Citigroup Cuts Zscaler (NASDAQ:ZS) Price Target to $305.00

Zscaler (NASDAQ:ZS) had its price objective lowered by analysts at Citigroup from $350.00 to $305.00 in a research report issued on Tuesday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Citigroup’s price target would indicate a potential upside of 42.77% from the stock’s previous close.

A number of other research firms have also recently weighed in on ZS. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Zscaler in a report on Wednesday, November 26th. Citizens Jmp reaffirmed a “market outperform” rating and set a $355.00 target price on shares of Zscaler in a research note on Wednesday, November 26th. HC Wainwright reissued a “buy” rating on shares of Zscaler in a research note on Wednesday, November 26th. Morgan Stanley set a $305.00 price target on Zscaler in a report on Thursday, December 18th. Finally, UBS Group cut their price objective on shares of Zscaler from $350.00 to $340.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. One investment analyst has rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Zscaler has an average rating of “Moderate Buy” and a consensus price target of $317.63.

Zscaler Stock Down 1.4%

NASDAQ ZS traded down $3.00 on Tuesday, reaching $213.63. The company had a trading volume of 798,991 shares, compared to its average volume of 1,551,747. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.82 and a quick ratio of 1.82. Zscaler has a 1 year low of $164.78 and a 1 year high of $336.99. The firm has a 50-day moving average of $256.34 and a 200-day moving average of $280.20. The firm has a market capitalization of $34.07 billion, a PE ratio of -821.97, a P/E/G ratio of 4,155.78 and a beta of 1.02.

Zscaler (NASDAQ:ZS) last announced its earnings results on Tuesday, November 25th. The company reported $0.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.85 by $0.11. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.The business had revenue of $788.11 million for the quarter, compared to analyst estimates of $773.86 million. During the same period in the previous year, the company earned $0.77 earnings per share. The company’s revenue for the quarter was up 25.5% compared to the same quarter last year. Zscaler has set its FY 2026 guidance at 3.780-3.820 EPS and its Q2 2026 guidance at 0.890-0.900 EPS. On average, equities research analysts anticipate that Zscaler will post -0.1 EPS for the current fiscal year.

Insider Buying and Selling at Zscaler

In other news, CFO Kevin Rubin sold 3,303 shares of the stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $230.82, for a total transaction of $762,398.46. Following the transaction, the chief financial officer owned 48,161 shares in the company, valued at $11,116,522.02. This represents a 6.42% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Robert Schlossman sold 2,349 shares of the business’s stock in a transaction on Wednesday, December 17th. The stock was sold at an average price of $232.79, for a total transaction of $546,823.71. Following the completion of the sale, the insider owned 74,653 shares of the company’s stock, valued at $17,378,471.87. The trade was a 3.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 22,550 shares of company stock worth $5,511,509 over the last quarter. Insiders own 17.20% of the company’s stock.

Institutional Trading of Zscaler

Large investors have recently made changes to their positions in the business. SG Americas Securities LLC lifted its holdings in Zscaler by 1,519.9% during the 4th quarter. SG Americas Securities LLC now owns 116,128 shares of the company’s stock worth $26,120,000 after purchasing an additional 108,959 shares during the last quarter. Diversified Trust Co. lifted its stake in Zscaler by 11.6% during the fourth quarter. Diversified Trust Co. now owns 4,578 shares of the company’s stock worth $1,030,000 after purchasing an additional 477 shares during the last quarter. Norway Savings Bank grew its position in Zscaler by 15.7% in the fourth quarter. Norway Savings Bank now owns 7,533 shares of the company’s stock valued at $1,694,000 after acquiring an additional 1,023 shares during the last quarter. Wedmont Private Capital grew its stake in shares of Zscaler by 2.9% during the fourth quarter. Wedmont Private Capital now owns 2,173 shares of the company’s stock worth $502,000 after buying an additional 61 shares during the last quarter. Finally, Green Alpha Advisors LLC raised its position in Zscaler by 3.3% in the fourth quarter. Green Alpha Advisors LLC now owns 2,827 shares of the company’s stock valued at $636,000 after purchasing an additional 90 shares during the last quarter. Institutional investors own 46.45% of the company’s stock.

About Zscaler

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.