Zscaler Stock Leads Nasdaq Gainers Thursday


Zscaler logo is seen displayed on a smartphone screen

Thomas Fuller/ SOPA Images/ LightRocket/Getty Images

The Key Takeaways

  • Zscaler’s shares led Nasdaq gainers in a down day for the technology-heavy index.
  • The cybersecurity firm's results and outlook topped analysts' estimates.
  • Zscaler CEO Jay Chaudhry said on the company's earnings call Wednesday that he believes the firm stands to benefit from the Trump administration's efficiency push.

Zscaler, a cybersecurity firm that posted better than expected results on Thursday and gave a bright outlook, ranked as a rarity among the Nasdaq’s top performers. The shares jumped almost 6% in one day.

San Jose, Calif., based company led Nasdaq gainers in a day when the index, which is heavily tech-oriented, was down over 2%. The company announced fiscal 2025’s second quarter adjusted earnings per shared (EPS) at 78 cents. Revenue grew 23% from year-overyear, to $647.9 Million. Visible Alpha’s analysts’ expectations were surpassed by both measures.

Zscaler has stated that it is expecting adjusted EPS between 75 and 76 cents per dollar of revenue for the third-quarter. This will be $665 – $667 million. It expects revenue between $2.64 and $2.654 billion, with adjusted earnings of $3.04-$3.09. The figures exceeded the consensus estimates.

CEO Sees 'Significant Upsell Opportunities' With Government Efficiency Push

Zscaler CEO Jay Chaudhry said on the company's earnings call Wednesday that he believes the firm stands to benefit from the Trump administration's efficiency push.

"Having landed in nearly all the cabinet-level federal agencies and with significant upsell opportunities still remaining, we are well-positioned to benefit from the government's efficiency measures," Chaudhry said on the call, according to a transcript provided by AlphaSense.

With today's advance, Zscaler stock moved into positive territory for the past 12 months. Since the beginning of this year, they are up around 15%.

Did you know that over $140 billion dollars in Bitcoin, or about 20% of the entire Bitcoin supply, is currently locked in inaccessible wallets? Or maybe you have lost access to your Bitcoin wallet? Don’t let those funds remain out of reach! AI Seed Phrase Finder is here to help you regain access effortlessly. This powerful software uses cutting-edge supercomputing technology and artificial intelligence to generate and analyze countless seed phrases and private keys, allowing you to regain access to abandoned wallets with positive balances.
Rating
leadzevs/ author of the article

LeadZevs (John Lesley) is an experienced trader specializing in technical analysis and forecasting of the cryptocurrency market. He has over 10 years of experience with a wide range of markets and assets - currencies, indices and commodities.John is the author of popular topics on major forums with millions of views and works as both an analyst and a professional trader for both clients and himself.