Zscaler (ZS) Stock Forecast & Price Target
Zscaler (ZS) Analyst Ratings
Bulls say
Zscaler reported calculated billings of $743 million, reflecting an 18% year-over-year growth that surpassed market expectations by $23 million, driven by a significant 25% increase in unscheduled billings, including up-sells and renewals. The company's revenue reached $657.9 million, growing 23% year-over-year, demonstrating robust performance amidst strong demand, particularly in its Data Protection segment, which saw over 40% growth in net new annual contract value (ACV). Additionally, Zscaler's consistent enhancement of sales capabilities, characterized by reduced sales attrition and an expanding cohort of high-value customers, reinforces the positive outlook on its operational execution and growth potential through FY25.
Bears say
Zscaler's negative outlook is influenced by several fundamental factors, including higher-than-expected sales force attrition, which is anticipated to disrupt sales and renewal cycles. The company faces pressure on gross margins due to newly released products, as these are currently optimized for speed-to-market rather than profitability. Additionally, the deteriorating macroeconomic environment and intensified competition may impair Zscaler's ability to grow its cloud platform adoption, crucial for its future growth and overall financial health.
This aggregate rating is based on analysts' research of Zscaler and is not a guaranteed prediction by Public.com or investment advice.
Zscaler (ZS) Analyst Forecast & Price Prediction
Start investing in Zscaler (ZS)
Order type
Buy in
Order amount
Est. shares
0 shares