Machina Capital S.A.S. Acquires 3,748 Shares of Zscaler, Inc. $ZS

Machina Capital S.A.S. raised its holdings in shares of Zscaler, Inc. (NASDAQ:ZS) by 33.4% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 14,971 shares of the company’s stock after buying an additional 3,748 shares during the period. Machina Capital S.A.S.’s holdings in Zscaler were worth $2,986,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of ZS. BlackRock Inc. bought a new stake in shares of Zscaler during the 2nd quarter worth approximately $1,396,028,000. First Trust Advisors LP boosted its holdings in Zscaler by 36.2% during the 1st quarter. First Trust Advisors LP now owns 3,518,678 shares of the company’s stock valued at $493,635,000 after acquiring an additional 935,781 shares during the period. Amundi grew its position in Zscaler by 12.8% in the 2nd quarter. Amundi now owns 1,137,837 shares of the company’s stock valued at $160,606,000 after acquiring an additional 129,563 shares during the last quarter. Wellington Management Group LLP grew its position in Zscaler by 23.5% in the 2nd quarter. Wellington Management Group LLP now owns 1,103,212 shares of the company’s stock valued at $155,718,000 after acquiring an additional 209,711 shares during the last quarter. Finally, International Assets Investment Management LLC grew its position in Zscaler by 23,646.1% in the 3rd quarter. International Assets Investment Management LLC now owns 606,000 shares of the company’s stock valued at $120,849,000 after acquiring an additional 603,448 shares during the last quarter. Institutional investors own 46.45% of the company’s stock.

Zscaler Stock Down 0.6%

Shares of NASDAQ:ZS opened at $193.79 on Thursday. The business’s 50 day moving average is $208.75 and its 200 day moving average is $167.48. The stock has a market cap of $31.60 billion, a P/E ratio of -496.90, a price-to-earnings-growth ratio of 18.53 and a beta of 0.82. Zscaler, Inc. has a 52-week low of $114.63 and a 52-week high of $333.90. The company has a quick ratio of 1.70, a current ratio of 1.70 and a debt-to-equity ratio of 0.65.

Zscaler (NASDAQ:ZS) last issued its earnings results on Thursday, September 3rd. The company reported $1.19 earnings per share for the quarter, beating analysts’ consensus estimates of $1.09 by $0.10. Zscaler had a positive return on equity of 1.23% and a negative net margin of 1.88%. The business had revenue of $898.19 million during the quarter, compared to analyst estimates of $876.96 million. During the same period in the previous year, the company posted $0.89 EPS. Zscaler’s revenue was up 24.9% on a year-over-year basis. Zscaler has set its FY 2027 guidance at 4.860-4.900 EPS and its Q1 2027 guidance at 1.150-1.160 EPS. Sell-side analysts predict that Zscaler, Inc. will post 0.70 EPS for the current year.

Key Headlines Impacting Zscaler

Investors following ZS have been watching these headlines:

• Positive Sentiment: AI partnership adds to the growth narrative. Commvault and Zscaler announced a partnership intended to help enterprises govern AI agents and recover from harmful activity. The collaboration could strengthen Zscaler’s positioning as organizations adopt AI, though the articles do not quantify its likely revenue contribution. Article: Commvault Announces Strategic Partnership with Zscaler
• Neutral Sentiment: Competitive comparison offers limited new near-term information. A comparison with Atlassian highlights Zscaler’s zero-trust security position and the shift to cloud-native infrastructure, but provides no specific new financial catalyst. Article: Atlassian vs. Zscaler: Which Technology Stock Is a Better Buy for 2027?
• Negative Sentiment: Sector weakness and valuation are weighing on sentiment. Reports attributed Zscaler’s recent decline largely to a cybersecurity-stock selloff rather than company-specific news. Commentary also flags a valuation test: despite long-term optimism about rising security needs, investors may remain sensitive to the stock’s premium valuation and recent pullback. Article: Zscaler (ZS) Faces A Valuation Test

Insider Transactions at Zscaler

In related news, CFO Kevin Rubin sold 514 shares of the company’s stock in a transaction dated Monday, October 26th. The shares were sold at an average price of $259.15, for a total value of $133,203.10. Following the completion of the sale, the chief financial officer directly owned 62,113 shares of the company’s stock, valued at $16,096,583.95. This represents a 0.82% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Robert Schlossman sold 5,394 shares of the stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $200.00, for a total transaction of $1,078,800.00. Following the transaction, the insider owned 61,525 shares in the company, valued at approximately $12,305,000. The trade was a 8.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 55,105 shares of company stock valued at $11,563,836. Insiders own 17.20% of the company’s stock.

Analyst Ratings Changes

A number of analysts have weighed in on the company. Cantor Fitzgerald increased their target price on Zscaler from $225.00 to $275.00 and gave the stock an “overweight” rating in a research note on Wednesday, October 7th. Yorkville Ives initiated coverage on shares of Zscaler in a research note on Tuesday, October 6th. They set an “outperform” rating and a $250.00 target price for the company. Jefferies Financial Group upped their price target on shares of Zscaler from $220.00 to $250.00 and gave the stock a “buy” rating in a report on Wednesday, October 7th. Canaccord Genuity Group upped their price target on shares of Zscaler from $210.00 to $250.00 and gave the stock a “buy” rating in a report on Wednesday, October 7th. Finally, BMO Capital Markets raised their price target on shares of Zscaler from $178.00 to $200.00 and gave the stock an “outperform” rating in a research note on Friday, September 4th. Thirty-six equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $236.65.

Zscaler Company Profile

Zscaler, Inc. is a cloud security company that provides services designed to help organizations protect users, applications, and data. Its platform, the Zscaler Zero Trust Exchange, connects users and devices to applications while applying security controls, rather than relying on traditional network boundaries. The company’s offerings include Zscaler Internet Access for securing internet and software-as-a-service traffic, and Zscaler Private Access for providing secure access to private applications.