BTIG Research Issues Pessimistic Forecast for Zscaler (NASDAQ:ZS) Stock Price

Zscaler (NASDAQ:ZS) had its price objective dropped by research analysts at BTIG Research from $365.00 to $209.00 in a research note issued to investors on Tuesday,Benzinga reports. The firm currently has a “buy” rating on the stock. BTIG Research’s target price suggests a potential upside of 45.87% from the company’s previous close.

A number of other research firms have also recently weighed in on ZS. UBS Group reduced their price target on Zscaler from $350.00 to $340.00 and set a “buy” rating for the company in a report on Wednesday, November 26th. Barclays set a $220.00 price objective on shares of Zscaler in a research report on Thursday. HC Wainwright reiterated a “buy” rating on shares of Zscaler in a research report on Wednesday, November 26th. Berenberg Bank reduced their price target on shares of Zscaler from $400.00 to $390.00 and set a “buy” rating for the company in a research report on Friday, November 28th. Finally, Stifel Nicolaus decreased their price target on shares of Zscaler from $330.00 to $320.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. One research analyst has rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Zscaler presently has a consensus rating of “Moderate Buy” and an average target price of $298.14.

Zscaler Stock Performance

Shares of NASDAQ ZS opened at $143.28 on Tuesday. The company has a 50 day simple moving average of $204.99 and a two-hundred day simple moving average of $258.24. The stock has a market cap of $22.85 billion, a price-to-earnings ratio of -551.06, a PEG ratio of 325.66 and a beta of 1.02. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.86. Zscaler has a 12 month low of $141.56 and a 12 month high of $336.99.

Zscaler (NASDAQ:ZS) last issued its earnings results on Tuesday, November 25th. The company reported $0.96 EPS for the quarter, topping analysts’ consensus estimates of $0.85 by $0.11. The firm had revenue of $788.11 million for the quarter, compared to the consensus estimate of $773.86 million. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.The company’s revenue was up 25.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.77 earnings per share. As a group, analysts predict that Zscaler will post -0.1 earnings per share for the current year.

Insider Buying and Selling

In other news, CFO Kevin Rubin sold 3,303 shares of the stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total value of $762,398.46. Following the completion of the sale, the chief financial officer owned 48,161 shares of the company’s stock, valued at $11,116,522.02. This represents a 6.42% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Adam Geller sold 2,060 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $230.82, for a total transaction of $475,489.20. Following the sale, the insider owned 52,148 shares of the company’s stock, valued at $12,036,801.36. This represents a 3.80% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 19,350 shares of company stock worth $4,471,509 over the last ninety days. 17.20% of the stock is currently owned by insiders.

Institutional Trading of Zscaler

Institutional investors and hedge funds have recently bought and sold shares of the stock. Integrated Wealth Concepts LLC lifted its position in 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 buying an additional 239 shares during the last quarter. NewEdge Advisors LLC raised its stake in shares of Zscaler by 8.2% in the 1st quarter. NewEdge Advisors LLC now owns 4,899 shares of the company’s stock valued at $972,000 after acquiring an additional 370 shares during the period. Empowered Funds LLC lifted its holdings in shares of Zscaler by 9.2% in the 1st quarter. Empowered Funds LLC now owns 2,811 shares of the company’s stock worth $558,000 after acquiring an additional 238 shares during the last quarter. Sivia Capital Partners LLC purchased a new position in shares of Zscaler during the 2nd quarter worth approximately $252,000. Finally, Brookstone Capital Management acquired a new stake in Zscaler in the 2nd quarter valued at approximately $283,000. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

Key Zscaler News

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler and Bharti Airtel launched an AI & Cyber Threat Research Center in India — strengthens local presence, combines Zscaler threat intel with Airtel network visibility and builds an “in‑India” talent/research hub that can accelerate bookings in a large market. Is Zscaler’s (ZS) India Cyber Lab With Airtel Quietly Recasting Its Zero Trust Edge?
• Positive Sentiment: Analyst/industry writeups highlight Zscaler’s expanding AI‑agent security and strong data moat — bullish view that recent acquisitions and product expansion position ZS well for long‑term revenue acceleration despite short‑term margin dilution. Zscaler Scales Zero Trust And AI Agent Security
• Neutral Sentiment: Q2 earnings are upcoming and revenue is expected to remain healthy (analysts see ~20–25% growth), but results will be watched for AI security uptake vs. pressure from tight IT budgets — earnings are an immediate catalyst. Zscaler to Report Q2 Earnings: What’s in Store for the Stock?
• Neutral Sentiment: Some analyst coverage remains constructive on the long term but with lower near‑term price targets (Mizuho, JPMorgan, Baird cuts noted) — shows confidence in the story but reflects sector multiple compression and conservative near‑term estimates. JPMorgan Chase & Co. Cuts Zscaler (NASDAQ:ZS) Price Target to $267.00
• Negative Sentiment: Sector selloff after Anthropic released a new AI security tool that scans code for vulnerabilities — investors fear AI tools could displace some vendor functions, prompting broad cybersecurity multiple compression that hit ZS. Cybersecurity stocks drop for a second day as new Anthropic tool fuels AI disruption fears
• Negative Sentiment: Macro/headline pressure from White House announcement on raising global tariffs to 15% contributed to near‑term selling and hurt the stock alongside peers. Why Zscaler (ZS) Stock Is Falling Today

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.