Bank of Nova Scotia Buys Shares of 253,500 Zscaler, Inc. $ZS

Bank of Nova Scotia bought a new stake in Zscaler, Inc. (NASDAQ:ZS - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm bought 253,500 shares of the company's stock, valued at approximately $35,782,000. Bank of Nova Scotia owned about 0.16% of Zscaler at the end of the most recent quarter.

Several other institutional investors also recently modified their holdings of ZS. Vanguard Group Inc. lifted its stake in shares of Zscaler by 0.5% in the 4th quarter. Vanguard Group Inc. now owns 11,423,424 shares of the company's stock valued at $2,569,357,000 after purchasing an additional 55,521 shares during the period. BlackRock Inc. acquired a new stake in shares of Zscaler during the second quarter worth $1,396,028,000. First Trust Advisors LP increased its holdings in Zscaler by 36.2% in the first quarter. First Trust Advisors LP now owns 3,518,678 shares of the company's stock valued at $493,635,000 after purchasing an additional 935,781 shares during the last quarter. Price T Rowe Associates Inc. MD increased its holdings in Zscaler by 43.3% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 2,572,358 shares of the company's stock valued at $578,576,000 after purchasing an additional 777,414 shares during the last quarter. Finally, State Street Corp lifted its stake in Zscaler by 3.4% in the fourth quarter. State Street Corp now owns 2,337,604 shares of the company's stock valued at $525,774,000 after buying an additional 77,800 shares during the period. Institutional investors and hedge funds own 46.45% of the company's stock.

Zscaler Stock Performance

Shares of Zscaler stock opened at $181.74 on Monday. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.86 and a quick ratio of 1.86. The firm has a market cap of $29.39 billion, a price-to-earnings ratio of -378.62, a price-to-earnings-growth ratio of 106.97 and a beta of 0.94. The stock's 50-day moving average is $151.10 and its 200-day moving average is $150.19. Zscaler, Inc. has a one year low of $114.63 and a one year high of $336.99.

Zscaler (NASDAQ:ZS - Get Free Report) last posted its quarterly earnings data on Tuesday, May 26th. The company reported $1.08 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.01 by $0.07. The company had revenue of $850.48 million for the quarter, compared to the consensus estimate 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 was up 25.4% compared to the same quarter last year. During the same period last year, the company 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 fiscal year.

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

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on ZS shares. Wells Fargo & Company raised their target price on Zscaler from $180.00 to $210.00 and gave the stock an "overweight" rating in a report on Monday, August 17th. Stifel Nicolaus increased their price target on shares of Zscaler from $175.00 to $200.00 and gave the company a "buy" rating in a research report on Wednesday, August 19th. The Goldman Sachs Group reissued a "neutral" rating and set a $179.00 price objective on shares of Zscaler in a research note on Wednesday, May 27th. Citigroup restated a "market outperform" rating on shares of Zscaler in a report on Wednesday, May 27th. Finally, Morgan Stanley lowered their target price on shares of Zscaler from $155.00 to $145.00 and set an "equal weight" rating for the company in a research note on Wednesday, May 27th. Thirty-four equities 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 company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $215.36.

Insider Buying and Selling

In other news, CFO Kevin Rubin sold 503 shares of the business's stock in a transaction dated Monday, July 27th. The shares were sold at an average price of $147.12, for a total transaction of $74,001.36. Following the transaction, the chief financial officer directly owned 41,398 shares in the company, valued at $6,090,473.76. The trade was a 1.20% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Adam Geller sold 2,817 shares of the business's stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $122.60, for a total transaction of $345,364.20. Following the transaction, the insider owned 42,314 shares in the company, valued at $5,187,696.40. This represents a 6.24% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 16,269 shares of company stock worth $2,052,589. 17.20% of the stock is owned by corporate insiders.

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.

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