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Zscaler (ZS) Gains As Market Dips: What You Should Know
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Zscaler (ZS - Free Report) closed the most recent trading day at $261.53, moving +0.51% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.41%. Elsewhere, the Dow lost 0.01%, while the tech-heavy Nasdaq added 0.13%.
Coming into today, shares of the cloud-based information security provider had lost 14.13% in the past month. In that same time, the Computer and Technology sector lost 1.8%, while the S&P 500 gained 2.36%.
Wall Street will be looking for positivity from Zscaler as it approaches its next earnings report date. In that report, analysts expect Zscaler to post earnings of $0.12 per share. This would mark year-over-year growth of 20%. Our most recent consensus estimate is calling for quarterly revenue of $239.66 million, up 52.61% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.52 per share and revenue of $1.01 billion. These totals would mark changes of 0% and +49.7%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Zscaler. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Zscaler is currently a Zacks Rank #4 (Sell).
Looking at its valuation, Zscaler is holding a Forward P/E ratio of 504.04. For comparison, its industry has an average Forward P/E of 24.25, which means Zscaler is trading at a premium to the group.
We can also see that ZS currently has a PEG ratio of 13.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services industry currently had an average PEG ratio of 3.13 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 210, putting it in the bottom 18% 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.
To follow ZS in the coming trading sessions, be sure to utilize Zacks.com.
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Zscaler (ZS) Gains As Market Dips: What You Should Know
Zscaler (ZS - Free Report) closed the most recent trading day at $261.53, moving +0.51% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.41%. Elsewhere, the Dow lost 0.01%, while the tech-heavy Nasdaq added 0.13%.
Coming into today, shares of the cloud-based information security provider had lost 14.13% in the past month. In that same time, the Computer and Technology sector lost 1.8%, while the S&P 500 gained 2.36%.
Wall Street will be looking for positivity from Zscaler as it approaches its next earnings report date. In that report, analysts expect Zscaler to post earnings of $0.12 per share. This would mark year-over-year growth of 20%. Our most recent consensus estimate is calling for quarterly revenue of $239.66 million, up 52.61% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.52 per share and revenue of $1.01 billion. These totals would mark changes of 0% and +49.7%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Zscaler. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Zscaler is currently a Zacks Rank #4 (Sell).
Looking at its valuation, Zscaler is holding a Forward P/E ratio of 504.04. For comparison, its industry has an average Forward P/E of 24.25, which means Zscaler is trading at a premium to the group.
We can also see that ZS currently has a PEG ratio of 13.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services industry currently had an average PEG ratio of 3.13 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 210, putting it in the bottom 18% 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.
To follow ZS in the coming trading sessions, be sure to utilize Zacks.com.