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Zscaler (ZS) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Zscaler (ZS - Free Report) closed at $153.50, marking a -1.01% move from the previous day. This change lagged the S&P 500's daily loss of 0.28%. Elsewhere, the Dow lost 0.14%, while the tech-heavy Nasdaq lost 0.14%.
Coming into today, shares of the cloud-based information security provider had lost 0.2% in the past month. In that same time, the Computer and Technology sector gained 8.21%, while the S&P 500 gained 8.35%.
Zscaler will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.20, up 42.86% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $305.64 million, up 55.09% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for Zscaler. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. 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.
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. The Zacks Consensus EPS estimate has moved 0.38% higher within the past month. Zscaler currently has a Zacks Rank of #4 (Sell).
Looking at its valuation, Zscaler is holding a Forward P/E ratio of 240.2. This valuation marks a premium compared to its industry's average Forward P/E of 22.09.
We can also see that ZS currently has a PEG ratio of 5.05. 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. Internet - Services stocks are, on average, holding a PEG ratio of 1.88 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 140, putting it in the bottom 45% 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) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Zscaler (ZS - Free Report) closed at $153.50, marking a -1.01% move from the previous day. This change lagged the S&P 500's daily loss of 0.28%. Elsewhere, the Dow lost 0.14%, while the tech-heavy Nasdaq lost 0.14%.
Coming into today, shares of the cloud-based information security provider had lost 0.2% in the past month. In that same time, the Computer and Technology sector gained 8.21%, while the S&P 500 gained 8.35%.
Zscaler will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.20, up 42.86% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $305.64 million, up 55.09% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for Zscaler. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. 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.
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. The Zacks Consensus EPS estimate has moved 0.38% higher within the past month. Zscaler currently has a Zacks Rank of #4 (Sell).
Looking at its valuation, Zscaler is holding a Forward P/E ratio of 240.2. This valuation marks a premium compared to its industry's average Forward P/E of 22.09.
We can also see that ZS currently has a PEG ratio of 5.05. 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. Internet - Services stocks are, on average, holding a PEG ratio of 1.88 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 140, putting it in the bottom 45% 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.