ZS Stock Recent News

Zacks.com users have recently been watching Zscaler (ZS) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.

ZS is gaining from the growing demand for cybersecurity solutions and capitalizing on new AI opportunities.

Zscaler is at a breakout point, poised to benefit from the growing Zero Trust and SASE markets, with strong financials and high client stickiness. Q2 2025 earnings show 23% YoY revenue growth, 77% gross margins, and a 115% Net Retention Rate, indicating operational scalability and profitability potential. Despite rich valuations, Zscaler's leadership position and high margins justify the investment, with risks from competition and macro headwinds being manageable.

Zscaler, Inc. has a strong growth outlook driven by enterprise GenAI adoption and reshoring manufacturing, necessitating increased data protection and zero trust security. Despite macroeconomic challenges, Zscaler's robust investments in its sales department may drive growth through upselling additional services. Zscaler's Q2 '25 saw 23% ARR growth, bolstered by a larger ZS sales team and strong upselling, with expectations to close eFY25 at $3b in ARR.

The technology sector, which had been primarily responsible for powering the market's recent ascent until this year, was at the forefront of the recent downturn, weighed down by global economic uncertainty and a renewed wave of risk-off sentiment. However, within the broader tech landscape, one industry has stood out for its relative strength and resilience: cybersecurity stocks.

Zscaler (ZS) concluded the recent trading session at $219.86, signifying a +1.99% move from its prior day's close.

When investing in growth stocks, it pays to latch on to a sustainable trend or catalyst that can enable the business to continue posting healthy long-term growth. One such trend is cybersecurity.

As digital transformation speeds up and cyber threats intensify, cybersecurity stocks are poised to deliver market-beating returns.

Zscaler's 2025 Phishing Report reveals cybercriminals are exploiting AI to launch precise attacks, underscoring the need for Zero Trust + AI powered defenses Zscaler's 2025 Phishing Report reveals cybercriminals are exploiting AI to launch precise attacks, underscoring the need for Zero Trust + AI powered defenses

Zscaler (ZS) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.