Northwestern Mutual Wealth Management Co. Increases Holdings in Zscaler, Inc. $ZS

Key Points

• Northwestern Mutual Wealth Management increased its Zscaler stake by 56.8% in the second quarter, bringing its holdings to 24,432 shares valued at approximately $3.45 million. Institutional investors collectively own 46.45% of Zscaler.
• Zscaler reported fourth-quarter revenue of $898.2 million, up 24.9% year over year and above analyst expectations, while adjusted EPS of $1.19 also exceeded estimates. Annual recurring revenue rose 25% to $3.77 billion.
• Management issued stronger-than-expected fiscal 2027 guidance, including full-year adjusted EPS of $4.86–$4.90. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $213.10, compared with the stock’s reported price of $177.80.

Northwestern Mutual Wealth Management Co. increased its position in Zscaler, Inc. (NASDAQ:ZS - Free Report) by 56.8% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 24,432 shares of the company's stock after purchasing an additional 8,853 shares during the quarter. Northwestern Mutual Wealth Management Co.'s holdings in Zscaler were worth $3,449,000 as of its most recent SEC filing.

Other institutional investors also recently bought and sold shares of the company. Integrated Wealth Concepts LLC grew its position in shares of Zscaler by 19.9% during the 1st quarter. Integrated Wealth Concepts LLC now owns 1,439 shares of the company's stock worth $285,000 after buying an additional 239 shares in the last quarter. NewEdge Advisors LLC raised its holdings in shares of Zscaler by 8.2% in the first quarter. NewEdge Advisors LLC now owns 4,899 shares of the company's stock valued at $972,000 after acquiring an additional 370 shares in the last quarter. Empowered Funds LLC lifted its stake in Zscaler by 9.2% in the first 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 period. Sivia Capital Partners LLC purchased a new stake in Zscaler in the second quarter worth about $252,000. Finally, Jump Financial LLC bought a new position in Zscaler during the 2nd quarter worth about $3,019,000. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

More Zscaler News

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler reported fourth-quarter revenue of $898.2 million, up 24.9% year over year and above the $877.0 million analyst consensus. Adjusted earnings of $1.19 per share also surpassed expectations of $1.09 and increased from $0.89 a year earlier. Zscaler Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Annual recurring revenue rose 25% to $3.77 billion, while net new ARR reached $246 million. Management highlighted record large-deal activity, stronger sales productivity and growing contributions from non-seat-based products. Zscaler Reports Strong Q4 and Fiscal 2026 Results
• Positive Sentiment: Fiscal 2027 first-quarter guidance calls for revenue of $935 million to $939 million and adjusted EPS of $1.15 to $1.16, ahead of consensus estimates of $925.5 million and $0.86, respectively. Full-year adjusted EPS guidance of $4.86 to $4.90 also exceeded the $3.70 consensus. Zscaler Stock Soars on Earnings Beat and Upbeat Guidance
• Positive Sentiment: Non-GAAP operating margin reached a record 24%, and management said its agentic security offering is gaining momentum as customers seek protection for AI agents and models. Zscaler Q4 2026 Earnings Call Transcript

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on ZS shares. Wells Fargo & Company boosted their price target on shares of Zscaler from $180.00 to $210.00 and gave the company an "overweight" rating in a report on Monday, August 17th. KeyCorp lifted their price objective on shares of Zscaler from $185.00 to $210.00 and gave the company an "overweight" rating in a report on Friday, August 21st. Stephens reissued an "overweight" rating and issued a $200.00 price objective on shares of Zscaler in a research note on Friday, June 12th. Sanford C. Bernstein lowered their target price on Zscaler from $228.00 to $224.00 and set an "outperform" rating for the company in a report on Wednesday, May 27th. Finally, Zacks Research raised Zscaler from a "strong sell" rating to a "hold" rating in a research report on Wednesday, May 27th. Thirty-four equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $213.10.

Zscaler Trading Up 2.9%

NASDAQ:ZS opened at $177.80 on Friday. Zscaler, Inc. has a 52 week low of $114.63 and a 52 week high of $336.99. The firm has a 50 day moving average of $160.51 and a 200 day moving average of $150.39. The company has a quick ratio of 1.86, a current ratio of 1.86 and a debt-to-equity ratio of 0.72. The stock has a market capitalization of $28.75 billion, a price-to-earnings ratio of -370.41, a PEG ratio of 101.67 and a beta of 0.95.

Zscaler (NASDAQ:ZS - Get Free Report) last released its quarterly earnings results on Thursday, September 3rd. The company reported $1.19 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.09 by $0.10. The business had revenue of $898.18 million for the quarter, compared to analyst estimates of $876.96 million. Zscaler had a negative net margin of 2.44% and a negative return on equity of 0.37%. The business's revenue for the quarter was up 24.9% on a year-over-year basis. During the same period in the previous year, the company earned $0.89 earnings per share. Zscaler has set its FY 2027 guidance at 4.860-4.900 EPS and its Q1 2027 guidance at 1.150-1.160 EPS. As a group, sell-side analysts anticipate that Zscaler, Inc. will post 0.13 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Zscaler news, CFO Kevin Rubin sold 503 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $173.38, for a total value of $87,210.14. Following the completion of the sale, the chief financial officer directly owned 40,895 shares in the company, valued at approximately $7,090,375.10. This trade represents a 1.22% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Adam Geller sold 2,817 shares of the firm's stock in a transaction dated Monday, June 22nd. The stock was 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. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 16,772 shares of company stock worth $2,139,799 over the last quarter. Company insiders own 17.20% of the company's stock.

About Zscaler

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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