Zscaler, Inc. (ZS)
Zscaler provides a cloud-based security platform that acts like a digital checkpoint, keeping employees safe while they access the internet and company apps.
Is Zscaler, Inc. a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: High gross margins show a very efficient core business model. Worth weighing: Currently not making a net profit, which makes the business riskier.
Is this normal for this company?
Each figure against the range this same company has produced recently. Neither end of a range is the good end.
Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.
Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.
How these ranges are built
Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.
What does Zscaler, Inc. do?
Think of Zscaler as a high-tech security guard for the internet; instead of relying on old-fashioned office firewalls, it protects users wherever they are working. Subscription fees from businesses using its cloud platform bring in the revenue, and demand keeps rising as more people work remotely. The question that matters most is whether they can turn their rapid sales growth into consistent, actual profit.
On our factor screen it looks strongest on growth and momentum, and weakest on income.
- !Pays no dividend - the whole return rides on the share price
- ✓Growing - revenue up about 25% over the year
- Growth screens high
- Income screens low
Does Zscaler, Inc. pay a dividend?
No - Zscaler, Inc. doesn't currently pay a dividend, so the whole return would rest on the share price. Plenty of growing companies reinvest their profits instead of paying them out - neither approach is better or worse, they're just different.
Does Zscaler, Inc. have more cash or more debt?
It holds about $3.54B in cash against about $1.87B of debt - so it has net cash of about $1.67B. More cash than debt is a cushion: it does not need to borrow just to cover what it owes.
From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.
What do Zscaler, Inc.'s numbers mean?
How has it performed?
Growth of £1,000, the worst fall, and year by year
Over about 2 years to 2026-09-11. This is the share price only; any dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has Zscaler, Inc. actually fallen?
Over the last 2 years of daily prices, Zscaler, Inc. fell as much as −65% from a high to a later low. Falls like this are normal when you own a share.
Past falls are not a forecast - it can fall further, or recover.
How has it done year by year?
Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.
A closer look at the numbers
Ownership, earnings history, where the money goes, and the outlook range
Does the share price tell you if it's cheap or expensive?
Who owns Zscaler, Inc.?
About 59% of Zscaler, Inc., or about 59 in every 100 shares, is held by big institutions such as pension and index funds, and company insiders hold about 35%. The rest, roughly 6%, is held by the public and smaller investors.
What this does and doesn't tell you
This is a recent snapshot of the share register, and it moves. We don't read anything into who owns what - a high institutional share is common for any large listed company and is not a signal about it.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
How much money does Zscaler, Inc. make?
Revenue and profit by quarter, and how much of each sale turns into profit.
When does Zscaler, Inc. report earnings, and how did recent quarters go?
Zscaler, Inc. is next scheduled to report on about 2026-11-24 - dates can move, and we don't predict results; this just tells you when to look.
‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-09-03 | $1.09 | $1.19 | Beat +9% |
| 2026-05-26 | $1.01 | $1.08 | Beat +7% |
| 2026-02-26 | $0.90 | $1.01 | Beat +13% |
| 2025-11-25 | $0.86 | $0.96 | Beat +11% |
| 2025-09-02 | $0.80 | $0.89 | Beat +11% |
| 2025-05-29 | $0.76 | $0.84 | Beat +11% |
Across the last 6 quarters here, Zscaler, Inc. came in ahead of what analysts expected 6 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Where these figures come from
Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.
What are the scenarios for Zscaler, Inc.?
An illustrative range for the year ahead — not a prediction or a price target.
What are the pros, cons and common questions?
The case each way, and the questions people ask
Achieving sustained profitability and market dominance
Failure to reach profitability despite scale
What are the pros and cons of Zscaler, Inc.?
A balance check, not a score or verdict.
- High gross margins show a very efficient core business model
- Strong revenue growth: How fast the company's sales grew versus a year ago. indicates high demand for their services
- Essential service that is difficult for companies to switch away from once installed
- Currently not making a net profit, which makes the business riskier
- Negative return on equity: How much profit the company makes for each £1 shareholders have put in. Higher usually means a more efficient business. suggests the company is not yet generating value from shareholder capital
- The share price has been quite volatile over the past year
- Intense competition from large, well-funded technology rivals
- Potential for companies to cut back on cybersecurity spending during economic downturns
- High valuation multiples mean the share price is sensitive to any signs of slowing growth
The write-up's own warning lights — if these start happening, the case above changes.
- The company reporting a consistent net profit for several quarters
- A significant and sustained drop in the rate of new customer sign-ups
Common questions about Zscaler, Inc.
Does Zscaler, Inc. pay a dividend?
No - Zscaler, Inc. does not currently pay a dividend, so the return would rest on the share price. Many growing companies reinvest profits instead of paying them out.
When does Zscaler, Inc. report earnings next?
Zscaler, Inc. is next scheduled to report results on about 2026-11-24. Report dates are estimates and can move; this is a diary note for when to look, not a forecast of the outcome.
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This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.