Zscaler Poised for Continued Strength Ahead, Truist Says

MT Newswires Live

Nov 26

Zscaler (ZS) is expected to see continued strength in fiscal 2026 and beyond after reporting "solid" fiscal Q1 financial results, Truist Securities said in note late Tuesday.

The company late Tuesday raised its annual outlook after delivering a fiscal Q1 beat.

The latest results were driven by persisting momentum in customer demand and large deals, particularly Zero Trust Everywhere, Data Security Everywhere, and Agentic Operations solutions, Truist said.

The brokerage remains "constructive" on Zscaler's platform momentum and tangible return on investment for customers, according to the note.

Truist kept its buy rating and a $350 price target on the company's stock unchanged.

Zscaler shares were down 7.6% in recent premarket activity Wednesday.

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