UBS Group Has Lowered Expectations for Zscaler (NASDAQ:ZS) Stock Price

Zscaler (NASDAQ:ZS) had its price objective cut by research analysts at UBS Group from $365.00 to $350.00 in a research note issued on Wednesday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. UBS Group’s price objective points to a potential upside of 33.72% from the stock’s current price.

ZS has been the subject of several other research reports. JMP Securities reiterated a “market outperform” rating and issued a $355.00 price target on shares of Zscaler in a research report on Wednesday. BMO Capital Markets boosted their price objective on shares of Zscaler from $295.00 to $315.00 and gave the stock an “outperform” rating in a research report on Wednesday. Wall Street Zen lowered shares of Zscaler from a “buy” rating to a “hold” rating in a research report on Saturday. Evercore ISI upped their target price on shares of Zscaler from $245.00 to $290.00 and gave the company an “outperform” rating in a report on Friday, May 30th. Finally, Susquehanna increased their price objective on shares of Zscaler from $320.00 to $340.00 and gave the stock a “positive” rating in a report on Wednesday. One analyst has rated the stock with a Strong Buy rating, twenty-nine have issued a Buy rating and seven have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $303.60.

Zscaler Stock Down 4.7%

Zscaler stock traded down $12.84 during trading on Wednesday, reaching $261.73. The stock had a trading volume of 1,091,061 shares, compared to its average volume of 2,130,940. Zscaler has a 52-week low of $153.45 and a 52-week high of $318.46. The business has a 50 day moving average price of $287.86 and a 200 day moving average price of $249.96. The stock has a market cap of $40.75 billion, a PE ratio of -1,010.38, a P/E/G ratio of 259.58 and a beta of 1.05.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings results on Tuesday, September 2nd. The company reported $0.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.80 by $0.09. The company had revenue of $719.23 million during the quarter, compared to the consensus estimate of $707.15 million. Zscaler had a negative net margin of 1.52% and a negative return on equity of 0.59%. The firm’s quarterly revenue was up 21.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.88 earnings per share. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS. On average, equities analysts predict that Zscaler will post -0.1 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, EVP Raj Judge sold 2,957 shares of the firm’s stock in a transaction on Tuesday, June 17th. The shares were sold at an average price of $303.70, for a total transaction of $898,040.90. Following the completion of the transaction, the executive vice president owned 76,289 shares of the company’s stock, valued at $23,168,969.30. This trade represents a 3.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Syam Nair sold 4,064 shares of the firm’s stock in a transaction on Tuesday, June 17th. The stock was sold at an average price of $303.70, for a total transaction of $1,234,236.80. Following the transaction, the insider directly owned 106,659 shares of the company’s stock, valued at approximately $32,392,338.30. This trade represents a 3.67% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 143,305 shares of company stock worth $43,199,936. Company insiders own 18.10% of the company’s stock.

Institutional Trading of Zscaler

Institutional investors have recently modified their holdings of the stock. ORG Partners LLC boosted its position in Zscaler by 284.8% during the first quarter. ORG Partners LLC now owns 127 shares of the company’s stock worth $26,000 after acquiring an additional 94 shares during the last quarter. SVB Wealth LLC purchased a new stake in shares of Zscaler in the 1st quarter valued at approximately $26,000. Colonial Trust Co SC acquired a new position in shares of Zscaler in the 4th quarter worth approximately $28,000. Goodman Advisory Group LLC purchased a new stake in Zscaler in the first quarter valued at approximately $29,000. Finally, N.E.W. Advisory Services LLC purchased a new stake in Zscaler in the first quarter valued at approximately $29,000. Institutional investors and hedge funds own 46.45% of the company’s stock.

About Zscaler

Zscaler, Inc operates as a cloud security company worldwide. The company offers Zscaler Internet Access solution that provides users, workloads, IoT, and OT devices secure access to externally managed applications, including software-as-a-service (SaaS) applications and internet destinations; and Zscaler Private Access solution, which is designed to provide access to managed applications hosted internally in data centers, and private or public clouds.