Zscaler falls; analysts flag lack of Red Canary guidance

Zscaler

26/11/2025 10:14

** Shares of cloud security firm Zscaler ZS.O fall 6.9% to $269.8 premarket

** Co on Tuesday raised its full-year revenue forecast to range of $3.28 billion to $3.30 billion from $3.27 billion to $3.28 billion

** Analysts say lack of guidance on cybersecurity co Red Canary raises questions about growth
** Co acquired Red Canary to speed up AI-driven security innovation

** At least three brokerages cut PT on ZS following results, according to LSEG data

** Co also beat Q1 estimates on revenue and profit, driven by strong demand for cloud and AI security solution

** 38 of 48 brokerages rate stock "buy" or higher, 10 "hold"; their median PT is $335 - data compiled by LSEG

** As of last close, stock up 60.59% YTD

 (Reporting by Kanishka Ajmera in Bengaluru)

 ((Kaniska.Ajmera@thomsonreuters.com))