Zscaler (NASDAQ:ZS) Releases FY25 Earnings Guidance

Zscaler (NASDAQ:ZS) updated its FY25 earnings guidance on Monday. The company provided earnings per share guidance of $2.94-$2.99 for the period, compared to the consensus earnings per share estimate of $2.86. The company issued revenue guidance of $2.623-$2.643 billion, compared to the consensus revenue estimate of $2.61 billion. Zscaler also updated its Q2 guidance to $0.68-$0.69 EPS.

Zscaler Price Performance

Zscaler stock traded up $1.92 during trading hours on Monday, hitting $208.51. The company had a trading volume of 4,831,689 shares, compared to its average volume of 2,010,920. Zscaler has a fifty-two week low of $153.45 and a fifty-two week high of $259.61. The firm has a market capitalization of $31.99 billion, a P/E ratio of -516.46 and a beta of 0.82. The firm’s fifty day moving average is $190.12 and its 200-day moving average is $184.80.

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

Analyst Ratings Changes

A number of equities analysts have recently commented on the company. BTIG Research lifted their price objective on Zscaler from $205.00 to $238.00 and gave the stock a “buy” rating in a research note on Wednesday, November 27th. Bank of America downgraded shares of Zscaler from a “buy” rating to a “neutral” rating and dropped their price objective for the stock from $265.00 to $195.00 in a report on Wednesday, September 4th. Scotiabank decreased their target price on Zscaler from $210.00 to $195.00 and set a “sector outperform” rating on the stock in a research report on Wednesday, September 4th. Jefferies Financial Group upped their price target on Zscaler from $225.00 to $245.00 and gave the company a “buy” rating in a report on Tuesday, November 26th. Finally, Royal Bank of Canada reissued an “outperform” rating and set a $230.00 price objective on shares of Zscaler in a report on Wednesday, September 4th. Ten analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $221.13.

Insider Activity at Zscaler

In related news, insider Michael J. Rich sold 4,813 shares of the company’s stock in a transaction on Tuesday, September 17th. The stock was sold at an average price of $171.28, for a total transaction of $824,370.64. Following the completion of the sale, the insider now owns 103,259 shares in the company, valued at approximately $17,686,201.52. This represents a 4.45 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Robert Schlossman sold 4,947 shares of the stock in a transaction dated Monday, September 30th. The shares were sold at an average price of $170.22, for a total transaction of $842,078.34. Following the completion of the sale, the insider now owns 107,241 shares of the company’s stock, valued at approximately $18,254,563.02. This trade represents a 4.41 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 30,502 shares of company stock worth $5,256,651 over the last ninety days. Insiders own 18.10% 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.