• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Investing Zscaler stock opened 10% down on Friday: how come?
Investing

Zscaler stock opened 10% down on Friday: how come?

by December 2, 2022
by December 2, 2022 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

Shares of Zscaler Inc (NASDAQ: ZS) opened about 10% down on Friday after the cybersecurity company issued conservative guidance citing headwinds, including longer sales cycles.

Zscaler’s guidance for the future

For the second financial quarter, Zscaler now forecasts about 30 cents of adjusted EPS on up to $366 million in revenue. In comparison, analysts had called for 26 cents and $325.1 million, respectively.

The cloud company expects $1.93 billion worth of billings this year – in line with estimates. On the earnings call, CFO Remo Canessa said:

In this environment, we think it’s prudent to expect a higher level of review and scrutiny by our customers to continue.

For the year, Zscaler stock is down more than 55% as higher rates continued to weigh on cybersecurity stocks.

Notable figures in Zscaler’s Q1 earnings report

Lost $68.2 million versus the year-ago $90.8 millionPer-share loss also narrowed from 65 cents to 48 centsAdjusted net income on a per-share basis was 29 centsRevenue shot up 54% year-over-year to $355.5 millionConsensus was 26 cents a share on $340.7 million revenue$340.1 million of billings were also better than expectedDeferred revenue increased 55% to about $1.0 billion

Zscaler ended the quarter with roughly $1.82 billion in cash, equivalents, and short-term investments. In the earnings press release, CEO Jay Chaudhry said:

Customers are engaging with us to embrace zero trust architecture, eliminate point products, simplify IT and standardise on the Zscaler platform, all of which delivers better security and lower cost.

Nonetheless, Wall Street currently has a consensus “overweight” rating on Zscaler stock despite a slowdown in IT spend. Earlier this week, peer CrowdStrike also reported its quarterly results that Invezz published here.

The post Zscaler stock opened 10% down on Friday: how come? appeared first on Invezz.

You Might Also Like
  • United Airlines stock has a 50% upside from here: Morgan Stanley
  • Boeing lands the largest order for wide-body aircraft in U.S. history
  • MULN stock price forecast: Is it safe to buy Mullen Automotive?
  • Compass Inc will turn free cash flow positive in 2023: CEO Reffkin
Share
0
FacebookTwitterPinterestWhatsapp

previous post
40+ Spotify statistics 2022: SPOT stock, revenue and performance
next post
2022 Inflation statistics: how bad is it worldwide?

You may also like

A preview of the December NFP report and its implications...

November 30, 2022

Boohoo share price could surge to 55p in 2023

January 12, 2023

3 investments David Einhorn believe will pay off big in...

November 23, 2022

Options Rho: Sensitivity To Interest Rates

April 22, 2023

OptionNET Explorer (ONE) Software

March 19, 2023

Cramer shares outlook on Amgen after Horizon Therapeutics deal

December 12, 2022

What to expect from software stocks in 2023?

January 3, 2023

Yes, We Are Playing Not to Lose!

March 11, 2024

ADP beats expectations, US dollar jumps on the news

January 5, 2023

SteadyOptions 2024 – Year in Review

January 5, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Tesla agrees to first deal to build China’s largest grid-scale battery power plant

      June 21, 2025
    • Oil prices rise more than 1% as Israel vows to intensify attacks on Iran

      June 20, 2025
    • RRG Alert Tech Vaults to ‘Leading’—Is XLK Signaling a New Rally?

      June 20, 2025
    • Apple looking to make ‘premium’-priced folding iPhones starting next year, analyst says

      June 20, 2025
    • Nike pushes back Skims launch with Kim Kardashian due to production delays

      June 19, 2025

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 3,599 views
    • 2

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,875 views
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,578 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,541 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,417 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,143)
    • Investing (538)
    • Stock (2,621)

    Popular Posts

    • 1

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 2

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 3

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • Tesla agrees to first deal to build China’s largest grid-scale...

      June 21, 2025
    • Oil prices rise more than 1% as Israel vows to...

      June 20, 2025
    • RRG Alert Tech Vaults to ‘Leading’—Is XLK Signaling a New...

      June 20, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,143)
    • Investing (538)
    • Stock (2,621)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    Cramer’s top three bank stocks for...

    December 21, 2022

    Rolls-Royce stock price forecast 2023: risks...

    January 2, 2023

    Should you buy or sell the...

    January 9, 2023
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here