Zscaler (NASDAQ:ZS) Updates FY 2025 Earnings Guidance

Zscaler (NASDAQ:ZS) updated its FY 2025 earnings guidance on Monday. The company provided earnings per share (EPS) guidance of 2.940-2.990 for the period, compared to the consensus estimate of 2.870. The company issued revenue guidance of $2.6 billion-$2.6 billion, compared to the consensus revenue estimate of $2.6 billion. Zscaler also updated its FY25 guidance to $2.94-$2.99 EPS.

Zscaler Stock Performance

Shares of ZS traded up $1.92 during trading hours on Monday, hitting $208.51. The stock had a trading volume of 5,205,942 shares, compared to its average volume of 2,018,687. Zscaler has a 12-month low of $153.45 and a 12-month high of $259.61. The firm has a market cap of $31.99 billion, a P/E ratio of -516.46 and a beta of 0.82. The company’s fifty day simple moving average is $190.12 and its 200 day simple 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 analysts’ consensus estimates 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 company had revenue of $628.00 million for the quarter, compared to the consensus estimate of $605.51 million. During the same period last year, the business posted ($0.18) EPS. The company’s quarterly revenue was up 26.4% compared to the same quarter last year. As a group, sell-side analysts predict that Zscaler will post -0.95 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on ZS shares. Citigroup reduced their target price on shares of Zscaler from $240.00 to $230.00 and set a “buy” rating on the stock in a report on Friday, October 4th. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $230.00 target price on shares of Zscaler in a research report on Wednesday, September 4th. UBS Group lowered their price objective on shares of Zscaler from $270.00 to $250.00 and set a “buy” rating for the company in a research report on Wednesday, September 4th. Cantor Fitzgerald raised shares of Zscaler to a “hold” rating in a research report on Monday, November 18th. Finally, Susquehanna reaffirmed a “positive” rating and set a $210.00 price target on shares of Zscaler in a report on Thursday, September 5th. Ten equities research analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $221.13.

Insider Transactions at Zscaler

In other news, Director Andrew William Fraser Brown sold 8,000 shares of the company’s stock in a transaction dated Monday, September 23rd. The shares were sold at an average price of $174.10, for a total transaction of $1,392,800.00. Following the completion of the transaction, the director now owns 25,907 shares in the company, valued at approximately $4,510,408.70. This represents a 23.59 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Remo Canessa sold 8,455 shares of Zscaler stock in a transaction dated 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 in the company, valued at approximately $39,701,505.04. This represents a 3.52 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 30,502 shares of company stock worth $5,256,651. 18.10% of the stock is currently owned by company 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.