Zscaler (NASDAQ:ZS) Insider Sells $354,363.17 in Stock

Zscaler, Inc. (NASDAQ:ZS) insider Robert Schlossman sold 2,263 shares of the firm’s stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $156.59, for a total value of $354,363.17. Following the sale, the insider directly owned 72,390 shares of the company’s stock, valued at $11,335,550.10. This represents a 3.03% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link.

Zscaler Stock Down 2.5%

Zscaler stock opened at $151.47 on Friday. The stock has a market cap of $24.35 billion, a P/E ratio of -360.64 and a beta of 1.07. The company has a quick ratio of 1.90, a current ratio of 1.90 and a debt-to-equity ratio of 0.78. Zscaler, Inc. has a twelve month low of $140.56 and a twelve month high of $336.99. The company’s 50-day moving average price is $177.87 and its two-hundred day moving average price is $242.86.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings data on Thursday, February 26th. The company reported $1.01 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.89 by $0.12. Zscaler had a positive return on equity of 0.06% and a negative net margin of 2.25%.The company had revenue of $815.75 million during the quarter, compared to analysts’ expectations of $798.92 million. During the same quarter in the previous year, the company posted $0.78 earnings per share. The business’s revenue was up 25.9% on a year-over-year basis. Zscaler has set its Q3 2026 guidance at 1.000-1.010 EPS and its FY 2026 guidance at 3.990-4.020 EPS. As a group, analysts expect that Zscaler, Inc. will post -0.1 EPS for the current year.

Key Stories Impacting Zscaler

Here are the key news stories impacting Zscaler this week:

• Positive Sentiment: Zscaler will establish a global headquarters in Santa Clara, signaling long‑term commitment and capacity to scale operations and hiring in a core tech market. Zscaler to establish global headquarters in Santa Clara
• Positive Sentiment: Commercial/product wins: Zscaler launched an AI & Cyber Threat Research Center with Bharti Airtel and expanded global data‑sovereignty controls on its Zero Trust Exchange — moves that help win regulated and APAC customers and support ARR growth. Partnership with Bharti Airtel Data sovereignty expansion
• Neutral Sentiment: Fundamentals: Zscaler beat February quarterly EPS and revenue estimates and provided FY/Q guidance that kept investors focused on growth vs. margin tradeoffs (guidance supports recurring revenue visibility but AI investments may pressure margins). Company overview & latest results
• Negative Sentiment: Unusually heavy put‑option activity — about 47,656 puts traded (~74% above average), indicating elevated bearish positioning and the potential for amplified downside volatility. Options trading alert
• Negative Sentiment: Clustered insider selling — multiple Form 4s show CEO, CFO, EVP and other senior insiders sold stock mid‑March. Collectively these sales are being read as a near‑term negative signal, even if for liquidity/tax reasons. SEC insider filing (example)
• Negative Sentiment: Analyst pressure and competition — recent price‑target trims (Oppenheimer, BMO, Needham, Piper) and comparisons to CrowdStrike highlight faster ARR/margin momentum at some peers and growing margin pressure from Zscaler’s newer AI offerings, weighing on valuation. Price target coverage Competitive comparison

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Binnacle Investments Inc acquired a new position in Zscaler in the third quarter valued at about $25,000. Tradewinds Capital Management LLC grew its stake in Zscaler by 145.7% during the third quarter. Tradewinds Capital Management LLC now owns 86 shares of the company’s stock worth $26,000 after buying an additional 51 shares in the last quarter. Root Financial Partners LLC acquired a new stake in Zscaler during the third quarter worth about $26,000. McIlrath & Eck LLC acquired a new stake in Zscaler during the third quarter worth about $29,000. Finally, AlphaCentric Advisors LLC bought a new position in Zscaler in the 4th quarter valued at about $29,000. Institutional investors own 46.45% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have commented on ZS. Piper Sandler decreased their price objective on Zscaler from $260.00 to $185.00 and set a “neutral” rating on the stock in a report on Friday, February 27th. Scotiabank dropped their target price on Zscaler from $334.00 to $320.00 and set a “sector outperform” rating for the company in a report on Wednesday, November 26th. The Goldman Sachs Group reduced their target price on shares of Zscaler from $290.00 to $257.00 and set a “neutral” rating for the company in a research report on Monday, March 2nd. Barclays set a $220.00 price target on shares of Zscaler in a research note on Thursday, February 19th. Finally, BTIG Research dropped their price objective on shares of Zscaler from $365.00 to $209.00 and set a “buy” rating for the company in a research note on Tuesday, February 24th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, six have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Zscaler presently has an average rating of “Moderate Buy” and an average price target of $267.13.

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.