Zscaler (NASDAQ:ZS) Reaches New 52-Week High - Should You Buy?

Zscaler, Inc. (NASDAQ:ZS - Get Free Report) hit a new 52-week high on Tuesday . The company traded as high as $318.46 and last traded at $315.35, with a volume of 199124 shares. The stock had previously closed at $315.45.

Analysts Set New Price Targets

ZS has been the topic of several recent research reports. Needham & Company LLC increased their price objective on Zscaler from $240.00 to $310.00 and gave the company a "buy" rating in a research report on Friday, May 30th. Oppenheimer increased their price objective on Zscaler from $290.00 to $345.00 and gave the company an "outperform" rating in a research report on Friday, June 6th. FBN Securities upgraded Zscaler to a "strong-buy" rating in a research report on Friday, May 30th. Robert W. Baird increased their price objective on Zscaler from $295.00 to $315.00 and gave the company an "outperform" rating in a research report on Friday, May 30th. Finally, Jefferies Financial Group reduced their price objective on Zscaler from $245.00 to $240.00 and set a "buy" rating on the stock in a research report on Monday, March 31st. Eight investment analysts have rated the stock with a hold rating, twenty-nine have issued a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $296.82.

Zscaler Price Performance

The firm has a fifty day simple moving average of $276.08 and a two-hundred day simple moving average of $225.01.

Zscaler (NASDAQ:ZS - Get Free Report) last released its quarterly earnings data on Thursday, May 29th. The company reported $0.84 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.08. Zscaler had a negative return on equity of 0.59% and a negative net margin of 1.52%. The business had revenue of $678.03 million during the quarter, compared to analysts' expectations of $667.13 million. During the same quarter last year, the business posted $0.88 EPS. The business's revenue was up 22.6% on a year-over-year basis. As a group, sell-side analysts forecast that Zscaler, Inc. will post -0.1 earnings per share for the current year.

Insider Transactions at Zscaler

In other news, insider Robert Schlossman sold 4,618 shares of the stock in a transaction that occurred on Wednesday, June 4th. The stock was sold at an average price of $300.00, for a total value of $1,385,400.00. Following the completion of the transaction, the insider owned 95,612 shares of the company's stock, valued at approximately $28,683,600. This represents a 4.61% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder Ajay Mangal sold 120,000 shares of the firm's stock in a transaction that occurred on Monday, June 9th. The shares were sold at an average price of $300.89, for a total value of $36,106,800.00. Following the transaction, the insider directly owned 2,550,210 shares of the company's stock, valued at approximately $767,332,686.90. This trade represents a 4.49% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 200,793 shares of company stock worth $58,752,794. 18.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. GAMMA Investing LLC increased its position in Zscaler by 43.1% during the 1st quarter. GAMMA Investing LLC now owns 641 shares of the company's stock valued at $127,000 after buying an additional 193 shares in the last quarter. Krane Funds Advisors LLC raised its stake in shares of Zscaler by 36.4% in the first quarter. Krane Funds Advisors LLC now owns 1,667 shares of the company's stock worth $331,000 after purchasing an additional 445 shares during the last quarter. Merit Financial Group LLC raised its stake in shares of Zscaler by 42.0% in the first quarter. Merit Financial Group LLC now owns 6,197 shares of the company's stock worth $1,230,000 after purchasing an additional 1,832 shares during the last quarter. Arlington Capital Management Inc. purchased a new position in shares of Zscaler in the fourth quarter worth $2,107,000. Finally, DnB Asset Management AS raised its stake in shares of Zscaler by 66.8% in the fourth quarter. DnB Asset Management AS now owns 667,383 shares of the company's stock worth $120,403,000 after purchasing an additional 267,162 shares during the last quarter. Institutional investors own 46.45% of the company's stock.

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.