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The latest trading session saw Zscaler (ZS - Free Report) ending at $169.69, denoting a +1.62% adjustment from its last day's close. This change outpaced the S&P 500's 0.01% gain on the day. Meanwhile, the Dow gained 0.09%, and the Nasdaq, a tech-heavy index, added 0.08%.
Shares of the cloud-based information security provider have depreciated by 13.56% over the course of the past month, underperforming the Computer and Technology sector's gain of 1.03% and the S&P 500's gain of 1.21%.
The investment community will be closely monitoring the performance of Zscaler in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.63, marking a 5.97% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $605.68 million, reflecting a 21.94% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.87 per share and revenue of $2.61 billion. These totals would mark changes of -10.03% and +20.57%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Zscaler. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 151.6% lower within the past month. Right now, Zscaler possesses a Zacks Rank of #3 (Hold).
Investors should also note Zscaler's current valuation metrics, including its Forward P/E ratio of 58.17. This valuation marks a premium compared to its industry's average Forward P/E of 28.54.
One should further note that ZS currently holds a PEG ratio of 7.6. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Internet - Services industry held an average PEG ratio of 1.79.
The Internet - Services industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 93, placing it within the top 37% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Zscaler (ZS) Laps the Stock Market: Here's Why
The latest trading session saw Zscaler (ZS - Free Report) ending at $169.69, denoting a +1.62% adjustment from its last day's close. This change outpaced the S&P 500's 0.01% gain on the day. Meanwhile, the Dow gained 0.09%, and the Nasdaq, a tech-heavy index, added 0.08%.
Shares of the cloud-based information security provider have depreciated by 13.56% over the course of the past month, underperforming the Computer and Technology sector's gain of 1.03% and the S&P 500's gain of 1.21%.
The investment community will be closely monitoring the performance of Zscaler in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.63, marking a 5.97% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $605.68 million, reflecting a 21.94% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.87 per share and revenue of $2.61 billion. These totals would mark changes of -10.03% and +20.57%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Zscaler. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 151.6% lower within the past month. Right now, Zscaler possesses a Zacks Rank of #3 (Hold).
Investors should also note Zscaler's current valuation metrics, including its Forward P/E ratio of 58.17. This valuation marks a premium compared to its industry's average Forward P/E of 28.54.
One should further note that ZS currently holds a PEG ratio of 7.6. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Internet - Services industry held an average PEG ratio of 1.79.
The Internet - Services industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 93, placing it within the top 37% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.