Zscaler Stock Draws Fresh Buy Call as Revenue Jumps Past $898M

Zscaler shares got some attention this week after a top analyst slapped a fresh Buy rating on the tech name. The call came from Guggenheim’s John Difucci, who also set a price target of $214.00. That’s a decent bump from where shares closed yesterday at $169.80.

Difucci spends most of his time tracking tech stocks like Salesforce and ServiceNow, so his take on Zscaler carries some weight. Per TipRanks, his picks have returned an average of 18.3%, with a 63.49% success rate. Not bad.

It wasn’t just Guggenheim in Zscaler’s corner. KeyBanc’s Eric Heath also issued a Buy in a report released the same day. But not everyone’s bullish. Roth MKM kept its stance at Hold, showing there’s still some debate on the stock.

Looking at the numbers, Zscaler’s latest quarterly report shows revenue of $898.19 million for the period ending July 31. That’s up from $719.23 million a year ago. The company also swung to a much smaller GAAP net loss, reporting just $3.37 million compared to $17.58 million last year.

So what does it all mean? Zscaler is growing fast, and analysts are noticing. But with mixed signals from the Street, investors might want to keep an eye on both the momentum and the caution.