Zscaler, Inc. Stock News

Shares of Zscaler Inc. NASDAQ: ZS have been going through a rough patch, sliding nearly 30% in just a few weeks and bringing one of the market's hottest cybersecurity stocks crashing back to earth. It's a sharp reversal for a name that had rallied almost 100% since April and looked to be cementing itself as a long-term growth story.

Zscaler has declined nearly 30% from recent highs, entering a technical bear market despite solid fundamentals. ZS's valuation multiples have become more appealing after the correction, especially given its sustained growth and profitability metrics. Management raised FY26 revenue guidance to $3.28–$3.30 billion (22.8%–23.5% y/y growth) with 22% operating and ~26% FCF margins.

Zscaler, Inc. (ZS) Presents at Barclays 23rd Annual Global Technology Conference Transcript

There's an old adage on Wall Street: “When positive news causes a stock to drop, the celebration is over.”

CrowdStrike (NASDAQ: CRWD) and Zscaler (NASDAQ: ZS) reported strong earnings in late November and early December, revealing two fundamentally different approaches to cloud security.

RESTON, Va.--(BUSINESS WIRE)-- #AI--Peraton and Zscaler are partnering to deliver next-generation, secure, and cost-effective infrastructure solutions for mission-critical environments.

About a dozen large companies probably aren't candidates for the index because they aren't profitable based on traditional accounting rules, according to a report.

Zscaler stock dropped despite a better-than-expected quarterly report and improved guidance. Its revenue pipeline is growing at a brisk pace, which points to a potential acceleration in growth.