Wedbush Weighs in on Zscaler’s Q1 Earnings (NASDAQ:ZS)

Zscaler, Inc. (NASDAQ:ZS) – Investment analysts at Wedbush issued their Q1 2027 earnings estimates for shares of Zscaler in a research report issued on Wednesday, September 3rd. Wedbush analyst D. Ives anticipates that the company will post earnings per share of $0.03 for the quarter. Wedbush has a “Outperform” rating and a $330.00 price target on the stock. The consensus estimate for Zscaler’s current full-year earnings is ($0.10) per share. Wedbush also issued estimates for Zscaler’s Q2 2027 earnings at $0.09 EPS, Q3 2027 earnings at $0.10 EPS, Q4 2027 earnings at $0.14 EPS and FY2027 earnings at $0.35 EPS.

Other equities research analysts also recently issued reports about the stock. Wall Street Zen downgraded shares of Zscaler from a “buy” rating to a “hold” rating in a research note on Saturday, August 30th. BTIG Research restated a “buy” rating on shares of Zscaler in a research report on Thursday, July 10th. Bank of America raised their price objective on shares of Zscaler from $285.00 to $340.00 and gave the stock a “buy” rating in a research report on Monday, June 9th. Rosenblatt Securities raised their price objective on shares of Zscaler from $315.00 to $330.00 and gave the stock a “buy” rating in a research report on Wednesday. Finally, Stephens restated an “overweight” rating and set a $255.00 price objective on shares of Zscaler in a research report on Tuesday, May 27th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $307.00.

Zscaler Stock Performance

Shares of NASDAQ:ZS opened at $274.20 on Friday. Zscaler has a 52-week low of $153.45 and a 52-week high of $318.46. The company has a market capitalization of $42.69 billion, a P/E ratio of -1,015.56, a price-to-earnings-growth ratio of 221.54 and a beta of 1.05. The company has a 50-day simple moving average of $285.29 and a 200 day simple moving average of $250.88.

Zscaler (NASDAQ:ZS) last issued its earnings results on Tuesday, September 2nd. The company reported $0.89 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.80 by $0.09. Zscaler had a negative net margin of 1.55% and a negative return on equity of 0.49%. The business had revenue of $719.23 million during the quarter, compared to the consensus estimate of $707.15 million. During the same period last year, the business posted $0.88 EPS. Zscaler’s revenue was up 21.3% on a year-over-year basis. Zscaler has set its FY 2026 guidance at 3.640-3.680 EPS. Q1 2026 guidance at 0.850-0.860 EPS.

Insider Buying and Selling

In other news, CEO Jagtar Singh Chaudhry sold 2,849 shares of Zscaler stock in a transaction that occurred on Tuesday, June 17th. The shares were sold at an average price of $303.70, for a total value of $865,241.30. Following the completion of the sale, the chief executive officer directly owned 353,565 shares in the company, valued at approximately $107,377,690.50. The trade was a 0.80% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Adam Geller sold 3,662 shares of the business’s stock in a transaction that occurred on Wednesday, June 18th. The shares were sold at an average price of $306.72, for a total transaction of $1,123,208.64. Following the transaction, the insider owned 46,813 shares of the company’s stock, valued at approximately $14,358,483.36. This represents a 7.26% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 143,305 shares of company stock valued at $43,199,936 in the last quarter. Corporate insiders own 18.10% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Quaker Wealth Management LLC raised its position in Zscaler by 200.0% during the second quarter. Quaker Wealth Management LLC now owns 97 shares of the company’s stock valued at $30,000 after purchasing an additional 194 shares in the last quarter. Exane Asset Management raised its position in Zscaler by 185.7% during the second quarter. Exane Asset Management now owns 100 shares of the company’s stock valued at $31,000 after purchasing an additional 65 shares in the last quarter. Kozak & Associates Inc. acquired a new position in Zscaler during the second quarter valued at approximately $35,000. ORG Partners LLC raised its position in Zscaler by 284.8% during the first quarter. ORG Partners LLC now owns 127 shares of the company’s stock valued at $26,000 after purchasing an additional 94 shares in the last quarter. Finally, SVB Wealth LLC acquired a new position in Zscaler during the first quarter valued at approximately $26,000. 46.45% of the stock is currently owned by institutional investors and hedge funds.

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.