Woodline Partners LP Makes New $70.34 Million Investment in Zscaler, Inc. $ZS

Key Points

• Woodline Partners LP purchased 354,503 shares of Zscaler, Inc. valued at approximately $70.34 million, acquiring a new stake in the company in the first quarter.
• Insider transactions included sales by Robert Schlossman and CEO Jagtar Singh Chaudhry, who sold shares for approximately $968,292 and $865,241 respectively, indicating a slight decrease in their holdings.
• Multiple Wall Street analysts have raised their price targets for Zscaler, with Canaccord Genuity increasing its target from $320 to $340 and JPMorgan raising it to $351, reflecting strong confidence in the company’s growth prospects.

Woodline Partners LP purchased a new position in Zscaler, Inc. (NASDAQ:ZS - Free Report) in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 354,503 shares of the company's stock, valued at approximately $70,340,000. Woodline Partners LP owned approximately 0.23% of Zscaler as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also made changes to their positions in the company. GAMMA Investing LLC lifted its holdings in shares of Zscaler by 43.1% in the first quarter. GAMMA Investing LLC now owns 641 shares of the company's stock worth $127,000 after buying an additional 193 shares in the last quarter. Allworth Financial LP lifted its stake in Zscaler by 47.4% in the 1st quarter. Allworth Financial LP now owns 1,002 shares of the company's stock worth $211,000 after purchasing an additional 322 shares in the last quarter. Krane Funds Advisors LLC boosted its holdings in shares of Zscaler by 36.4% during the 1st quarter. Krane Funds Advisors LLC now owns 1,667 shares of the company's stock valued at $331,000 after purchasing an additional 445 shares during the last quarter. Merit Financial Group LLC grew its position in shares of Zscaler by 42.0% during the first quarter. Merit Financial Group LLC now owns 6,197 shares of the company's stock valued at $1,230,000 after purchasing an additional 1,832 shares in the last quarter. Finally, National Pension Service increased its holdings in shares of Zscaler by 11.2% in the first quarter. National Pension Service now owns 171,847 shares of the company's stock worth $34,098,000 after purchasing an additional 17,342 shares during the last quarter. 46.45% of the stock is currently owned by hedge funds and other institutional investors.

Zscaler Stock Performance

ZS stock traded up $7.87 during mid-day trading on Thursday, reaching $286.66. 1,946,600 shares of the stock traded hands, compared to its average volume of 1,682,998. Zscaler, Inc. has a one year low of $162.00 and a one year high of $318.46. The stock has a market capitalization of $44.63 billion, a PE ratio of -1,061.70 and a beta of 1.05. The business has a 50-day moving average price of $282.97 and a two-hundred day moving average price of $253.04.

Zscaler (NASDAQ:ZS - Get Free Report) last posted its quarterly earnings data on Tuesday, September 2nd. The company reported $0.89 earnings per share for the quarter, topping analysts' consensus estimates of $0.80 by $0.09. The company had revenue of $719.23 million for the quarter, compared to analyst estimates of $707.15 million. Zscaler had a negative net margin of 1.55% and a negative return on equity of 0.49%. The firm's revenue for the quarter was up 21.3% on a year-over-year basis. During the same period in the prior year, the company posted $0.88 EPS. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS. On average, equities analysts expect that Zscaler, Inc. will post -0.1 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Syam Nair sold 4,064 shares of Zscaler stock in a transaction dated Tuesday, June 17th. The shares were sold at an average price of $303.70, for a total transaction of $1,234,236.80. Following the completion of the sale, the insider owned 106,659 shares in the company, valued at $32,392,338.30. This trade represents a 3.67% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Robert Schlossman sold 3,590 shares of the company's stock in a transaction dated Tuesday, June 17th. The stock was sold at an average price of $303.70, for a total transaction of $1,090,283.00. Following the completion of the transaction, the insider owned 92,144 shares in the company, valued at $27,984,132.80. This represents a 3.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 23,305 shares of company stock worth $7,093,136 over the last ninety days. 18.10% of the stock is owned by insiders.

Wall Street Analyst Weigh In

ZS has been the subject of a number of research reports. Robert W. Baird increased their price target on Zscaler from $330.00 to $345.00 and gave the company an "outperform" rating in a research note on Wednesday, September 3rd. JPMorgan Chase & Co. upped their price objective on Zscaler from $348.00 to $351.00 and gave the stock an "overweight" rating in a report on Wednesday, September 3rd. FBN Securities raised shares of Zscaler to a "strong-buy" rating in a report on Friday, May 30th. Barclays boosted their price target on shares of Zscaler from $300.00 to $320.00 and gave the stock an "overweight" rating in a research report on Wednesday, September 3rd. Finally, JMP Securities reiterated a "market outperform" rating and set a $355.00 price objective on shares of Zscaler in a research report on Wednesday, September 3rd. One analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $307.00.

Zscaler Profile

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.