Zscaler (NASDAQ:ZS) Updates FY25 Earnings Guidance

Zscaler (NASDAQ:ZS) issued an update on its FY25 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of $2.94-$2.99 for the period, compared to the consensus 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 Stock Down 4.7 %

Shares of ZS opened at $198.64 on Wednesday. The business has a 50-day simple moving average of $190.79 and a two-hundred day simple moving average of $185.01. Zscaler has a 52 week low of $153.45 and a 52 week high of $259.61. The stock has a market cap of $30.48 billion, a price-to-earnings 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 earnings per share for the quarter, topping analysts’ consensus estimates of $0.63 by $0.14. The business 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 company’s revenue was up 26.4% on a year-over-year basis. During the same period in the prior year, the business posted ($0.18) earnings per share. On average, equities analysts anticipate that Zscaler will post -0.95 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several analysts recently issued reports on ZS shares. Loop Capital decreased their target price on Zscaler from $200.00 to $195.00 and set a “hold” rating on the stock in a research note on Tuesday. JPMorgan Chase & Co. lifted their target price on Zscaler from $220.00 to $240.00 and gave the stock an “overweight” rating in a report on Friday, November 29th. Wedbush dropped their price target on Zscaler from $260.00 to $220.00 and set an “outperform” rating for the company in a research note on Wednesday, September 4th. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $190.00 price objective on shares of Zscaler in a research note on Wednesday, September 4th. Finally, UBS Group cut their price objective on shares of Zscaler from $270.00 to $250.00 and set a “buy” rating on the stock in a research report on Wednesday, September 4th. Eleven investment analysts have rated the stock with a hold rating and twenty-three have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $224.38.

Insider Buying and Selling at Zscaler

In other Zscaler news, insider Robert Schlossman sold 1,435 shares of the company’s stock in a transaction on Wednesday, October 9th. The stock was sold at an average price of $181.70, for a total transaction of $260,739.50. Following the completion of the sale, the insider now owns 105,806 shares in the company, valued at $19,224,950.20. This represents a 1.34 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Andrew William Fraser Brown sold 8,000 shares of Zscaler stock in a transaction on Monday, September 23rd. The shares were sold at an average price of $174.10, for a total value of $1,392,800.00. Following the completion of the transaction, the director now owns 25,907 shares in the company, valued at $4,510,408.70. This represents a 23.59 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 30,502 shares of company stock valued at $5,256,651. Company insiders own 18.10% of the company’s stock.

Zscaler Company Profile

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.