Bernstein has downgraded Zscaler Inc (ZS) to Market Perform from Outperform, a move that underscores growing caution regarding the company’s outlook. This revision, effective November 30, 2025, may reflect concerns about competitive pressures, market conditions, or execution risks that could impact Zscaler's performance.
Currently trading at $243.94, Zscaler operates in the technology sector, providing a cloud-based internet security platform. The company, headquartered in San Jose, California, employs 7,923 full-time staff and went public on March 16, 2018. Its Zscaler Zero Trust Exchange platform protects thousands of customers from cyberattacks by securely connecting users, devices, and applications based on organizational policies.
Analyst ratings and price targets offer professional insights rooted in research and financial models. While these assessments can be informative, they are based on assumptions that may not always hold true. Therefore, investment decisions should consider various factors, including company fundamentals and industry trends.
As of December 1, 2025, the analyst consensus for Zscaler reflects a Buy, with 15 Strong Buy, 30 Buy, and 11 Hold ratings. Zscaler's upcoming earnings report is anticipated on May 27, 2026, with an estimated EPS of $0.96 and revenue of $856.6 million. Recent earnings performance has shown positive surprises, with Q1 2026 reporting an EPS of $0.96 against an estimate of $0.89, marking an 8.4% surprise.
Analyst ratings can fluctuate over time as new information emerges, and differing opinions among analysts may provide a broader perspective on the company’s potential.