Bank of Nova Scotia Trims Stock Position in Zscaler, Inc. $ZS

Bank of Nova Scotia trimmed its holdings in Zscaler, Inc. (NASDAQ:ZS) by 99.8% in the 2nd quarter, according to its most recent disclosure with the SEC. The firm owned 53,333 shares of the company’s stock after selling 35,334,701 shares during the period. Bank of Nova Scotia’s holdings in Zscaler were worth $16,744,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its holdings in shares of Zscaler by 8.3% during the 2nd quarter. Vanguard Group Inc. now owns 10,715,132 shares of the company’s stock worth $3,363,909,000 after purchasing an additional 824,626 shares during the period. T. Rowe Price Investment Management Inc. purchased a new stake in Zscaler in the 1st quarter valued at about $516,622,000. Geode Capital Management LLC lifted its position in Zscaler by 6.0% in the second quarter. Geode Capital Management LLC now owns 1,866,329 shares of the company’s stock valued at $584,160,000 after buying an additional 105,318 shares during the last quarter. AQR Capital Management LLC boosted its stake in Zscaler by 23.6% during the first quarter. AQR Capital Management LLC now owns 1,191,930 shares of the company’s stock worth $234,715,000 after buying an additional 227,899 shares during the period. Finally, Federated Hermes Inc. boosted its stake in Zscaler by 314.0% during the second quarter. Federated Hermes Inc. now owns 1,171,983 shares of the company’s stock worth $367,932,000 after buying an additional 888,888 shares during the period. Institutional investors and hedge funds own 46.45% of the company’s stock.

Insider Activity

In related news, EVP Raj Judge sold 4,524 shares of Zscaler stock in a transaction that occurred on Tuesday, September 16th. The shares were sold at an average price of $280.70, for a total value of $1,269,886.80. Following the completion of the transaction, the executive vice president owned 73,832 shares in the company, valued at $20,724,642.40. The trade was a 5.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Jagtar Singh Chaudhry sold 2,865 shares of the business’s stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $280.70, for a total transaction of $804,205.50. Following the transaction, the chief executive officer owned 350,700 shares of the company’s stock, valued at $98,441,490. This trade represents a 0.81% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 43,084 shares of company stock worth $12,446,825 in the last ninety days. 17.20% of the stock is owned by insiders.

Zscaler Stock Down 0.8%

Shares of NASDAQ ZS opened at $243.01 on Wednesday. The stock has a market cap of $38.75 billion, a P/E ratio of -934.62 and a beta of 1.07. The business’s fifty day simple moving average is $296.78 and its 200-day simple moving average is $291.26. Zscaler, Inc. has a 12-month low of $164.78 and a 12-month high of $336.99. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.86.

Zscaler (NASDAQ:ZS) last issued its quarterly earnings results on Tuesday, November 25th. The company reported $0.96 earnings per share for the quarter, topping the consensus estimate of $0.85 by $0.11. The company had revenue of $788.11 million for the quarter, compared to the consensus estimate of $773.86 million. Zscaler had a negative return on equity of 0.12% and a negative net margin of 1.45%.Zscaler’s revenue was up 25.5% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.77 EPS. Zscaler has set its FY 2026 guidance at 3.780-3.820 EPS and its Q2 2026 guidance at 0.890-0.900 EPS. As a group, equities analysts predict that Zscaler, Inc. will post -0.1 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on ZS shares. Stifel Nicolaus reduced their price target on shares of Zscaler from $330.00 to $320.00 and set a “buy” rating on the stock in a research note on Wednesday, November 26th. Macquarie began coverage on Zscaler in a research report on Friday, October 31st. They issued an “outperform” rating and a $390.00 target price on the stock. Evercore ISI upped their price target on Zscaler from $290.00 to $320.00 and gave the stock an “outperform” rating in a research note on Wednesday, September 3rd. HC Wainwright reaffirmed a “buy” rating on shares of Zscaler in a research note on Wednesday, November 26th. Finally, Mizuho cut their price objective on Zscaler from $325.00 to $310.00 and set a “neutral” rating on the stock in a report on Wednesday, November 26th. One investment analyst has rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $321.87.

About Zscaler

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.