Russell Investments Group Ltd. Acquires 42,593 Shares of Zscaler, Inc. $ZS

Key Points

• Russell Investments boosted its stake in Zscaler by 88.2% in Q3, buying 42,593 shares to hold 90,898 shares worth about $27.2 million (≈0.06% of the company).
• Zscaler beat the latest quarter's estimates with $1.01 EPS (vs. $0.89) and $815.8M revenue (+25.9% YoY), but the company still shows a negative net margin (-2.25%) and provided FY‑2026 EPS guidance of 3.99–4.02.
• Analysts have trimmed price targets recently; consensus is a Moderate Buy with a $267.13 target while the stock trades around $151.61 (52‑week range $140.56–$336.99), and insiders have been selling shares.

Russell Investments Group Ltd. raised its holdings in shares of Zscaler, Inc. (NASDAQ:ZS - Free Report) by 88.2% in the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 90,898 shares of the company's stock after buying an additional 42,593 shares during the period. Russell Investments Group Ltd. owned about 0.06% of Zscaler worth $27,223,000 at the end of the most recent quarter.

Several other institutional investors have also added to or reduced their stakes in ZS. Tradewinds Capital Management LLC increased its stake in shares of Zscaler by 145.7% in the 3rd quarter. Tradewinds Capital Management LLC now owns 86 shares of the company's stock worth $26,000 after purchasing an additional 51 shares in the last quarter. Root Financial Partners LLC bought a new position in Zscaler in the 3rd quarter worth $26,000. McIlrath & Eck LLC purchased a new position in Zscaler during the third quarter valued at $29,000. Picton Mahoney Asset Management purchased a new position in Zscaler during the third quarter valued at $30,000. Finally, E Fund Management Hong Kong Co. Ltd. grew its holdings in Zscaler by 81.9% during the third quarter. E Fund Management Hong Kong Co. Ltd. now owns 131 shares of the company's stock valued at $39,000 after purchasing an additional 59 shares during the period. 46.45% of the stock is currently owned by institutional investors.

Zscaler Price Performance

ZS stock opened at $151.61 on Friday. Zscaler, Inc. has a 52 week low of $140.56 and a 52 week high of $336.99. The firm has a market capitalization of $24.38 billion, a P/E ratio of -360.98 and a beta of 1.07. The company has a fifty day simple moving average of $186.02 and a two-hundred day simple moving average of $247.85. The company has a quick ratio of 1.90, a current ratio of 1.90 and a debt-to-equity ratio of 0.78.

Zscaler (NASDAQ:ZS - Get Free Report) last posted its earnings results on Thursday, February 26th. The company reported $1.01 earnings per share for the quarter, topping analysts' consensus estimates of $0.89 by $0.12. The firm had revenue of $815.75 million for the quarter, compared to the consensus estimate of $798.92 million. Zscaler had a negative net margin of 2.25% and a positive return on equity of 0.06%. During the same period in the previous year, the firm posted $0.78 EPS. The business's quarterly revenue 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. Analysts anticipate that Zscaler, Inc. will post -0.1 earnings per share for the current fiscal year.

Analyst Ratings Changes

ZS has been the topic of several recent research reports. HC Wainwright reaffirmed a "buy" rating on shares of Zscaler in a research note on Wednesday, November 26th. Needham & Company LLC reduced their target price on shares of Zscaler from $310.00 to $180.00 and set a "buy" rating for the company in a report on Friday, February 27th. Bank of America decreased their target price on shares of Zscaler from $355.00 to $335.00 and set a "buy" rating on the stock in a research note on Wednesday, November 26th. Royal Bank Of Canada lowered their price target on shares of Zscaler from $250.00 to $205.00 and set an "outperform" rating on the stock in a report on Friday, February 27th. Finally, KeyCorp dropped their price target on shares of Zscaler from $300.00 to $250.00 and set an "overweight" rating for the company in a research report on Tuesday, February 17th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $267.13.

Insider Activity at Zscaler

In other Zscaler news, insider Robert Schlossman sold 2,349 shares of the company's stock in a transaction that occurred on Wednesday, December 17th. The stock was sold at an average price of $232.79, for a total transaction of $546,823.71. Following the sale, the insider directly owned 74,653 shares in the company, valued at $17,378,471.87. This represents a 3.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, EVP Raj Judge sold 3,438 shares of the company's stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total value of $793,559.16. Following the sale, the executive vice president owned 70,394 shares in the company, valued at approximately $16,248,343.08. This trade represents a 4.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 19,350 shares of company stock valued at $4,471,509 over the last ninety days. 17.20% of the stock is currently owned by company insiders.

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.