Stock Analysis
Zscaler, Inc. Common StockZS
Sector: Technology · Industry: Services-Computer Programming Services
AnalystsStrong Buy57 analystsPrice is 41% of the way from the year's low to its high.
Cash covers 186% of debt · FY 2026.
PMP Verdict
Cheap for a reason — weak fundamentals
Strengths
- Financial Health68
Risks
- Profitability0
- Growth25
Cheap for a reason — fundamentals remain weak.
Market context
-5.9% today· Z 2.1σ
Bull Case
- ✓Altman Z 4.2 — safe-zone balance sheet
- ✓Revenue CAGR 32.4% — durable top-line growth
What's happening with ZS
Profile
profitability, growth, valuation and earnings quality lag behind.
How is each axis scored?
- Valuation30/100 · Weak
- P/E vs own history (n/a)10/25
- FCF yield (2.9%)5/25
- P/S (10.5x)5/25
- EV/EBIT (n/a)10/25
- Growth25/100 · Weak
- Revenue CAGR (32.4%)25/25
- Net income CAGR (n/a)0/25
- EPS CAGR 5Y (n/a)0/25
- Fwd implied growth (n/a)0/25
- Profitability0/100 · Weak
- ROIC (-11.9%)0/25
- ROE (-3.0%)0/25
- Net margin (-2.4%)0/25
- Operating margin (-4.7%)0/25
- Financial Health68/100 · Moderate
- Altman Z (4.21)25/25
- Current ratio (1.70)18/25
- Interest coverage (-9.9x)0/25
- Net cash / debt (Net cash)25/25
- Quality47/100 · Weak
- Piotroski F (4/9)10/25
- Beneish M (-2.83)25/25
- FCF conversion (n/a)0/25
- Margin stability (σ 10.1%)12/25
- Moat50/100 · Moderate
- ROIC >12% years (0/5 yrs)0/25
- Median gross margin (77.8%)25/25
- FCF-positive years (9/9 yrs)25/25
- Worst-year net margin (worst -38.9%)0/25
Risk Flags
- ⚠SBC 24.7% of revenue — real dilution cost
- ⚠9 loss-making years in recent history
- ⚠Interest coverage -9.9× — thin debt cushion
About Zscaler, Inc. Common Stock
Zscaler is a software-as-a-service, or SaaS, firm focusing on providing cloud-native cybersecurity solutions to primarily enterprise customers. Show more
Zscaler's offerings can be broadly partitioned into Zscaler Internet Access, which provides secure access to external applications, and Zscaler Private Access, which provides secure access to internal applications. The firm is headquartered in San Jose, California, and went public in 2018.
Headquarters: SAN JOSE, CA · Employees: 8,700 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
30DP/E (TTM)—
Price / TTM EPS (own statements)
P/FCF45.4xD
Grade D: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield2.9%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 0.3%–5.0% · 87th pct
P/S (TTM)10.55xD
Grade D: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 6.2x–83.1x · 14th pct
EV/EBITDA—
Enterprise value / EBITDA (Finnhub) — capital-structure neutral
EV/Sales10.8xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E42.4xD
Grade D: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio12.88xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio-113.91A
Grade A: CheapFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
0EROIC-11.9%D
Grade D: LowNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE-3.0%D
Grade D: WeakReturn on Equity. Neg. equity = heavy buybacks
ROA-0.9%D
Grade D: WeakReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin-2.4%D
Grade D: LowNet Income / Revenue
Operating Margin-4.7%D
Grade D: LowTTM EBIT / TTM Revenue
Gross Margin76.7%A
Grade A: PremiumGross Profit / Revenue
FCF Margin30.4%A
Grade A: HighFCF / Revenue
True FCF Margin5.7%C
Grade C: AverageTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
25ERevenue CAGR32.4%A
Grade A: HighCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR—
Compound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)—
Compound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth—
Analyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)+20.2%D
Grade D: DilutiveShare count change over 5Y
SBC / Net Income—
Stock-based comp/Net income. >30% = dilution risk
SBC / Revenue24.7%D
Grade D: HighTTM stock-based comp / TTM Revenue
Financial Health
68BAltman Z-Score4.21A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio1.70xC
Grade C: OkCurrent Assets/Liabilities
Quick Ratio1.63xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage-9.9xD
Grade D: RiskyEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT10.7xD
Grade D: HighLeverage. <2x Low, >4x High
Debt/Equity0.72xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt1.86xA
Grade A: CoveredCash covers how much of total debt. >1 = could repay all debt from cash
Quality
47D+Piotroski F-Score4/9C
Grade C: AverageFinancial strength 0–9. >7 Strong
Beneish M-Score-2.83A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion—
FCF / Net Income
Margin Stability10.1%C
Grade C: AverageEBIT margin std deviation. Lower = stable
Capex / Revenue4.3%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.48xD
Grade D: LowRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Geller Adam Filed | Geller Adam | Option exercise | -1042 | |
Geller Adam Filed | Geller Adam | SellOpen market sale | -1042 | |
Geller Adam Filed | Geller Adam | Option exercise | +1.0K | |
Geller Adam Filed | Geller Adam | Option exercise | -23958 | |
Geller Adam Filed | Geller Adam | SellOpen market sale | -2083 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Geller Adam Filed | Geller Adam | SellOpen market sale | -21875 | |
Geller Adam Filed | Geller Adam | Option exercise | +24.0K | |
RUBIN KEVIN Filed | RUBIN KEVIN | SellOpen market sale | -3 |
Option exercise (M) rows report a derivative leg, not an open-market sale — a paired negative entry is the option position being consumed.
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
50CROIC >12% Years0/5 yrsD
Grade D: WeakShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)77.8%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years9/9 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor-38.9%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)—
TTM net income per share (Finnhub fallback)
Cash / Share$21.31
Cash & short-term investments per share (Finnhub)
Book Value / Share$15.93
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$1.87B
Total debt obligations (short + long term)
Cash & Equiv.$3.47B
Cash and short-term investments
Net Debt$-1.61BA
Grade A: Net CashTotal Debt minus Cash. Negative = Net Cash position
Total Equity$2.60B
Shareholders' equity (book value)
Asset / Liability1.49xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$33.47B
Current Market Capitalization
Beta0.88B
Grade B: MarketPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jul 2026 · Ratio snapshot Oct 17, 2026
Key Insights: Zscaler, Inc. Common Stock (ZS)
ZS is down 5.92% at the last close. Piotroski F-Score of 4/9 indicates mixed fundamentals for Zscaler, Inc. Common Stock. Altman Z-Score of 4.21 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.83 suggests a low likelihood of earnings manipulation. Revenue has compounded at roughly 32% annually — a strong growth profile.
- Zscaler, Inc. Common Stock converts about 30% of revenue into free cash flow — strong cash generation.
- Company is effectively debt-free after netting cash.
- Interest coverage of -9.9× leaves little room for earnings shocks.
- Zscaler, Inc. Common Stock posted a net loss in 9 of 9 available completed fiscal years (2018–2026).
- At a valuation score of 30/100, ZS trades at a premium to its historical multiples.
See how ZS ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all ZS moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 16 | After-hours | 205.24 | -6.89% | -2.11 |
| Sep 25 | Regular | 194.54 | -9.37% | -2.30 |
| Sep 25 | After-hours | 193.00 | -10.08% | -2.47 |
Frequently Asked Questions about ZS
What is the current Zscaler, Inc. Common Stock (ZS) stock price?
ZS is trading at $207.38 at the last market close, down 5.92% on the session. PreMarketPrice tracks ZS pre-market, intraday and after-hours prices.
Is ZS stock a buy right now?
PreMarketPrice's quantitative model rates Zscaler, Inc. Common Stock's financial health at 68/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is ZS stock overvalued?
Zscaler, Inc. Common Stock trades at a trailing P/E of n/a and our valuation score rates it 30/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Zscaler, Inc. Common Stock report earnings?
No confirmed earnings date is currently scheduled for ZS. The Earnings section lists recent reports and updates as dates are announced.
What sector does Zscaler, Inc. Common Stock operate in?
Zscaler, Inc. Common Stock operates in the Technology sector, within the Services-Computer Programming Services industry. The Related Stocks section lists sector peers for comparison.
What does Zscaler, Inc. Common Stock do?
Zscaler is a software-as-a-service, or SaaS, firm focusing on providing cloud-native cybersecurity solutions to primarily enterprise customers.
About Zscaler, Inc. Common Stock (ZS) Stock
Zscaler, Inc. Common Stock (ZS) is a US-listed stock operating in the Technology sector, specifically the Services-Computer Programming Services industry. As of the latest update, Zscaler, Inc. Common Stock is trading at $207.38, down 5.92% on the day with a market capitalization of $33.5 billion. The financial health score for ZS is 68/100, which indicates good financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for ZS stock.
ZS Stock Analysis & Key Metrics
On PreMarketPrice, you can track Zscaler, Inc. Common Stock (ZS) across multiple dimensions:
- Pre-market price & movement: Real-time ZS stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for ZS with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Zscaler, Inc. Common Stock across multiple reporting periods.
- Financial health score: A composite score of 68/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for ZS.
- Sector peers: Compare ZS against 6 other technology stocks on key financial metrics.
Is ZS a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Zscaler, Inc. Common Stock (ZS) as an investment. The financial health score of 68/100 suggests good financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Zscaler, Inc. Common Stock (ZS) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.