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Zscaler (ZS) closed on October 3, 2025, with a 0.71% decline, trading at a volume of $300 million—a 21.69% drop from the previous day. The stock ranked 371st in trading activity among U.S. equities. The movement reflects ongoing market dynamics impacting cybersecurity firms amid evolving regulatory scrutiny and macroeconomic pressures.
Recent developments highlight Zscaler’s strategic focus on expanding its cloud infrastructure solutions, with management emphasizing long-term growth in enterprise digital transformation. Analysts note that while the company maintains a strong position in the zero-trust security market, near-term volatility remains tied to broader sector trends and capital allocation decisions by institutional investors.
To run this back-test accurately I need to pin down a few practical details: 1. Universe • Should the “top-500 stocks” be chosen from all U.S. listed equities, or from a narrower group (e.g., S&P 1500, Russell 3000, NYSE-only, NASDAQ-only, etc.)? 2. Trade execution convention • Do we “rank at today’s close, buy at tomorrow’s open, sell at tomorrow’s close” (common because the ranking data are only known after the close), or “rank and buy at today’s close, sell at the next day’s close”? • Which price should be used for entry/exit if you have a preference (open vs. close)? 3. Transaction-cost assumptions (commissions, slippage) – include any, or ignore? Once we lock these in, I can pull the necessary data, build the daily top-500 portfolios, and run the 2022-to-present back-test.

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