Zscaler, Inc. (NASDAQ:ZS), a leading cloud security company, recently gained the attention of Atomi Financial Group Inc. The financial firm acquired a new position in Zscaler during the first quarter of this year, as reported in its most recent filing with the Securities and Exchange Commission (SEC). Atomi Financial Group Inc. purchased 18,962 shares of Zscaler’s stock, representing approximately $2,215,000 in value.
This new acquisition contributes to Zscaler’s growing presence within Atomi Financial Group Inc.’s investment portfolio. With a 1.2% share allocation, Zscaler now holds the 14th largest position within the firm’s investment holdings.
ZS shares exhibited some fluctuations during mid-day trading on Wednesday, September 14th. The stock experienced a decline of $0.85, reaching a price of $159.37. A total of 510,146 shares were exchanged throughout the day, which is noteworthy compared to its average volume of 2,698,052 shares traded.
When considering trends over a longer period of time, it is worth noting that Zscaler’s 50-day moving average stands at $149.35 while its 200-day moving average is recorded at $130.89. These figures provide investors with insights into potential price developments and aid in forecasting future performance.
As for its market capitalization, Zscaler currently boasts a value of approximately $23.25 billion—a testament to its strong market presence and investor confidence. The company maintains a beta value of 0.85 and possesses a negative price-to-earnings ratio of -113.30 due to its growth-focused strategy.
Over the past year, Zscaler’s stock has demonstrated considerable price range between its fifty-two week low and high points—$84.93 and $185.99 respectively—reflecting both challenges faced by the market and successes achieved by the company.
In terms of finances, Zscaler, Inc. has a debt-to-equity ratio of 1.90, indicating its utilization of debt to finance operations and investment activities. Meanwhile, the quick ratio and current ratio are both recorded at 1.96, revealing a strong liquidity position that allows for the orderly repayment of liabilities.
Zscaler remains focused on pioneering cloud security solutions for enterprises worldwide. With its innovative approach to secure access service edge (SASE), the company continues to attract attention from investors such as Atomi Financial Group Inc., solidifying its position as a key player in the industry.
As always, potential investors and individuals interested in Zscler’s stock are encouraged to conduct their own research and analysis before making any investment decisions.
Zscaler, Inc.
ZS
Buy
Updated on: 03/12/2023
Financial Health
Healthy
Debt to equity ratio: Strong Buy
Price to earnings ratio: Strong Sell
Price to book ratio: Strong Buy
DCF: Strong Buy
ROE: Sell
Zscaler: Institutional Investors and Analysts Bullish on Stock Following Strong Earnings
On September 14, 2023, it was reported that several institutional investors had recently acquired and sold shares of Zscaler, a company listed on the NASDAQ stock exchange. Private Trust Co. NA purchased a new stake in Zscaler in the first quarter, amounting to approximately $29,000. Similarly, Householder Group Estate & Retirement Specialist LLC and CoreCap Advisors LLC also acquired positions in Zscaler during the same period, worth approximately $29,000 and $38,000 respectively. KB Financial Partners LLC and Vestor Capital LLC rounded off the list of institutional investors who purchased new positions in Zscaler in the first quarter with investments worth $39,000 and $40,000 respectively. Currently, institutional investors and hedge funds own 46.45% of the company’s stock.
In other news pertaining to Zscaler’s stock transactions, insider Robert Schlossman recently sold 5,013 shares on June 16th at an average price of $156.64 per share for a total transaction value of $785,236.32. Following this transaction, Schlossman now directly owns 137,099 shares in the company valuing at $21,475,187.36 as of disclosure filed with the SEC (Securities and Exchange Commission). Additionally, COO Dali Rajic sold 22k shares of Zscaler stock on July 6th at an average price of $141.50 per share totaling to approximately $3.11 million worth of shares sold in that transaction alone. Post-sale completion Rajic owned 306k shares amounting to roughly $43.36 million valuation as disclosed by reports filed with SEC.
Taking into account all recent insider transactions within Zscaler over the course of three months up until recent days prior to September 14th reveals that insiders have collectively sold off company shares amounting to roughly 128k with an estimated value of $19.4 million. A figure worth noting both in relation to the volume and valuation it represents as well as the fact that insiders consequently maintain ownership of 19.8% of Zscaler’s stock.
Furthermore, on September 5th, Zscaler announced its earnings results for the most recent quarter reporting earnings per share (EPS) of $0.64—eclipsing the consensus estimate by $0.15 per share with analysts predicting EPS of $0.49. Additionally, the company reported a revenue of $455 million for the quarter which surpassed analyst expectations of $430.38 million—a growth rate suggesting a remarkable 43% increase compared to the same period last year. This impressive performance is further underscored by Zscaler’s negative net margin amounting to 12.51% and a negative return on equity reaching 34.75%. In comparison, during the same quarter in the previous year, Zscaler had marked a loss per share valued at ($0.40).
Market analysts have shared their insights regarding Zscaler’s performance and future prospects recently as well. Wedbush raised its target price from $160 to $185 for Zscler’s shares and issued an “outperform” rating on September 6th this year by citing positive anticipation towards future stock performances while Oppenheimer has similarly upgraded its target price from $180 to $190 with an “outperform” rating following assessment done likewise on September 6th.
JMP Securities maintains its “market outperform” rating on Zscaler, issuing a target price of $225—an optimistic projection provided in their reports filed with SEC on September 6th this year which highlights favorable market performance expectations for company shares moving forward.
Similarly injecting positivity into these projections UBS Group increased its target price from
$175 to $190 providing valuable data-driven reasoning while finally Cantor Fitzgerald has maintained its neutral rating but increased their target price from $160 to $170.
Analysts covering Zscaler’s stock performance currently offer a brokerage’s average of a “Moderate Buy” rating for the securities and a calculated average target price estimate of $182.03.
Considering these recent market developments and predictions, it is clear that Zscaler has garnered attention among institutional investors and analysts. With its impressive earnings results and positive outlook, the company’s stock has attracted significant interest, leading to an increased valuation and a higher target price by various analysts. As always, investors should carefully consider all available information before making any investment decisions.
Discussion about this post