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Zscaler (ZS) Stock Dips While Market Gains: Key Facts
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Zscaler (ZS - Free Report) ended the recent trading session at $255.91, demonstrating a -1.63% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow saw an upswing of 0.19%, while the tech-heavy Nasdaq appreciated by 0.27%.
Shares of the cloud-based information security provider witnessed a gain of 31.15% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.89%, and the S&P 500's loss of 0.2%.
Market participants will be closely following the financial results of Zscaler in its upcoming release. It is anticipated that the company will report an EPS of $1.16, marking a 20.83% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $937.56 million, showing a 18.96% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.91 per share and a revenue of $3.93 billion, signifying shifts of +16.63% and +17.21%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Zscaler. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.08% increase. Zscaler is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, Zscaler is at present trading with a Forward P/E ratio of 53.02. Its industry sports an average Forward P/E of 57.57, so one might conclude that Zscaler is trading at a discount comparatively.
One should further note that ZS currently holds a PEG ratio of 3.54. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Security was holding an average PEG ratio of 3.54 at yesterday's closing price.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 65, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Zscaler (ZS) Stock Dips While Market Gains: Key Facts
Zscaler (ZS - Free Report) ended the recent trading session at $255.91, demonstrating a -1.63% change from the preceding day's closing price. This change lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow saw an upswing of 0.19%, while the tech-heavy Nasdaq appreciated by 0.27%.
Shares of the cloud-based information security provider witnessed a gain of 31.15% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.89%, and the S&P 500's loss of 0.2%.
Market participants will be closely following the financial results of Zscaler in its upcoming release. It is anticipated that the company will report an EPS of $1.16, marking a 20.83% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $937.56 million, showing a 18.96% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.91 per share and a revenue of $3.93 billion, signifying shifts of +16.63% and +17.21%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Zscaler. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.08% increase. Zscaler is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, Zscaler is at present trading with a Forward P/E ratio of 53.02. Its industry sports an average Forward P/E of 57.57, so one might conclude that Zscaler is trading at a discount comparatively.
One should further note that ZS currently holds a PEG ratio of 3.54. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Security was holding an average PEG ratio of 3.54 at yesterday's closing price.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 65, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.