ZScaler(ZS, $120.44) beats expectations
Zscaler incurred a net loss of -US$68.2 million, which is -25% narrower from 1Q 2022. Loss per share was -$0.47 loss vs. -$0.65 loss in 1Q 2022, and exceeding analyst estimates by 16%.
Revenue climbed +54% year-over-year to $355.5 million, beating analysts’ estimates by 4.3%.
Looking ahead, the company expects adjusted earnings of $1.23 to $1.25 a share for the year (vs. analysts’ forecast of $1.18 a share ). Its revenue guidance is about $1.53 billion for the year (vs. analysts’ forecast of $1.5 billion) and billings of $1.93 billion to $1.94 billion, (vs. analysts’ estimate of $1.93 billion).
ZS in upward trend: 10-day moving average moved above 50-day moving average on May 16, 2023
The 10-day moving average for ZS crossed bullishly above the 50-day moving average on May 16, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 12 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on May 08, 2023. You may want to consider a long position or call options on ZS as a result. In of 71 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for ZS just turned positive on May 08, 2023. Looking at past instances where ZS's MACD turned positive, the stock continued to rise in of 49 cases over the following month. The odds of a continued upward trend are .
ZS moved above its 50-day moving average on May 08, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ZS advanced for three days, in of 341 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 312 cases where ZS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 4 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 14 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ZS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
ZS broke above its upper Bollinger Band on May 08, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. ZS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock slightly better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (37.175) is normal, around the industry mean (31.306). P/E Ratio (0.000) is within average values for comparable stocks, (168.128). Projected Growth (PEG Ratio) (1.382) is also within normal values, averaging (4.122). Dividend Yield (0.000) settles around the average of (0.040) among similar stocks. P/S Ratio (14.368) is also within normal values, averaging (70.523).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
Notable companies
Industry description
Market Cap
High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
an antivirus & cloud security platform
Industry PackagedSoftware
ZS and
Correlation & Price change
A.I.dvisor indicates that over the last year, ZS has been closely correlated with CRWD. These tickers have moved in lockstep 80% of the time. This A.I.-generated data suggests there is a high statistical probability that if ZS jumps, then CRWD could also see price increases.
