Zscaler (NASDAQ:ZS) Issues Quarterly Earnings Results, Beats Expectations By $0.05 EPS

Zscaler (NASDAQ:ZSGet Rating) posted its earnings results on Thursday. The company reported $0.25 earnings per share for the quarter, beating the consensus estimate of $0.20 by $0.05, Briefing.com reports. Zscaler had a negative net margin of 35.77% and a negative return on equity of 56.62%. The firm had revenue of $318.06 million during the quarter, compared to the consensus estimate of $305.54 million. During the same quarter last year, the firm earned ($0.48) EPS. The firm’s revenue for the quarter was up 61.4% on a year-over-year basis.

Zscaler Price Performance

ZS traded up $33.75 on Friday, hitting $188.00. 11,412,463 shares of the company were exchanged, compared to its average volume of 1,819,923. The company has a debt-to-equity ratio of 1.80, a quick ratio of 2.24 and a current ratio of 2.24. The business’s fifty day moving average is $161.01 and its 200 day moving average is $180.77. Zscaler has a fifty-two week low of $125.12 and a fifty-two week high of $376.11. The firm has a market capitalization of $26.67 billion, a P/E ratio of -67.87 and a beta of 1.02.

Insiders Place Their Bets

In other Zscaler news, insider Robert Schlossman sold 4,184 shares of the company’s stock in a transaction dated Thursday, June 16th. The shares were sold at an average price of $136.67, for a total value of $571,827.28. Following the sale, the insider now owns 112,861 shares of the company’s stock, valued at $15,424,712.87. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other Zscaler news, CFO Remo Canessa sold 5,010 shares of the company’s stock in a transaction dated Thursday, June 16th. The shares were sold at an average price of $136.67, for a total value of $684,716.70. Following the sale, the chief financial officer now owns 262,388 shares of the company’s stock, valued at $35,860,567.96. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Robert Schlossman sold 4,184 shares of the company’s stock in a transaction dated Thursday, June 16th. The shares were sold at an average price of $136.67, for a total transaction of $571,827.28. Following the completion of the sale, the insider now directly owns 112,861 shares in the company, valued at approximately $15,424,712.87. The disclosure for this sale can be found here. Over the last three months, insiders have sold 24,710 shares of company stock worth $3,380,302. 20.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Zscaler

Institutional investors and hedge funds have recently modified their holdings of the company. Salem Investment Counselors Inc. purchased a new position in shares of Zscaler during the first quarter valued at approximately $221,000. AlphaCrest Capital Management LLC purchased a new position in Zscaler during the first quarter worth approximately $244,000. D.A. Davidson & CO. raised its stake in Zscaler by 41.6% during the first quarter. D.A. Davidson & CO. now owns 1,130 shares of the company’s stock worth $273,000 after purchasing an additional 332 shares during the period. Dynamic Technology Lab Private Ltd purchased a new position in Zscaler during the first quarter worth approximately $298,000. Finally, Evergreen Capital Management LLC purchased a new position in Zscaler during the first quarter worth approximately $323,000. Hedge funds and other institutional investors own 45.51% of the company’s stock.

Analyst Upgrades and Downgrades

Several research firms have commented on ZS. Truist Financial dropped their price target on shares of Zscaler from $275.00 to $250.00 and set a “buy” rating for the company in a research note on Tuesday, July 26th. Needham & Company LLC lifted their price objective on shares of Zscaler from $185.00 to $210.00 and gave the stock a “strong-buy” rating in a research report on Friday. Guggenheim began coverage on shares of Zscaler in a research report on Friday, August 12th. They set a “buy” rating and a $233.00 price objective for the company. Robert W. Baird decreased their price objective on shares of Zscaler from $300.00 to $200.00 and set an “outperform” rating for the company in a research report on Friday, May 27th. Finally, Piper Sandler lifted their price objective on shares of Zscaler from $160.00 to $175.00 and gave the stock a “neutral” rating in a research report on Friday. One investment analyst has rated the stock with a sell rating, six have issued a hold rating, twenty-six have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $239.15.

About Zscaler

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Zscaler, Inc operates as a cloud security company worldwide. The company provides Zscaler Internet Access solution that provides users, servers, operational technology, Internet of Things device 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.

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Earnings History for Zscaler (NASDAQ:ZS)

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