Zscaler (ZS) concluded the recent trading session at $148.19, signifying a -2.56% move from its prior day's close.
Zscaler (ZS) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, ZS broke out above the 50-day moving average, suggesting a short-term bullish trend.
Zscaler (ZS) concluded the recent trading session at $143.55, signifying a -3.98% move from its prior day's close.
ZS faces higher AI infrastructure costs, but scale, pricing actions and operating discipline may help protect margins as demand stays strong.
ZS' steep drop, slowing growth and higher AI-related costs worry investors, but strong results, AI security traction and cheaper valuation support holding the stock.
Recently, Zacks.com users have been paying close attention to Zscaler (ZS). This makes it worthwhile to examine what the stock has in store.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
Zscaler remains a "Strong Buy" despite recent volatility and decelerating growth, supported by robust cybersecurity demand and AI-driven resilience. ZS delivered 25% YoY revenue growth to $850 million, beat guidance, and achieved 100 bps non-GAAP operating margin expansion, though GAAP losses widened. Management guides for 22% Q4 and 17% FY27 revenue growth, citing sales leadership volatility but expects long-term acceleration from agentic AI adoption.
Zscaler has experienced a ~40% YTD selloff despite continued quarterly beat-and-raise performance and robust fundamentals. ZS maintains mid-20s revenue growth at a $3 billion+ scale, with no clear signs of AI-driven disruption to its cybersecurity business. The company is transitioning from seat-based to consumption-based pricing, positioning itself ahead of employment-driven demand shifts.
Zscaler (ZS) reported earnings 30 days ago. What's next for the stock?
Zscaler (ZS) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Zscaler (ZS) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.