Short Sellers May Regret Shorting ZScaler (ZS) As One Analyst Points To 79% Upside
Key takeaways
- Short Sellers May Regret Shorting ZScaler (ZS) As One Analyst Points To 79% Upside Jabran Kundi Tue, June 16, 2026 at 7:05 PM GMT+7 2 min read ZS Zscaler Inc.
- (NASDAQ:ZS) reported revenue of $850.48 million, up 25% year over year.
- For Q4 2026, the company has raised its revenue guidance to between $875 million and $878 million.
Short Sellers May Regret Shorting ZScaler (ZS) As One Analyst Points To 79% Upside Jabran Kundi Tue, June 16, 2026 at 7:05 PM GMT+7 2 min read ZS Zscaler Inc. (NASDAQ:ZS) is one of the 7 Worst Cloud Stocks To Buy According to Short Sellers. On June 10, Shrenik Kothari, an analyst at Robert W. Baird, reiterated a Buy rating on Zscaler Inc. (NASDAQ:ZS) and set a price target of $230. The firm’s price target offers an additional 79% upside from here. Similarly, on June 1, Guggenheim upgraded Zscaler Inc. (NASDAQ:ZS) to Buy from Neutral and assigned a target price of $214. The positive analyst sentiment followed the company’s Q3 2026 earnings report.
The quarterly report came out on May 26. Zscaler Inc. (NASDAQ:ZS) reported revenue of $850.48 million, up 25% year over year. The earnings per share came in at $1.08, which comfortably beat the Wall Street consensus of $1.01.
For Q4 2026, the company has raised its revenue guidance to between $875 million and $878 million. This translates to an EPS of $1.08 to $1.09. Guggenheim believes Zscaler is in a good position in cloud-based security, such as SASE and SSE. As a result, it could generate more revenue in the coming years.