Zscaler (NASDAQ:ZS) Issues Q2 Earnings Guidance

Zscaler (NASDAQ:ZS) issued an update on its second quarter earnings guidance on Monday morning. The company provided EPS guidance of $0.68-$0.69 for the period, compared to the consensus EPS estimate of $0.68. The company issued revenue guidance of $633-$635 million, compared to the consensus revenue estimate of $632.97 million. Zscaler also updated its FY25 guidance to $2.94-$2.99 EPS.

Zscaler Stock Up 0.9 %

ZS traded up $1.92 during trading on Monday, reaching $208.51. 4,831,689 shares of the company were exchanged, compared to its average volume of 2,010,920. Zscaler has a 12-month low of $153.45 and a 12-month high of $259.61. The company has a market cap of $31.99 billion, a price-to-earnings ratio of -516.46 and a beta of 0.82. The company’s 50-day moving average is $190.12 and its two-hundred day moving average is $184.80.

Zscaler (NASDAQ:ZS) last released its quarterly earnings data on Monday, December 2nd. The company reported $0.77 EPS for the quarter, topping the consensus estimate of $0.63 by $0.14. Zscaler had a negative return on equity of 3.46% and a negative net margin of 2.66%. The firm had revenue of $628.00 million for the quarter, compared to the consensus estimate of $605.51 million. During the same quarter in the previous year, the business earned ($0.18) earnings per share. The company’s quarterly revenue was up 26.4% on a year-over-year basis. Equities analysts forecast that Zscaler will post -0.95 earnings per share for the current year.

Analysts Set New Price Targets

A number of brokerages recently issued reports on ZS. Wells Fargo & Company decreased their price target on Zscaler from $182.00 to $180.00 and set an “equal weight” rating for the company in a research note on Wednesday, September 4th. Loop Capital lowered their target price on Zscaler from $180.00 to $165.00 and set a “hold” rating for the company in a report on Wednesday, September 4th. Stifel Nicolaus increased their target price on shares of Zscaler from $220.00 to $235.00 and gave the company a “buy” rating in a research report on Thursday, November 14th. Susquehanna restated a “positive” rating and set a $210.00 price target on shares of Zscaler in a research note on Thursday, September 5th. Finally, Barclays raised their target price on Zscaler from $200.00 to $220.00 and gave the stock an “overweight” rating in a research note on Thursday, November 21st. Ten equities research analysts have rated the stock with a hold rating, twenty-one have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $221.13.

Insider Buying and Selling at Zscaler

In other news, CFO Remo Canessa sold 8,455 shares of the firm’s stock in a transaction that occurred on Tuesday, September 17th. The shares were sold at an average price of $171.28, for a total transaction of $1,448,172.40. Following the completion of the sale, the chief financial officer now owns 231,793 shares of the company’s stock, valued at approximately $39,701,505.04. This trade represents a 3.52 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Jagtar Singh Chaudhry sold 2,852 shares of the company’s stock in a transaction on Tuesday, September 17th. The shares were sold at an average price of $171.28, for a total transaction of $488,490.56. Following the completion of the sale, the chief executive officer now directly owns 361,432 shares in the company, valued at $61,906,072.96. This represents a 0.78 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 30,502 shares of company stock worth $5,256,651 in the last quarter. 18.10% of the stock is owned by insiders.

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.