
Zscaler (ZS) Stock Forecast & Price Target
Zscaler (ZS) Analyst Ratings
Bulls say
Zscaler is facing market concentration as it remains heavily reliant on enterprise customers and large deals. While it has a strong valuation, increasing competition in its core Secure Service Edge target market may make it difficult for the company to achieve significant growth. Its pipeline remains strong, but competition has caught up and it is becoming more dependent on its existing customer base rather than landing new logos. Its newly launched Cloud-Native Application Protection Platform also faces competition and carries regulatory and cybersecurity risks. However, Zscaler's aggressive GTM strategy and innovative product roadmap make it a solid pick for long-term growth, and it remains a leading player in the rapidly expanding network security industry.
Bears say
Zscaler is facing significant challenges in its highly competitive market, with headwinds from competition and a softer new logo environment. Field checks from multiple sources also suggest a slowdown in growth and pressure on Zscaler's value vs price, with some customers looking at competitors like Cloudflare and Netskope. The company's platform story is not progressing as expected, and its newer products may take longer to contribute to results. As a result, the company's growth outlook is being downgraded, and its shares have underperformed compared to the broader market.
This aggregate rating is based on analysts' research of Zscaler and is not a guaranteed prediction by Public.com or investment advice.
Zscaler (ZS) Analyst Forecast & Price Prediction
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