Get the Weekly Intelligence Brief — top committee picks every Sunday.
ZS · NASDAQ · STOCK

Zscaler (ZS) Stock Analysis

Technology Updated August 25, 2026
$172.40
52W $114.62 – $336.99
55/100
$28.47B
-366.8
0.92
AI Committee Verdict
Watch
55/100
Conviction: Contested · 50% agreement · 6 analysts
+8.6%
-6.4%
1.35:1
Contested

Is ZS Bullish or Bearish?

Mixed. Innellis AI committee rates Zscaler Inc. (ZS) Watch with a composite score of 55/100 , based on 6 analysts with 50% agreement. Last updated August 25, 2026.

What Would Change This View

Upgrade to Buy
Requires a committee score of 60.0 — +5.14 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Reduce
Requires the score to fall below 40.0 — -14.86 from today. The band boundary is 45.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The committee is genuinely divided. Growth Analyst sees a compelling case — 4 consecutive earnings beats -- consistent execution. Value Analyst remains cautious — price-to-book of 24.7x prices in significant intangible value. This disagreement is itself the signal — the setup is not clean in either direction.

Bull & Bear Case

Bull Case
  • 4 consecutive earnings beats -- consistent execution — Growth
  • MACD histogram positive -- bullish momentum — Technical
  • News sentiment is positive (+0.33 across 9 articles, 14d) — News
Bear Case
  • Price-to-book of 24.7x prices in significant intangible value — Value
  • ROE of only -3.7% -- cheap may mean cheap for a reason — Value
  • Bollinger bandwidth of 33.7% signals elevated volatility — Risk
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of August 25, 2026
Overall Committee Score
55/100
Agreement
50%
Analysts
6
Conviction
Contested
Sector Rank
Top 71%
of 287 Technology peers
Value Analyst bearish
30 / 100 · Moderate confidence
Multiples don't clear a genuine value bar here, or cheapness looks justified by weak fundamentals
− Price-to-book of 24.7x prices in significant intangible value
Growth Analyst bullish
72 / 100 · Moderate confidence
Strong, accelerating growth with consistent execution
+ 4 consecutive earnings beats -- consistent execution
Technical Analyst neutral
58 / 100 · High confidence
Mixed or range-bound price action
+ MACD histogram positive -- bullish momentum
Risk Analyst bearish
35 / 100 · Low confidence
Elevated risk from leverage, volatility, event exposure, or portfolio concentration -- size accordingly
− Bollinger bandwidth of 33.7% signals elevated volatility
Macro Analyst bullish
65 / 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst bullish
68 / 100 · Low confidence
News flow and recent filings/analyst actions are net positive
+ News sentiment is positive (+0.33 across 9 articles, 14d)
Portfolio Manager neutral
45 / 100 · High confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− Sector concentration is already high (HHI 3063.01)
Open Full Terminal →

Investment Thesis Evolution

Committee score moved marginally from 54.9 to 54.9.

Comparing 2026-08-24 to 2026-08-25 (1 day apart).

Technical Analysis

RSI (14)
50.9
Neutral
MACD Histogram
-0.355
Bearish Momentum
Trend Direction
Sideways
Weekly: Downtrend
Market Structure
Lh Ll
Support
$164.82
Resistance
$191.17
Bollinger %B
0.61
Inside Bands
Price vs Moving Averages
EMA 9
$178.53 Below
EMA 21
$170.88 Above
EMA 50
$159.50 Above
EMA 200
$176.43 Below

Fundamental Analysis

Valuation
33
Growth
79
Profitability
25
Financial Health
87
Cash Flow
70
Valuation
P/E Ratio -366.8×
P/B Ratio 11.96×
PEG Ratio 5.46
Dividend Yield 0.00%
52W High $336.99
52W Low $114.62
Quality & Growth
ROE -230.5%
ROA -64.6%
Gross Margin 7667.4%
Operating Margin -472.7%
Revenue Growth YoY
Debt / Equity 0.79
AI Fundamental Assessment
P/E ratio of -366.8 (inexpensive relative to a 15-40x range); Price-to-book of 12.0x; PEG ratio of 5.5 (under 1.0 suggests growth is undervalued relative to price); Return on equity of -2.3%; Return on assets of -0.6%; Net margin of -2.4%; Gross margin of 76.7%; Current ratio of 1.86 (healthy short-term liquidity); Debt-to-equity of 0.79; Free cash flow per share is positive (5.97); Most recent quarter beat estimates by 4.0%; 4 consecutive earnings beats; EPS growth roughly steady (+5.2% -> +6.9% QoQ); Analyst estimates rising over recent quarters
Get the Full ZS Analysis
Interactive charts · Live committee votes · Trade plan · Paper trading · AI Q&A
Open in Terminal →
Weekly Intelligence Brief
Get the committee's top-scored stocks every Sunday.
Free · No spam · Unsubscribe anytime