscaler Inc

Zscaler Inc (ZS) Stock Analysis

$207.380

-12.277 (-5.92%)At close

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High
225.990
Open
223.280
VWAP
212.23
Volume
2.80M
Mkt Cap
28.60B
Low
203.330
Amount
595.02M
EV/EBITDA, TTM
238.35

Zscaler, Inc. is a cloud security company. The Company has developed a platform incorporating core security functionalities needed to enable fast and secure access to cloud resources based on identity, context and an organization's policies. Its Zscaler Zero Trust Exchange is a cloud-native platform that securely connects users, devices, applications and workloads, including artificial intelligence (AI) agents, without relying on hub-and-spoke network architecture and firewall-centric security. It delivers its solutions using a software-as-a-service (SaaS) business model and sells subscriptions to customers to access its cloud platform, together with related support services. Its services include Zscaler Internet Access (ZIA), Zscaler Private Access (ZPA), and Zscaler Digital Experience (ZDX). ZIA provides secure access to externally managed applications, including SaaS applications and internet destinations, regardless of device, location or network.

AI analysis of Zscaler Inc (ZS)

Buy

Zscaler Inc is a good buy right now due to its recent price target increases by multiple analysts, with Wells Fargo raising it to $260, and the stock's current price of $233.73 being below this target. The company reported a record revenue of $3.35 billion in fiscal 2026, a 25% increase year-over-year, which indicates strong growth. However, the main risk is the negative net income, which was -33.69 million in Q4 2026, suggesting ongoing profitability challenges.

Analyst Ratings (12)

+57.02% upside
Hold
5 Buy
7 Hold
0 Sell
Current: 207.38
Low
260.00
Average
325.62
High
390.00

Citizens

2026-10-09

Price Target

$265

Outperform

Jefferies

2026-10-07

Price Target

$250

Buy

UBS

2026-10-07

Price Target

$250

Buy

Scotiabank

2026-10-07

Price Target

$255

Outperform

Wedbush

2026-10-07

Price Target

$240

Outperform

Valuation Metrics

The current forward P/E ratio for Zscaler Inc (ZS) is 43.86, compared to its 5-year average forward P/E of 113.52.

Forward P/E

Fair
5Y Average P/E
113.52
Current P/E
43.86
Overvalued
234.12
Undervalued
-7.09

Forward EV/EBITDA

Fair
5Y Average EV/EBITDA
107.69
Current EV/EBITDA
238.35
Overvalued
259.43
Undervalued
-44.05

Forward P/S

Fair
5Y Average P/S
13.58
Current P/S
7.38
Overvalued
21.45
Undervalued
5.72

Alphio AI Price Scenarios for ZS

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%ZS

$404.22

Scenario price

B

Base

Base · 50%ZS

$366.20

Scenario price

B

Bear

Bear · 25%ZS

$308.06

Scenario price

Whales holding ZS

M

Meridiem Capital Partners LP

+ HoldingZS

+3.28%

3M Return

C

Capula Management Ltd

+ HoldingZS

+2.05%

3M Return

O

Optiver US LLC

+ HoldingZS

+1.34%

3M Return

L

Leonteq AG

+ HoldingZS

+0.95%

3M Return

L

Leap Investments LP

+ HoldingZS

-4.56%

3M Return

J

Jericho Capital Asset Management L.P.

+ HoldingZS

-8.75%

3M Return

ZS FAQ — answered by Alphio AI

Zscaler, Inc. is a cloud security company. The Company has developed a platform incorporating core security functionalities needed to enable fast and secure access to cloud resources based on identity, context and an organization's policies. Its Zscaler Zero Trust Exchange is a cloud-native platform that securely connects users, devices, applications and workloads, including artificial intelligence (AI) agents, without relying on hub-and-spoke network architecture and firewall-centric security. It delivers its solutions using a software-as-a-service (SaaS) business model and sells subscriptions to customers to access its cloud platform, together with related support services. Its services include Zscaler Internet Access (ZIA), Zscaler Private Access (ZPA), and Zscaler Digital Experience (ZDX). ZIA provides secure access to externally managed applications, including SaaS applications and internet destinations, regardless of device, location or network. It operates in the Technology sector (SERVICES-COMPUTER PROGRAMMING SERVICES industry).

Zscaler Inc is a good buy right now due to its recent price target increases by multiple analysts, with Wells Fargo raising it to $260, and the stock's current price of $233.73 being below this target. The company reported a record revenue of $3.35 billion in fiscal 2026, a 25% increase year-over-year, which indicates strong growth. However, the main risk is the negative net income, which was -33.69 million in Q4 2026, suggesting ongoing profitability challenges.

12 analysts cover ZS: 5 rate it Buy, 7 Hold and 0 Sell. The average price target is 325.62.

Community

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0xLunarbazaar9/25/2026

$LGCY $RZLT $ZS AFTER-HOURS MOVERS: Currently Higher After Earnings: - Costco Wholesale (COST) up 0.2% Currently Also Higher: - Akamai Technologies (AKAM) up 20.7% after announcing $11.6B multi-year agreement with Anthropic - Prime Medicine (PRME) up 11.7% after FDA clearance of IND application for PM647 - Select Water Solutions (WTTR) up 8.7% after announcing acquisition of Pilot Water Solutions for $700M - Atlas Energy Solutions (AESI) up 5.5% after disclosing $340.5M contract - People Incorporated (PPLI) up 9.1% after WSJ report that MGM is considering bid for company. - STAAR Surgical (STAA) up 4.7% after $50M buyback - T-Mobile US (TMUS) up 0.1% after dividend increase Currently Lower After Earnings: - Scholastic (SCHL) down 12.0% - Legacy Education (LGCY) down 8.8% - Rezolute (RZLT) down 1.3% Currently Also Lower: - Zscaler (ZS) down 3.9% after announcing transition of Chief Revenue Officer

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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