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Added to YB: 2025-03-10

Pitch date: 2025-03-06

ZS [neutral]

Zscaler, Inc.

+7.57%

current return

Author Info

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Company Info

Zscaler, Inc. operates as a cloud security company worldwide. The company offers cyberthreat protection products, including Zero Trust SASE, a solution that securely connects workforces, AI agents, workloads, and IoT/OT devices to cloud apps and AI services; Zscaler Internet Access, which provides advanced threat protection, sandbox, and zero trust firewall; Zscaler Private Access solution that includes cyberthreat and data protection, application discovery, secure application access, application segmentation, application protection, and reduced attack surface; Zero Trust Browser, a solution that secures browser-based access to business applications for the extended workforce, including third parties and partners; Zscaler Digital Experience, a solution that monitors end-user experience and helps organizations identify and resolve performance issues across their digital environment; Zero Trust Branch; and Zero Trust Cloud solutions.

Market Cap

$38.1B

Pitch Price

$204.93

Price Target

N/A

Dividend

N/A

EV/EBITDA

215.98

P/E

-592.73

EV/Sales

10.89

Sector

Software

Category

growth

Show full summary:
Zscaler Q4 2024 Earnings Analysis

ZS (earnings overview): Q2 rev $648M (+23% YoY), beat est 2.2%. ARR $2.7B (+23% YoY). Op margin 21.7% (+2.0 PPs). FCF margin 22.1% (+2.9 PPs). EPS $0.78 (+13% est). DBNR 115%. 620 $1M+ customers (+24.7% YoY). AI-driven growth: ZDX +45% YoY, data protection +40% YoY. Raised FY guide. Challenges: Net new ARR -29.7% YoY, CAC up, federal deals lumpy.

Read full article (8 min)