Zscaler, Inc. (ZS) Stock Analysis
Falling Knife setup
Technology · Software - Infrastructure
Sell if holding. Momentum 1.1/10 is below the 5.0 floor at $124.01 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: V7 low-quality RISK_OFF penalty: -0.5 (Q=5.2); Sector modifier (Technology): -0.8.
Zscaler provides a cloud-native Zero Trust security platform (Zero Trust Exchange) distributed across 160+ public exchanges globally, serving 9,400+ customers in 185+ countries including ~40% of the Forbes Global 2000. Revenue grew to $2,673M in fiscal 2025 (23% YoY), all from... Read more
Sell if holding. Momentum 1.1/10 is below the 5.0 floor at $124.01 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: V7 low-quality RISK_OFF penalty: -0.5 (Q=5.2); Sector modifier (Technology): -0.8. Chart setup: Death cross, below all MAs, RSI 33, MACD bearish. Score 5.7/10, moderate confidence.
Passes 7/10 gates (favorable risk/reward ratio, clean insider activity, news boost analyst 0.70, news boost analyst cluster(3), earnings proximity 83d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: moderate.
Recent developments
updated 2026-06-11Recent Developments — Zscaler, Inc.
Latest news
- NEWS Zscaler tanks 31% for worst day ever on 'prudent' guidance, sales shakeup - CNBC — CNBC negative
- NEWS Zscaler’s stock sees record drop after investors are blindsided by a disappointing outlook - MarketWatch — MarketWatch negative
- NEWS Why Zscaler (ZS) Stock Is Trading Lower Today - StockStory — StockStory negative
- NEWS Zscaler Stock Drops 30%: Why the Dip Is a Buy Opportunity - MarketBeat — MarketBeat positive
- NEWS QQQ is down 0.5% today, on ZS stock price movement - Quiver Quantitative — Quiver Quantitative negative
Generated 2026-06-15T18:11:47Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomertop five channel partners28%10-K Item 1A: 'sales through our top five channel partners and their affiliates, in aggregate, represented 28% of our revenue for fiscal 2025'
Material Events(8-K, last 90d)
- 2026-04-16Item 5.02MEDIUMRaj Judge, EVP Corporate Strategy, resigned as officer effective April 15, 2026; departure effective July 31, 2026. Also resigned from Board effective April 15, 2026. Board resignation not due to any disagreement. No successor named.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers·1 ceiling hit
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Momentum 1.1/10 is below the 5.0 floor at $124.01 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: V7 low-quality RISK_OFF penalty: -0.5 (Q=5.2); Sector modifier (Technology): -0.8. Chart setup: Death cross, below all MAs, RSI 33, MACD bearish. Prior stop was $116.30. Score 5.7/10, moderate confidence.
Take-profit target: $178.28 (+43.6% upside). Prior stop was $116.30. Stop-loss: $116.30.
V7 low-quality RISK_OFF penalty: -0.5 (Q=5.2); Sector modifier (Technology): -0.8; Negative momentum.
Zscaler, Inc. trades at a P/E of N/A (forward 27.1). TrendMatrix value score: 6.2/10. Verdict: Sell.
58 analysts cover ZS with a consensus score of 4.0/5. Average price target: $194.
What does Zscaler, Inc. do?Zscaler provides a cloud-native Zero Trust security platform (Zero Trust Exchange) distributed across 160+ public...
Zscaler provides a cloud-native Zero Trust security platform (Zero Trust Exchange) distributed across 160+ public exchanges globally, serving 9,400+ customers in 185+ countries including ~40% of the Forbes Global 2000. Revenue grew to $2,673M in fiscal 2025 (23% YoY), all from subscriptions sold primarily through channel partners.