Zscaler (NASDAQ:ZS) Given New $320.00 Price Target at Barclays

Key Points

• Barclays has raised Zscaler's price target from $300.00 to $320.00, indicating a potential upside of 21.02% from its current price, while maintaining an "overweight" rating on the stock.
• Other analysts have also increased their price targets for Zscaler, with Stifel Nicolaus and Rosenblatt Securities both setting their targets at $330.00 with a "buy" rating.
• Zscaler's quarterly earnings report shows a 21.3% year-over-year revenue increase and earnings per share of $0.89, exceeding expectations of $0.80.

Zscaler (NASDAQ:ZS - Get Free Report) had its price objective raised by analysts at Barclays from $300.00 to $320.00 in a research note issued on Wednesday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Barclays's price target would indicate a potential upside of 21.02% from the company's current price.

Other equities analysts also recently issued reports about the stock. Stifel Nicolaus upped their price objective on shares of Zscaler from $295.00 to $330.00 and gave the company a "buy" rating in a research note on Wednesday. Rosenblatt Securities boosted their price target on shares of Zscaler from $315.00 to $330.00 and gave the company a "buy" rating in a research report on Wednesday. UBS Group reduced their price target on shares of Zscaler from $365.00 to $350.00 and set a "buy" rating on the stock in a research report on Wednesday. Stephens reiterated an "overweight" rating and set a $255.00 price target on shares of Zscaler in a research report on Tuesday, May 27th. Finally, Evercore ISI upped their price objective on shares of Zscaler from $290.00 to $320.00 and gave the stock an "outperform" rating in a report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and seven have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $305.91.

Zscaler Price Performance

Zscaler stock traded down $10.16 during mid-day trading on Wednesday, hitting $264.41. The company's stock had a trading volume of 2,142,495 shares, compared to its average volume of 2,135,269. The stock has a market cap of $41.17 billion, a price-to-earnings ratio of -1,016.19, a price-to-earnings-growth ratio of 259.58 and a beta of 1.05. The business has a 50 day moving average price of $287.86 and a 200-day moving average price of $249.96. Zscaler has a 12 month low of $153.45 and a 12 month high of $318.46.

Zscaler (NASDAQ:ZS - Get Free Report) last issued its quarterly earnings data on Tuesday, September 2nd. The company reported $0.89 EPS for the quarter, beating the consensus estimate of $0.80 by $0.09. The firm had revenue of $719.23 million during the quarter, compared to the consensus estimate of $707.15 million. Zscaler had a negative net margin of 1.52% and a negative return on equity of 0.59%. The company's quarterly revenue was up 21.3% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.88 earnings per share. 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 research analysts expect that Zscaler will post -0.1 earnings per share for the current fiscal year.

Insider Activity at Zscaler

In other Zscaler news, insider Robert Schlossman sold 3,590 shares of the stock in a transaction that occurred on Tuesday, June 17th. The shares were sold at an average price of $303.70, for a total value of $1,090,283.00. Following the transaction, the insider directly owned 92,144 shares in the company, valued at approximately $27,984,132.80. This trade represents a 3.75% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Raj Judge sold 2,957 shares of the stock in a transaction that occurred on Tuesday, June 17th. The stock was sold at an average price of $303.70, for a total transaction of $898,040.90. Following the completion of the transaction, the executive vice president owned 76,289 shares in the company, valued at $23,168,969.30. The trade was a 3.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 143,305 shares of company stock valued at $43,199,936 over the last quarter. 18.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. T. Rowe Price Investment Management Inc. purchased a new stake in shares of Zscaler in the first quarter worth $516,622,000. Federated Hermes Inc. increased its stake in shares of Zscaler by 314.0% in the second quarter. Federated Hermes Inc. now owns 1,171,983 shares of the company's stock worth $367,932,000 after purchasing an additional 888,888 shares in the last quarter. Vanguard Group Inc. increased its stake in shares of Zscaler by 8.3% in the second quarter. Vanguard Group Inc. now owns 10,715,132 shares of the company's stock worth $3,363,909,000 after purchasing an additional 824,626 shares in the last quarter. Nuveen LLC purchased a new stake in shares of Zscaler in the first quarter worth $153,340,000. Finally, Goldman Sachs Group Inc. increased its stake in shares of Zscaler by 23.4% in the first quarter. Goldman Sachs Group Inc. now owns 3,048,238 shares of the company's stock worth $604,831,000 after purchasing an additional 578,883 shares in the last quarter. 46.45% of the stock is currently owned by institutional investors.

Zscaler Company 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.

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