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ZS
Zscaler, Inc.
$207.38
-13.05
(-5.92%)
| Exchange: | NASDAQ |
| Market Cap: | 33.814B |
| Shares Outstanding: | 101.722M |
Delayed data
About The Company
| Sector: | TechnologyView sector performance | |||||
| Industry: | Software – InfrastructureView industry performance | |||||
| CEO: | Jagtar Singh Chaudhry | |||||
| Full Time Employees: | 8700 | |||||
| Address: |
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| Website: | https://www.zscaler.com |
Globally recognized, Zscaler, Inc. functions as a leading provider of cloud-based security solutions. Its core offerings include Zscaler Internet Access (ZIA), which ensures secure connectivity for a diverse range of entities – including users, servers, operational technology (OT), and IoT devices – when accessing external resources like software-as-a-service (SaaS) applications and general internet destinations. Complementing this, the Zscaler Private Access (ZPA) solution facilitates secure entry to internal applications residing in private or public clouds and traditional data centers. Zscaler also delivers Zscaler Digital Experience (ZDX), a tool that assesses the complete user journey across various business applications. ZDX then generates a clear, digestible digital experience score for individual users, specific applications, and different locations within an organization. Furthermore, the company’s portfolio extends to advanced workload segmentation solutions. This category includes Zscaler Cloud Security Posture Management (CSPM), designed to identify and correct application misconfigurations across SaaS, IaaS, and PaaS environments, thereby minimizing risk and upholding compliance standards. Another key offering is Zscaler Cloud Workload Segmentation, specifically engineered to fortify application-to-application communication within public clouds and data centers. Its objective is to thwart lateral threat propagation, safeguard applications from compromise, and ultimately mitigate the potential for data breaches. The underlying platform is built upon integral components such as the Zscaler Central Authority, Zscaler Enforcement Nodes, and Zscaler Log Servers. Serving a diverse global clientele, Zscaler caters to numerous sectors including aviation and transportation, conglomerates, consumer goods and retail, financial services, healthcare, manufacturing, media and communications, public sector and education, as well as technology and telecommunications. Founded in 2007, the company initially operated as SafeChannel, Inc., before rebranding to Zscaler, Inc. in August 2008. Its corporate headquarters are located in San Jose, California.
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Revenue Segmentation
ZS full analysis
Hey everyone, welcome back to MarketSnap. Zscaler just dropped a tenth straight earnings beat, shares ripped higher, and then gave a chunk of it back within twenty-four hours — so the real question is whether the AI security boom is creating real new budget dollars, or just rebranding spending that was already locked in. Let's dig into the numbers, the valuation, and what it actually means for your portfolio. So here's the setup. Zscaler reported fiscal Q4 earnings that blew…
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Earnings Call
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Key takeaways
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Login — it's freeIncome Statement
| Year | 2024 | 2025 | 2026 |
|---|---|---|---|
| Revenue | 2,167,771 | 2,673,115 | 3,352,523 |
| Gross Profit | 1,688,112 | 2,054,937 | 2,574,894 |
| EBITDA | 64,792 | 112,412 | 186,556 |
| Operating Income | -123,877 | -128,460 | -133,267 |
| Net Income | -57,706 | -41,478 | -63,179 |
(* All numbers are in thousands)
Balance Sheet
| Year | 2024 | 2025 | 2026 |
|---|---|---|---|
| Total Assets | 4,704,968 | 6,419,888 | 7,866,714 |
| Total Liabilities | 3,430,866 | 4,620,615 | 5,268,453 |
| Total Stockholders Equity | 1,274,102 | 1,799,273 | 2,598,261 |
| Total Debt | 1,237,965 | 1,796,576 | 1,855,824 |
| Cash and Cash Equivalents | 1,423,080 | 2,389,023 | 928,354 |
(* All numbers are in thousands)
Cash Flow Statement
| Year | 2024 | 2025 | 2026 |
|---|---|---|---|
| Operating Cash Flow | 779,846 | 976,746 | 1,129,654 |
| Capital Expenditure | -194,896 | -245,760 | 0 |
| Free Cash Flow | 584,950 | 730,986 | 1,129,654 |
| Net Income | -57,706 | -41,478 | -63,179 |
| Net Change in Cash | 160,874 | 965,943 | -1,460,669 |
(* All numbers are in thousands)
Analyst Estimates
| Fiscal Year | 2031 | Research Access | Research Access | Research Access | Research Access |
|---|---|---|---|---|---|
| Estimated Revenue (Low) | 7,030,896.741 | Research Access | Research Access | Research Access | Research Access |
| Estimated Revenue (High) | 7,395,264.665 | Research Access | Research Access | Research Access | Research Access |
| Estimated Revenue (Avg) | 7,148,400 | Research Access | Research Access | Research Access | Research Access |
| Estimated Ebitda (Low) | 2,623,516.135 | Research Access | Research Access | Research Access | Research Access |
| Estimated Ebitda (High) | 2,773,627.143 | Research Access | Research Access | Research Access | Research Access |
| Estimated Ebitda (Avg) | 2,671,924.583 | Research Access | Research Access | Research Access | Research Access |
| Estimated Net Income (Low) | 1,751,403.567 | Research Access | Research Access | Research Access | Research Access |
| Estimated Net Income (High) | 1,869,991.263 | Research Access | Research Access | Research Access | Research Access |
| Estimated Net Income (Avg) | 1,789,646.241 | Research Access | Research Access | Research Access | Research Access |
| Estimated SGA Expense (Low) | 4,521,440.158 | Research Access | Research Access | Research Access | Research Access |
| Estimated SGA Expense (High) | 4,755,758.457 | Research Access | Research Access | Research Access | Research Access |
| Estimated SGA Expense (Avg) | 4,597,004.339 | Research Access | Research Access | Research Access | Research Access |
| Estimated EPS (Avg) | 11.170 | Research Access | Research Access | Research Access | Research Access |
| Estimated EPS (High) | 11.670 | Research Access | Research Access | Research Access | Research Access |
| Estimated EPS (Low) | 10.930 | Research Access | Research Access | Research Access | Research Access |
| Number of Analysts (Estimated Revenue) | 9 | Research Access | Research Access | Research Access | Research Access |
| Number of Analysts (Estimated EPS) | 6 | Research Access | Research Access | Research Access | Research Access |
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Current Key Metrics
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Login — it's freeSWOT Analysis
Strengths (preview)
- Strong Revenue Growth and Profitability: Zscaler has demonstrated robust financial performance, with revenue growth and strong gross profit margins. The company’s focus on cybersecurity solutions is capitalizing on secular tailwinds, evidenced by its ability to generate significant free cash flow and maintain a high gross profit margin, indicating a scalable business model.
- Strategic AI Integration and Innovation: The company is actively leveraging AI to drive growth and enhance its security offerings. This focus on innovation positions Zscaler to maintain a competitive edge in the dynamic cybersecurity market.
- Resilient Business Model: Zscaler’s performance metrics, including a high current ratio and quick ratio, suggest strong liquidity and operational efficiency. The company’s ability to navigate challenges, as highlighted in its latest earnings call, underscores the resilience of its business model.
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At what price to buy it? -
Intrinsic Value Calculator
Based on current fundamentals and analyst forecasts, MarketSnap estimates ZS intrinsic value between $88.37 – $106.87 per share. This depends on revenue growth, margins, and discount rate.
This is an automatic estimate. The most reliable way to know fair value for your own assumptions is to run the calculator below.
Common questions about ZS valuation
Is Zscaler, Inc. (ZS) overvalued or undervalued right now?
MarketSnap estimates intrinsic value for Zscaler, Inc. (ZS) using its proprietary valuation methodology, which incorporates discounted cash flow (DCF) analysis together with long-term earnings and fundamentals assumptions. By comparing intrinsic value to the current market price, long-term investors can see whether the stock screens as potentially overvalued, fairly valued, or undervalued today.
Is ZS a buy, hold, or sell for long-term investors?
MarketSnap does not give one-word “buy” or “sell” calls. Instead, it shows whether ZS trades at a premium or discount to its estimated intrinsic value, how sensitive that value is to growth and margin assumptions, and how the stock fits into a diversified, long-term portfolio so investors can make their own buy, hold, or sell decision.
What is ZS’s P/E ratio?
You can see ZS’s trailing P/E (TTM) and forward P/E estimates in the Current Key Metrics and Forward P/E Ratios sections above. The P/E ratio compares the current share price to earnings per share and helps investors gauge valuation relative to earnings.
How is intrinsic value calculated for ZS?
MarketSnap uses its own valuation framework—not a generic spreadsheet DCF alone. Future cash flows and earnings are projected, discounted, and combined with MarketSnap’s methodology so intrinsic value reflects fundamentals and long-term assumptions. You can run your own inputs and see the result using the Intrinsic Value Calculator above.
Is ZS a good long-term investment?
Whether ZS fits a long-term portfolio depends on your assumptions about growth, margins, and risk. MarketSnap provides the metrics, intrinsic value calculator, and SWOT context so you can form your own view rather than rely on a single buy/sell rating.
ZS
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Daily snapshot
-5.92
Trading Metrics:
| Open: | 223.5 | Previous Close: | 220.43 | |
| Day Low: | 203.5 | Day High: | 225.62 | |
| Year Low: | 114.63 | Year High: | 336.99 | |
| Price Avg 50: | 191.09 | Price Avg 200: | 165.93 | |
| Volume: | 2.789M | Average Volume: | 3.189M |
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