Ally Financial Inc. Purchases New Stake in Zscaler, Inc. $ZS

Ally Financial Inc. acquired a new stake in shares of Zscaler, Inc. (NASDAQ:ZS - Free Report) during the second quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor acquired 8,000 shares of the company's stock, valued at approximately $1,129,000.

Other hedge funds also recently added to or reduced their stakes in the company. Integrated Wealth Concepts LLC boosted its holdings in Zscaler by 19.9% in the first quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company's stock worth $285,000 after purchasing an additional 239 shares during the period. NewEdge Advisors LLC lifted its holdings in shares of Zscaler by 8.2% in the 1st quarter. NewEdge Advisors LLC now owns 4,899 shares of the company's stock worth $972,000 after purchasing an additional 370 shares during the last quarter. 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 purchasing an additional 238 shares during the last quarter. Sivia Capital Partners LLC acquired a new position in Zscaler during the 2nd quarter valued at approximately $252,000. Finally, Jump Financial LLC acquired a new position in Zscaler during the 2nd quarter valued at approximately $3,019,000. 46.45% of the stock is owned by institutional investors and hedge funds.

Zscaler News Summary

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: KeyBanc raised its price target to $210 from a lower prior target, citing what it views as a valuation discount and potential for the cybersecurity company to regain investor confidence. KeyBanc upgrades Zscaler price target
• Positive Sentiment: Additional bullish analyst actions supported the stock. Mizuho lifted its price target to $210, Stifel Nicolaus raised its target to $200, and Cantor Fitzgerald assigned Zscaler an “Overweight” rating. The actions suggest Wall Street sees upside despite the stock’s sharp decline from its 52-week high. Mizuho raises Zscaler price target Stifel raises Zscaler price target Cantor Fitzgerald rates Zscaler Overweight
• Positive Sentiment: Rising AI-driven cyber threats reinforce demand for Zscaler’s platform. NTT DATA CEO Abhijit Dubey said frontier AI is making attacks more sophisticated, expanding the attack surface, and accelerating attacks to machine speed—an industry trend that could increase demand for cloud-based zero-trust security. AI and cybersecurity threats
• Positive Sentiment: Zscaler’s expanded Carahsoft partnership targets U.S. small and midsize businesses with standardized bundles, simpler pricing, and broader partner enablement. The initiative could diversify Zscaler’s customer base and create an additional growth channel beyond large enterprises. Zscaler and Carahsoft SMB partnership
• Negative Sentiment: AI-lab IPO speculation remains a risk to sentiment. Reports that Anthropic may pursue a massive public offering renewed concerns that investors could redirect capital from enterprise software stocks toward AI companies, contributing to recent pressure on Zscaler. Zscaler and AI IPO concerns

Zscaler Trading Down 0.0%

NASDAQ:ZS opened at $181.74 on Monday. The stock has a market cap of $29.39 billion, a price-to-earnings ratio of -378.62, a PEG ratio of 106.97 and a beta of 0.94. The company has a debt-to-equity ratio of 0.72, a quick ratio of 1.86 and a current ratio of 1.86. Zscaler, Inc. has a 1 year low of $114.63 and a 1 year high of $336.99. The business has a fifty day moving average of $151.10 and a 200-day moving average of $150.19.

Zscaler (NASDAQ:ZS - Get Free Report) last issued its quarterly earnings data on Tuesday, May 26th. The company reported $1.08 earnings per share for the quarter, beating analysts' consensus estimates of $1.01 by $0.07. The business had revenue of $850.48 million for 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 company's revenue was up 25.4% on a year-over-year basis. During the same period in the previous year, the business earned $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. Equities analysts predict that Zscaler, Inc. will post 0.13 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on the company. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $225.00 target price on shares of Zscaler in a research report on Wednesday, August 19th. FBN Securities reissued an "outperform" rating and set a $175.00 price target on shares of Zscaler in a report on Wednesday, May 27th. Berenberg Bank set a $200.00 price target on shares of Zscaler in a report on Thursday, May 28th. Wolfe Research restated an "outperform" rating and set a $150.00 price target on shares of Zscaler in a research report on Thursday, June 11th. Finally, TD Cowen increased their price objective on shares of Zscaler from $180.00 to $200.00 and gave the stock a "buy" rating in a report on Monday, August 17th. Thirty-four research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Zscaler presently has an average rating of "Moderate Buy" and an average price target of $215.36.

Insider Activity at Zscaler

In other news, insider Adam Geller sold 2,817 shares of the company's stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $122.60, for a total value of $345,364.20. Following the completion of the sale, the insider directly owned 42,314 shares of the company's stock, valued at approximately $5,187,696.40. This represents a 6.24% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Kevin Rubin sold 3,000 shares of the stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $124.22, for a total transaction of $372,660.00. Following the completion of the transaction, the chief financial officer owned 41,901 shares of the company's stock, valued at $5,204,942.22. This trade represents a 6.68% 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 sold a total of 16,269 shares of company stock worth $2,052,589 in the last 90 days. Corporate insiders own 17.20% of the company's stock.

Zscaler 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source