Intech Investment Management LLC, a well-known investment management firm, has lowered its stake in Zscaler, Inc. (NASDAQ:ZS) by 43.0% in the fourth quarter of the year. According to the most recent 13F filing with the SEC, Intech Investment Management LLC owned 6,805 shares of Zscaler’s stock after selling 5,144 shares during that period. The fund’s holdings in Zscaler were worth $761,000 as of its most recent SEC filing.
Zscaler is a cloud-based internet security platform that provides cutting-edge cybersecurity solutions to businesses worldwide. The company offers various innovative products and services such as Zero Trust Exchange, Zscaler Client Connector, Zscaler Internet Access, Zscaler Private Access, Zscaler B2B, Zscaler Cloud Protection, and Zscaler Digital Experience.
Interestingly enough, on Thursday March 2nd of this year – just a few months ago – Zscaler had announced its earnings results. As per the reports published by the tech giant itself at the time; for the quarter ended March 2nd, it had reported ($0.35) earnings per share (EPS), which was considerably higher than the consensus estimate of ($0.43) by $0.08. Furthermore; in a similar upbeat outcome; for that same quarter; they had brought in revenue of $387.60 million as opposed to analysts’ expectations which were at $363.80 million.
It must be noted however that like all tech companies; there is also an assessment made on their negative net margins and return on equity (ROE). Unfortunately for them – despite these profitable quarters – it has been noted that this is something that could potentially affect their performance in future periods if not managed properly.
Equities analysts have now predicted that based on these latest financial results presented over last quarter (2023), Zscaler, Inc. will post -1.19 EPS for the current fiscal year-end, and it remains to be seen what measures they will take in order to mitigate these predicted challenges facing them.
In conclusion, it is safe to say that the state of affairs at Zscaler remains fluid and while Intech Investment Management LLC has lowered its stake in this innovative cloud-based internet security platform; only time will tell how events unfold, knowing that potential roadblocks lie ahead for them moving forward as a tech company in a dynamic market..
[bs_forecast_slider ticker=”ZS”]
Institutional Investors and Hedge Funds Show Interest in Zscaler Inc. as the Company’s Strong Financials and New Product Offerings Attract Attention.
Zscaler, Inc. (ZS) remains a popular choice among institutional investors and hedge funds, as demonstrated by recent moves to add to or reduce stakes in the company. Mirae Asset Global Investments Co. Ltd. raised its position by 14.1% during Q1 2023, whilst AlphaCrest Capital Management LLC entered the fray with a new position worth approximately $244,000 during the same period. D.A. Davidson & CO lifted its position by 41.6%, purchasing an additional 332 shares in Q1 for a total of $273,000 and MetLife Investment Management LLC bought into Zscaler with around $1,232,000.
The company’s financials are strong too: ZS opened at $125.27 on Monday the day after hitting a record high of $194.21 per share; this represents solid growth from lows of $84.93 over the past year.
Zscaler boasts a number of successful cloud-based internet security platforms including Zero Trust Exchange and Zscaler Internet Access and has invested heavily in developing new products such as Zscaler Client Connector and Private Access B2B features.
As for stock ownership, insiders have sold off 16,412 shares valued at around $1,752,637 over the last ninety days; however company insiders still own a sizable amount of equity – around 19.80% – proving their faith in Zscaler’s future potential.
Whilst some industry analysts predict only moderate gains for stocks such as these in the near term market conditions can often change rapidly; currently Bloomberg.com assigns a consensus “Moderate Buy” rating to the stock with an average price target of $167.68 indicating that market specialists believe that there is genuine potential here for savvy investors looking towards future growth opportunities in network security solutions providers like Zscaler Inc..
