Novare Capital Management LLC Makes New $392,000 Investment in Zscaler, Inc. $ZS

Key Points

• Novare Capital Management LLC invested approximately $392,000 in Zscaler, Inc., acquiring 1,250 shares during the second quarter.
• Insider Robert Schlossman sold 7,006 shares of Zscaler stock for over $2.14 million, reducing his ownership by 8.43%.
• Zscaler reported a 21.3% increase in quarterly revenue year-over-year, with $719.23 million, surpassing analyst expectations of $707.15 million.

Novare Capital Management LLC bought a new position in shares of Zscaler, Inc. (NASDAQ:ZS - Free Report) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund bought 1,250 shares of the company's stock, valued at approximately $392,000.

Other institutional investors also recently bought and sold shares of the company. Parisi Gray Wealth Management purchased a new position in Zscaler during the second quarter worth about $801,000. GAMMA Investing LLC raised its stake in shares of Zscaler by 43.1% in the 1st quarter. GAMMA Investing LLC now owns 641 shares of the company's stock valued at $127,000 after acquiring an additional 193 shares during the period. Howe & Rusling Inc. raised its stake in shares of Zscaler by 17.1% in the 1st quarter. Howe & Rusling Inc. now owns 24,672 shares of the company's stock valued at $4,895,000 after acquiring an additional 3,611 shares during the period. Focus Partners Wealth raised its stake in shares of Zscaler by 2.5% in the 1st quarter. Focus Partners Wealth now owns 62,083 shares of the company's stock valued at $12,319,000 after acquiring an additional 1,517 shares during the period. Finally, Allworth Financial LP raised its stake in shares of Zscaler by 47.4% in the 1st quarter. Allworth Financial LP now owns 1,002 shares of the company's stock valued at $211,000 after acquiring an additional 322 shares during the period. 46.45% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other Zscaler news, insider Robert Schlossman sold 7,006 shares of the stock in a transaction that occurred on Thursday, October 2nd. The shares were sold at an average price of $305.57, for a total value of $2,140,823.42. Following the sale, the insider directly owned 76,132 shares of the company's stock, valued at approximately $23,263,655.24. This represents a 8.43% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, EVP Raj Judge sold 4,524 shares of the stock in a transaction that occurred on Tuesday, September 16th. The shares were sold at an average price of $280.70, for a total transaction of $1,269,886.80. Following the completion of the sale, the executive vice president directly owned 73,832 shares in the company, valued at approximately $20,724,642.40. This represents a 5.77% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 39,884 shares of company stock valued at $11,406,825. 18.10% of the stock is currently owned by company insiders.

Zscaler Price Performance

Shares of ZS opened at $300.25 on Friday. Zscaler, Inc. has a fifty-two week low of $164.78 and a fifty-two week high of $319.89. The firm's 50 day moving average price is $286.62 and its 200 day moving average price is $270.81. The company has a market cap of $47.53 billion, a P/E ratio of -1,112.04 and a beta of 1.06. The company has a quick ratio of 2.01, a current ratio of 2.01 and a debt-to-equity ratio of 0.95.

Zscaler (NASDAQ:ZS - Get Free Report) last announced its quarterly earnings data on Tuesday, September 2nd. The company reported $0.89 EPS for the quarter, beating analysts' consensus estimates of $0.80 by $0.09. Zscaler had a negative net margin of 1.55% and a negative return on equity of 0.47%. The company had revenue of $719.23 million for the quarter, compared to the consensus estimate of $707.15 million. During the same period in the prior year, the firm posted $0.88 EPS. The company's quarterly revenue was up 21.3% compared to the same quarter last year. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS. On average, research analysts forecast that Zscaler, Inc. will post -0.1 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. JMP Securities reissued a "market outperform" rating and issued a $355.00 price target on shares of Zscaler in a research note on Wednesday, September 3rd. Wall Street Zen downgraded shares of Zscaler from a "buy" rating to a "hold" rating in a research note on Saturday. B. Riley initiated coverage on shares of Zscaler in a research note on Tuesday, August 26th. They issued a "neutral" rating and a $275.00 price target on the stock. Scotiabank cut their target price on shares of Zscaler from $360.00 to $334.00 and set a "sector outperform" rating on the stock in a research note on Wednesday, September 3rd. Finally, Evercore ISI upped their target price on shares of Zscaler from $290.00 to $320.00 and gave the stock an "outperform" rating in a research note on Wednesday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Zscaler has an average rating of "Moderate Buy" and an average target price of $307.43.

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.

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