Zscaler (NASDAQ:ZS) Issues 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 FY 2025 guidance to 2.940-2.990 EPS.

Zscaler Price Performance

Shares of Zscaler stock opened at $198.64 on Wednesday. Zscaler has a one year low of $153.45 and a one year high of $259.61. The business’s 50 day simple moving average is $190.79 and its two-hundred day simple moving average is $185.01. The stock has a market capitalization of $30.48 billion, a P/E ratio of -794.56 and a beta of 0.82.

Zscaler (NASDAQ:ZS) last posted its quarterly earnings results on Monday, December 2nd. The company reported $0.77 EPS for the quarter, beating analysts’ consensus estimates of $0.63 by $0.14. The company had revenue of $628.00 million during the quarter, compared to analyst estimates of $605.51 million. Zscaler had a negative net margin of 1.58% and a negative return on equity of 0.80%. The firm’s revenue was up 26.4% compared to the same quarter last year. During the same period in the prior year, the business posted ($0.18) EPS. Sell-side analysts expect that Zscaler will post -0.95 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on ZS. Needham & Company LLC restated a “buy” rating and set a $240.00 price target on shares of Zscaler in a report on Tuesday. UBS Group reduced their target price on Zscaler from $270.00 to $250.00 and set a “buy” rating on the stock in a research note on Wednesday, September 4th. Scotiabank raised their price target on Zscaler from $195.00 to $205.00 and gave the stock a “sector outperform” rating in a research note on Tuesday. BNP Paribas assumed coverage on shares of Zscaler in a research report on Tuesday, October 8th. They set a “neutral” rating and a $180.00 price objective on the stock. Finally, Royal Bank of Canada restated an “outperform” rating and issued a $230.00 price objective on shares of Zscaler in a report on Tuesday. Eleven investment analysts have rated the stock with a hold rating and twenty-three have given a buy rating to the company. According to data from MarketBeat.com, Zscaler currently has an average rating of “Moderate Buy” and a consensus price target of $224.38.

Insiders Place Their Bets

In other Zscaler news, insider Robert Schlossman sold 4,947 shares of the business’s stock in a transaction dated Monday, September 30th. The stock was sold at an average price of $170.22, for a total value of $842,078.34. Following the completion of the transaction, the insider now owns 107,241 shares of the company’s stock, valued at approximately $18,254,563.02. The trade was a 4.41 % decrease in their position. The sale 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 firm’s stock in a transaction dated Tuesday, September 17th. The shares were sold at an average price of $171.28, for a total transaction of $488,490.56. Following the sale, the chief executive officer now directly owns 361,432 shares in the company, valued at approximately $61,906,072.96. The trade was a 0.78 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 30,502 shares of company stock valued at $5,256,651. Insiders own 18.10% of the company’s stock.

About Zscaler

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.