Zscaler (ZS - Free Report) closed at $124.38 in the latest trading session, marking a -0.39% move from the prior day. This change was narrower than the S&P 500's 0.65% loss on the day. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq lost 1.27%.
Heading into today, shares of the cloud-based information security provider had gained 18.48% over the past month, outpacing the Computer and Technology sector's gain of 7.86% and the S&P 500's gain of 7.76% in that time.
Investors will be hoping for strength from ZS as it approaches its next earnings release. The company is expected to report EPS of $0.03, down 57.14% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $118.11 million, up 37.16% from the year-ago period.
ZS's full-year Zacks Consensus Estimates are calling for earnings of $0.21 per share and revenue of $423.69 million. These results would represent year-over-year changes of -4.55% and +39.91%, respectively.
Investors should also note any recent changes to analyst estimates for ZS. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ZS currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that ZS has a Forward P/E ratio of 598.18 right now. This represents a premium compared to its industry's average Forward P/E of 33.4.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 117, which puts it in the top 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.