Cantor Fitzgerald reiterates Zscaler stock rating, maintains $340 price target

Published 28/08/2025, 13:30
Cantor Fitzgerald reiterates Zscaler stock rating, maintains $340 price target

Investing.com - Cantor Fitzgerald has reiterated its Overweight rating on Zscaler (NASDAQ:ZS) while maintaining its $340.00 price target on the cybersecurity company’s stock. According to InvestingPro data, Zscaler has demonstrated strong momentum with a 51.36% year-to-date return and maintains impressive gross profit margins of 77.46%.

The research firm’s decision reflects its expectation of second-half billings acceleration for Zscaler, driven by increasing adoption of the company’s cloud security offerings, data protection solutions, and AI analytics capabilities. The company’s robust growth trajectory is evidenced by its 25.46% revenue growth over the last twelve months, with analysts on InvestingPro projecting continued profitability improvement.

Cantor Fitzgerald’s price target of $340 represents an FY26E EV/Sales multiple of 17.0x compared to Zscaler’s peer group, which is currently trading at approximately 15.5x.

The firm believes Zscaler’s anticipated performance improvements will allow the company to regain its historical status of trading at a premium relative to industry peers.

The maintained price target suggests Cantor Fitzgerald’s continued confidence in Zscaler’s growth trajectory despite current market conditions in the cybersecurity sector.

In other recent news, Zscaler has been the focus of several analyst updates. Cantor Fitzgerald reiterated its Overweight rating on Zscaler, maintaining a price target of $340, citing strong early results from the company’s new Z-Flex program. This program, launched in the third quarter, has already generated $65 million in total contract value bookings, showcasing rapid customer adoption. JMP Securities also maintained its Market Outperform rating on Zscaler, raising the price target to $355 from $310 after a series of investor meetings. Meanwhile, B.Riley initiated coverage of Zscaler with a Neutral rating and a price target of $275. These developments highlight the varying perspectives on Zscaler’s market position and potential growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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