Wells Fargo analyst Andrew Nowinski has reiterated their bullish stance on ZS stock, giving a Buy rating today.
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Andrew Nowinski has given his Buy rating due to a combination of factors that highlight Zscaler’s strong financial performance and strategic positioning. The company reported impressive fourth-quarter results for fiscal year 2025, with billings surpassing guidance by 5%. This strong performance was complemented by management’s optimistic guidance for fiscal year 2026, which, despite being conservative, aligns with market expectations and showcases the company’s potential to achieve its ambitious $5 billion annual recurring revenue (ARR) target.
Moreover, Zscaler’s focus on three key growth vectors—Zero Trust Everywhere, Data Security, and AI-Security—has proven successful, collectively generating over $1 billion in ARR. Notably, two of these vectors were launched less than a year ago, indicating rapid market adoption. Additionally, the introduction of the Z-Flex pricing model, which has already secured significant total contract value bookings, is expected to further drive platform adoption and ARR growth. These strategic initiatives, combined with a robust financial outlook, underpin Nowinski’s positive outlook on Zscaler’s stock.
According to TipRanks, Nowinski is a 5-star analyst with an average return of 16.2% and a 55.49% success rate. Nowinski covers the Technology sector, focusing on stocks such as Zscaler, Fortinet, and CrowdStrike Holdings.
In another report released today, KeyBanc also reiterated a Buy rating on the stock with a $350.00 price target.