Zscaler, Inc. $ZS Shares Sold by Handelsbanken Fonder AB

Key Points

• Handelsbanken Fonder AB reduced its Zscaler stake by 18.4% in the fourth quarter, selling 10,268 shares and ending with 45,639 shares worth about $10.3 million.
• Zscaler beat quarterly expectations, reporting $1.01 EPS versus $0.89 expected and revenue of $815.75 million, up 25.9% year over year; it also issued Q3 2026 and FY 2026 guidance above many expectations.
• Insider selling and analyst views were mixed: CEO Jagtar Singh Chaudhry and insider Robert Schlossman both sold shares, while analysts’ ratings remain mostly positive but several firms cut price targets or downgraded the stock.

Handelsbanken Fonder AB lowered its position in shares of Zscaler, Inc. (NASDAQ:ZS - Free Report) by 18.4% in the fourth quarter, according to the company in its most recent filing with the SEC. The firm owned 45,639 shares of the company's stock after selling 10,268 shares during the quarter. Handelsbanken Fonder AB's holdings in Zscaler were worth $10,265,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in ZS. Binnacle Investments Inc acquired a new stake in Zscaler during the 3rd quarter worth about $25,000. Root Financial Partners LLC acquired a new stake in Zscaler during the 3rd quarter worth about $26,000. Picton Mahoney Asset Management acquired a new stake in Zscaler during the 3rd quarter worth about $30,000. Family CFO Inc acquired a new stake in Zscaler during the 4th quarter worth about $34,000. Finally, Missouri Trust & Investment Co lifted its position in Zscaler by 1,460.0% during the 3rd quarter. Missouri Trust & Investment Co now owns 156 shares of the company's stock worth $47,000 after acquiring an additional 146 shares during the period. Institutional investors and hedge funds own 46.45% of the company's stock.

Zscaler Stock Performance

NASDAQ ZS opened at $171.01 on Friday. The stock has a 50-day simple moving average of $143.95 and a two-hundred day simple moving average of $195.74. The firm has a market capitalization of $27.50 billion, a P/E ratio of -407.17 and a beta of 0.96. Zscaler, Inc. has a fifty-two week low of $114.63 and a fifty-two week 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.

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

Insider Transactions at Zscaler

In related news, insider Robert Schlossman sold 2,263 shares of Zscaler stock in a transaction dated 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 transaction, the insider owned 72,390 shares in the company, valued at $11,335,550.10. The trade was a 3.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Jagtar Singh Chaudhry sold 1,941 shares of Zscaler stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $156.59, for a total value of $303,941.19. Following the completion of the transaction, the chief executive officer owned 345,916 shares of the company's stock, valued at approximately $54,166,986.44. This represents a 0.56% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 12,130 shares of company stock worth $1,892,487 over the last quarter. Company insiders own 17.20% of the company's stock.

Key Stories Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Analysts at Jefferies said Zscaler could benefit from federal spending tailwinds and may be positioned to beat expectations when it reports results on May 26, with ARR growth likely to remain strong.
• Positive Sentiment: B. Riley upgraded Zscaler to Buy, and other commentary suggested the stock has a positive setup heading into earnings, reinforcing the bullish case for the name.
• Positive Sentiment: Zscaler announced plans to acquire Symmetry Systems, adding identity mapping and data access technology that should expand its AI-focused zero-trust security platform over time. Article Title
• Neutral Sentiment: Zscaler also announced upcoming investor conference presentations, which keep management visible to the market but do not materially change the business outlook. Article Title
• Negative Sentiment: The stock had already been sliding in the latest session, with articles noting ZS fell despite broader market gains, suggesting some traders are taking profits or waiting for the earnings report.

Analyst Upgrades and Downgrades

A number of analysts have commented on ZS shares. The Goldman Sachs Group lowered their price target on Zscaler from $290.00 to $257.00 and set a "neutral" rating for the company in a research report on Monday, March 2nd. Robert W. Baird lowered their price target on Zscaler from $360.00 to $300.00 and set an "outperform" rating for the company in a research report on Monday, February 23rd. Royal Bank Of Canada lowered their price target on Zscaler from $250.00 to $205.00 and set an "outperform" rating for the company in a research report on Friday, February 27th. TD Cowen lowered their price target on Zscaler from $330.00 to $260.00 and set a "buy" rating for the company in a research report on Tuesday, February 24th. Finally, Citigroup cut Zscaler from a "buy" rating to a "neutral" rating in a research report on Monday. Two investment 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 assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $261.26.

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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