Zscaler: Susquehanna raises PT to $340 from $320, maintains Positive rating.

Zscaler: Susquehanna raises PT to $340 from $320, maintains Positive rating.

Zscaler Inc. (ZS) received a significant boost from Susquehanna Financial Group, which raised its price target on the cybersecurity firm to $340 from $320 while maintaining a Positive rating. The move comes after Zscaler reported better-than-expected financial results for the fourth quarter of fiscal 2025.

The company reported fourth-quarter revenue of $719.23 million, surpassing the consensus estimate of $706.91 million. Adjusted earnings per share were 89 cents, beating analyst estimates of 80 cents per share. Zscaler expects first-quarter revenue to be in the range of $772 million to $774 million, with adjusted earnings per share projected to be between 85 cents to 86 cents [1].

Susquehanna highlighted Zscaler's robust demand for Zero Trust and AI security solutions, noting that the company's recent AI Guardrails for Public and Private apps and expansion of its AI security portfolio are driving growth. The analyst also pointed to the company's strong momentum in the Secure Access Service Edge (SASE) market and a strengthening portfolio of emerging products for cross-selling opportunities.

Zscaler's shares fell 4.5% to trade at $262.19 on Wednesday following the earnings announcement. However, the company's strong performance and the analyst's positive outlook suggest that Zscaler remains a promising investment. Other analysts have also raised their price targets on Zscaler, reflecting the company's impressive growth and profitability metrics [2, 3].

References:

[1] https://www.benzinga.com/analyst-stock-ratings/price-target/25/09/47472388/these-analysts-revise-their-forecasts-on-zscaler-following-q4-results
[2] https://www.ainvest.com/news/zscaler-susquehanna-raises-pt-340-320-maintains-positive-rating-2509/
[3] https://www.investing.com/news/analyst-ratings/zscaler-stock-price-target-raised-to-350-from-345-at-keybanc-93CH-4221835