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Zscaler (ZS) Outpaces Stock Market Gains: What You Should Know
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Zscaler (ZS - Free Report) closed the most recent trading day at $331.90, moving +1.34% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.42%.
Heading into today, shares of the cloud-based information security provider had gained 23.94% over the past month, outpacing the Computer and Technology sector's gain of 6.71% and the S&P 500's gain of 7.03% in that time.
ZS will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.12, down 14.29% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $212.29 million, up 48.89% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.55 per share and revenue of $951.11 million, which would represent changes of +5.77% and +41.3%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ZS. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ZS is currently a Zacks Rank #4 (Sell).
In terms of valuation, ZS is currently trading at a Forward P/E ratio of 594.25. This valuation marks a premium compared to its industry's average Forward P/E of 26.72.
Meanwhile, ZS's PEG ratio is currently 17.25. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Services stocks are, on average, holding a PEG ratio of 3.82 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 143, putting it in the bottom 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Zscaler (ZS) Outpaces Stock Market Gains: What You Should Know
Zscaler (ZS - Free Report) closed the most recent trading day at $331.90, moving +1.34% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.42%.
Heading into today, shares of the cloud-based information security provider had gained 23.94% over the past month, outpacing the Computer and Technology sector's gain of 6.71% and the S&P 500's gain of 7.03% in that time.
ZS will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.12, down 14.29% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $212.29 million, up 48.89% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.55 per share and revenue of $951.11 million, which would represent changes of +5.77% and +41.3%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ZS. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ZS is currently a Zacks Rank #4 (Sell).
In terms of valuation, ZS is currently trading at a Forward P/E ratio of 594.25. This valuation marks a premium compared to its industry's average Forward P/E of 26.72.
Meanwhile, ZS's PEG ratio is currently 17.25. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Services stocks are, on average, holding a PEG ratio of 3.82 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 143, putting it in the bottom 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.