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Zscaler, Inc.

Zscaler, Inc.

NASDAQ•ZS
CEO: Mr. Jagtar Singh Chaudhry
Sector: Technology
Industry: Software - Infrastructure
Listing Date: 2018-03-16
Zscaler, Inc. operates as a cloud security company worldwide. The company offers Zscaler Internet Access solution that provides users, workloads, IoT, and OT devices secure access to externally managed applications, including software-as-a-service (SaaS) applications and internet destinations; and Zscaler Private Access solution, which is designed to provide access to managed applications hosted internally in data centers, and private or public clouds. It also provides Zscaler Digital Experience that measures end-to-end user experience across business applications, as well as provides an easy-to-understand digital experience score for each user, application, and location within an enterprise. In addition, the company offers Posture Control solutions comprising cloud applications and workload data security to protect data in public cloud environments; and Cloud Infrastructure Entitlement Management that provides deep granularity into identity and privilege access management. Further, it provides Workload Segmentation solutions that secures application-to-application communications inside public clouds and data centers; and Zero Trust Device Segmentation solutions that offers agentless segmentation for enterprise IT and OT environments, as well as Zero Trust SD-WAN solutions. Its platform modules include Zscaler Central Authority, Zscaler Enforcement Node, and Zscaler Log Servers. The company serves customers in airlines and transportation, conglomerates, consumer goods and retail, financial services, healthcare, manufacturing, media and communications, public sector and education, technology, and telecommunications services industries. The company was formerly known as SafeChannel, Inc., and changed its name to Zscaler, Inc. in August 2008. Zscaler, Inc. was incorporated in 2007 and is headquartered in San Jose, California.
Contact Information
120 Holger Way, San Jose, CA, 95134, United States
408-533-0288
www.zscaler.com
Market Cap
$37.93B
P/E (TTM)
-940.1
66.3
Dividend Yield
--
52W High
$336.99
52W Low
$164.78
52W Range
46%
Rank59Top 76.7%
2.6
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Weak • 2.6 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2015-2024

Financial Dashboard

Q1 2026 Data

Revenue

$788.11M+25.50%
4-Quarter Trend

EPS

-$0.07-11.39%
4-Quarter Trend

FCF

$413.30M+24.74%
4-Quarter Trend

2026 Q1 Earnings Highlights

Key Highlights

Quarterly Revenue Jumps 26% Revenue reached $788.1M for the quarter, driven by 26% growth, primarily from existing customer expansion.
Strong Customer Retention Metrics Dollar-based net retention rate hit 115% for trailing twelve months, indicating strong recurring revenue expansion success.
Free Cash Flow Margin Improves Free cash flow was $413.3M, achieving a 52% margin, up from 46% reported in the prior year period.
Strategic Acquisitions Completed Closed Red Canary for $651.4M cash and SPLXAI for $40.6M cash during the reporting period.

Risk Factors

History of Operating Losses Incurred net losses in all periods; accumulated deficit stands at $1.201B as of October 31, 2025.
Intense Market Competition Risks Face intense competition requiring continuous investment to maintain platform relevance and market share against rivals.
Reliance on Third-Party Infrastructure Business relies on external data centers; disruptions from natural disasters or cyberattacks pose material operational risks.
Key Personnel Dependency Concerns Future vision heavily dependent on CEO Jay Chaudhry; loss of key employees could hinder strategic execution.

Outlook

Continued Investment in Growth Expect continued absolute dollar increases in Sales/Marketing and R&D to drive future revenue growth opportunities.
Liquidity Position Remains Strong Existing cash, equivalents, and investments totaling $3.32B sufficient for next 12 months operating needs.
Integrating Recent Business Acquisitions Focus on integrating Red Canary and SPLXAI technologies into AI Security offerings for anticipated operational synergy.
Potential NOL Utilization Limits Ability to use $1.057B U.S. federal Net Operating Loss carryforwards may be limited by ownership changes.

Peer Comparison

Revenue (TTM)

Block, Inc.XYZ
$23.97B
+0.5%
Seagate Technology Holdings plcSTX
$9.56B
+31.6%
Electronic Arts Inc.EA
$7.29B
-1.6%

Gross Margin (Latest Quarter)

Fair Isaac CorporationFICO
82.3%
+2.1pp
Atlassian CorporationTEAM
82.0%
+0.3pp
Fortinet, Inc.FTNT
81.5%
-1.0pp

Key Metrics

Symbol
Market Cap
P/E (TTM)
ROE (TTM)
Debt to Assets
STX$63.52B37.2-282.7%59.2%
FTNT$62.33B33.2119.9%10.6%
EA$50.76B57.513.7%12.5%

Long-Term Trends

Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
6.7%
Steady Growth
4Q Net Income CAGR
N/M
Profitability Shift
Cash Flow Stability
100%
Strong Cash Flow

Research & Insights

Next earnings:Mar 4, 2026
|
EPS:$0.89
|
Revenue:-
Reports
All Years
  • Form 10-Q - Q1 2026

    Period End: Oct 31, 2025|Filed: Nov 25, 2025|
    Revenue: $788.11M+25.5%
    |
    EPS: $-0.07-11.4%
    Miss
  • Form 10-K - FY 2025

    Period End: Jul 31, 2025|Filed: Sep 11, 2025|
    Revenue: $2.67B+23.3%
    |
    EPS: $-0.27+30.8%
    Miss
  • Form 10-Q - Q3 2025

    Period End: Apr 30, 2025|Filed: May 29, 2025|
    Revenue: $678.03M+22.6%
    |
    EPS: $-0.03-120.5%
    Miss
  • Form 10-Q - Q2 2025

    Period End: Jan 31, 2025|Filed: Mar 10, 2025|
    Revenue: $647.90M+23.4%
    |
    EPS: $-0.05-73.5%
    Miss
  • Form 10-Q - Q1 2025

    Period End: Oct 31, 2024|Filed: Dec 5, 2024|
    Revenue: $627.96M+26.4%
    |
    EPS: $-0.08-65.7%
    Miss
  • Form 10-K - FY 2024

    Period End: Jul 31, 2024|Filed: Sep 12, 2024|
    Revenue: $2.17B+34.1%
    |
    EPS: $-0.39+72.1%
    Miss
  • Form 10-Q - Q3 2024

    Period End: Apr 30, 2024|Filed: Jun 7, 2024|
    Revenue: $553.20M+32.1%
    |
    EPS: $0.13-140.6%
    Miss
  • Form 10-Q - Q2 2024

    Period End: Jan 31, 2024|Filed: Mar 6, 2024|
    Revenue: $525.00M+35.4%
    |
    EPS: $-0.19-52.5%
    Miss