Proem Advisors LLC Makes New Investment in Zscaler, Inc. $ZS

Key Points

• Proem Advisors LLC opened a new position in Zscaler in the fourth quarter, buying 20,000 shares worth about $4.5 million. The stake now represents 0.5% of Proem’s portfolio and its 18th-largest holding.
• Zscaler reported better-than-expected quarterly results, with EPS of $1.01 versus the $0.89 estimate and revenue of $815.75 million, up 25.9% year over year. The company also issued Q3 2026 and FY 2026 guidance above current analyst expectations.
• Insider selling has continued, including transactions by Robert Schlossman and director James A. Beer, with 12,130 shares sold over the last 90 days. Meanwhile, analysts remain generally constructive, with a Moderate Buy consensus and an average target price of $263.46.

Proem Advisors LLC purchased a new position in shares of Zscaler, Inc. (NASDAQ:ZS - Free Report) during the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor purchased 20,000 shares of the company's stock, valued at approximately $4,498,000. Zscaler makes up 0.5% of Proem Advisors LLC's investment portfolio, making the stock its 18th biggest position.

A number of other hedge funds also recently bought and sold shares of the business. Bessemer Group Inc. boosted its position in Zscaler by 3.2% during the third quarter. Bessemer Group Inc. now owns 1,021 shares of the company's stock worth $306,000 after purchasing an additional 32 shares in the last quarter. Wedbush Securities Inc. boosted its position in Zscaler by 0.7% during the third quarter. Wedbush Securities Inc. now owns 5,129 shares of the company's stock worth $1,537,000 after purchasing an additional 34 shares in the last quarter. Goldstream Capital Management Ltd boosted its position in Zscaler by 0.3% during the third quarter. Goldstream Capital Management Ltd now owns 12,450 shares of the company's stock worth $3,731,000 after purchasing an additional 34 shares in the last quarter. Kentucky Retirement Systems Insurance Trust Fund boosted its position in Zscaler by 1.4% during the third quarter. Kentucky Retirement Systems Insurance Trust Fund now owns 2,569 shares of the company's stock worth $770,000 after purchasing an additional 36 shares in the last quarter. Finally, Advisor OS LLC boosted its position in Zscaler by 4.6% during the third quarter. Advisor OS LLC now owns 879 shares of the company's stock worth $263,000 after purchasing an additional 39 shares in the last quarter. Hedge funds and other institutional investors own 46.45% of the company's stock.

Insider Transactions at Zscaler

In related news, insider Robert Schlossman sold 2,263 shares of the stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $156.59, for a total value of $354,363.17. Following the completion of the sale, the insider owned 72,390 shares of the company's stock, valued at approximately $11,335,550.10. This trade represents a 3.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director James A. Beer sold 177 shares of the stock in a transaction that occurred on Wednesday, March 18th. The shares were sold at an average price of $153.53, for a total value of $27,174.81. Following the completion of the sale, the director directly owned 4,384 shares of the company's stock, valued at approximately $673,075.52. This represents a 3.88% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 12,130 shares of company stock valued at $1,892,487. 17.20% of the stock is currently owned by company insiders.

Zscaler Price Performance

NASDAQ:ZS opened at $148.87 on Tuesday. Zscaler, Inc. has a one year low of $114.63 and a one year high of $336.99. The company has a debt-to-equity ratio of 0.78, a quick ratio of 1.90 and a current ratio of 1.90. The stock has a market cap of $23.94 billion, a PE ratio of -354.45 and a beta of 0.96. The stock has a 50 day moving average price of $142.81 and a 200 day moving average price of $204.69.

Zscaler (NASDAQ:ZS - Get Free Report) last posted its quarterly earnings results on Thursday, February 26th. The company reported $1.01 EPS for the quarter, beating the consensus estimate of $0.89 by $0.12. Zscaler had a positive return on equity of 0.06% and a negative net margin of 2.25%.The firm had revenue of $815.75 million during the quarter, compared to analysts' expectations of $798.92 million. During the same quarter last year, the firm earned $0.78 earnings per share. The business's revenue for the quarter was up 25.9% on a year-over-year basis. Zscaler has set its Q3 2026 guidance at 1.000-1.010 EPS and its FY 2026 guidance at 3.990-4.020 EPS. Equities research analysts expect that Zscaler, Inc. will post -0.03 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the company. Piper Sandler reduced their target price on Zscaler from $260.00 to $185.00 and set a "neutral" rating for the company in a report on Friday, February 27th. Oppenheimer reduced their target price on Zscaler from $280.00 to $250.00 and set an "outperform" rating for the company in a report on Tuesday, March 10th. Rosenblatt Securities reissued a "buy" rating and set a $280.00 target price on shares of Zscaler in a report on Tuesday, February 24th. Barclays set a $220.00 target price on Zscaler in a report on Thursday, February 19th. Finally, The Goldman Sachs Group reduced their target price on Zscaler from $290.00 to $257.00 and set a "neutral" rating for the company in a report on Monday, March 2nd. Two research analysts have rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, eight have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, Zscaler currently has a consensus rating of "Moderate Buy" and a consensus target price of $263.46.

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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