Equity Profile

ZS

Zscaler, Inc.

Information TechnologySystems Software$21.1B

Sep2Wed

Pre-Earnings Brief

UpcomingQ4-2026After Close5:00 PM EDT

Company Snapshot

Zscaler, Inc. is a leading provider of cloud-based security solutions that help organizations protect their data and applications from cyber threats....

Key Metrics to Watch

Revenue Growth

Revenue growth is crucial as it reflects the company's ability to expand its customer base and increase sales.

N/A

Earnings Per Share (EPS)

EPS is a key indicator of profitability and will help investors gauge how well the company is managing its costs relative to its revenue.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

ZS Q4-2026 Earnings Preview

Context

Company Snapshot

Zscaler, Inc. is a leading provider of cloud-based security solutions that help organizations protect their data and applications from cyber threats. As part of the Information Technology sector, Zscaler is positioned within the growing demand for cybersecurity solutions, especially as businesses increasingly rely on cloud services.

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+1848.77%

Avg Stock Reaction

+1.13%

Last Quarter Recap

In the last quarter, Zscaler reported an impressive EPS of $1.08, significantly beating expectations. The stock reacted positively, gaining 1.22% the following day.

Management Promises & Guidance

Continued focus on expanding its product offerings.
Commitment to enhancing customer support and service.
Plans to invest in marketing to drive brand awareness.

Expectations

Wall Street Expectations

Overall, expectations are high for Zscaler as it has consistently beaten EPS estimates in recent quarters. Investors are keen to see if this trend continues and how management addresses growth strategies.

Bull Case

The optimistic view is that Zscaler will report strong revenue growth driven by an increase in customer demand for its cybersecurity solutions, leading to another EPS beat.

Bear Case

On the other hand, if Zscaler fails to meet growth expectations or provides cautious guidance, it could lead to a sell-off as investors reassess the company's valuation.

Expectations

Two Questions That Matter

The print will turn on these two things.

How many new customers did Zscaler acquire this quarter?

Customer acquisition is vital for future revenue growth, and any significant increase could boost investor confidence.

What is the outlook for revenue growth in the next fiscal year?

Management's guidance on future revenue growth will be closely scrutinized, as it can impact market sentiment and stock performance.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating Zscaler's ability to maintain high growth rates despite increasing competition, as evidenced by its strong customer retention and expanding product offerings.

Supporting Evidence

Zscaler has consistently beaten EPS estimates by significant margins, indicating strong operational performance.

The options market is pricing in a relatively low move, suggesting that traders may not fully anticipate the potential for a significant upside surprise.

Key Risk

If customer growth exceeds expectations, it could invalidate the cautious outlook currently held by analysts.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

This quarter's performance is critical as it will determine whether Zscaler can maintain its growth trajectory amid increasing competition in the cybersecurity space.

Bull Confirmed If

A revenue growth rate exceeding 25% year-over-year would confirm the bull case.

Bear Confirmed If

If revenue growth falls below 15%, it would support the bear case.

Pre-Earnings Positioning

Options Market

Implied Move

±2.57%

Historical Avg

±2.5%

In line with history

The options market is pricing in a modest move of about 2.57%, suggesting that traders expect some volatility around the earnings announcement.

Options are pricing ±2.6% while ZS has averaged ±2.5% over the last 8 prints — setup is roughly in line with history.

Detail

ATM IV

0.6%

30d HV

127.9%

Calls (4.8M)P/C Ratio: 0.44Puts (3.2M)

Edge

Historical Setup Match

Cross-company pattern from 30 similar setups.

Prior-quarter beat + options rich in Information Technology

n=30

Fade rate: 5 of 10 (50%)

This setup has occurred 30 times across Information Technology in the last 2 years. 5 of 10 faded and 5 held — no strong directional bias after the initial reaction. The average absolute 1-day move is 4.4%, with a raw directional average of -0.5% (modestly negative historical bias).

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Zscaler beats expectations and raises guidance, history suggests the stock could rise by around 1.13% the following day, confirming strong demand.

In-Line / Cautious

If the results are in line but management provides cautious commentary, the stock may see muted movement as investors digest the information.

Miss

Should Zscaler miss expectations, history suggests a potential decline of around 2.45%, reflecting disappointment in growth prospects.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer acquisition numbers and retention rates.
2Any commentary on competitive pressures in the cybersecurity market.
3Insights into product development and future offerings.
4Management's outlook on revenue growth for the upcoming fiscal year.
5Details on any new partnerships or collaborations.

See the full picture

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Company Snapshot

Zscaler, Inc. is a leading provider of cloud-based security solutions that help organizations protect their data and applications from cyber threats....

Key Metrics to Watch

Revenue Growth

Revenue growth is crucial as it reflects the company's ability to expand its customer base and increase sales.

N/A

Earnings Per Share (EPS)

EPS is a key indicator of profitability and will help investors gauge how well the company is managing its costs relative to its revenue.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

ZS Q4-2026 Earnings Preview

Context

Company Snapshot

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+1848.77%

Avg Stock Reaction

+1.13%

Last Quarter Recap

In the last quarter, Zscaler reported an impressive EPS of $1.08, significantly beating expectations. The stock reacted positively, gaining 1.22% the following day.

Management Promises & Guidance

Continued focus on expanding its product offerings.
Commitment to enhancing customer support and service.
Plans to invest in marketing to drive brand awareness.

Expectations

Wall Street Expectations

Bull Case

The optimistic view is that Zscaler will report strong revenue growth driven by an increase in customer demand for its cybersecurity solutions, leading to another EPS beat.

Bear Case

On the other hand, if Zscaler fails to meet growth expectations or provides cautious guidance, it could lead to a sell-off as investors reassess the company's valuation.

Expectations

Two Questions That Matter

The print will turn on these two things.

How many new customers did Zscaler acquire this quarter?

Customer acquisition is vital for future revenue growth, and any significant increase could boost investor confidence.

What is the outlook for revenue growth in the next fiscal year?

Management's guidance on future revenue growth will be closely scrutinized, as it can impact market sentiment and stock performance.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating Zscaler's ability to maintain high growth rates despite increasing competition, as evidenced by its strong customer retention and expanding product offerings.

Supporting Evidence

Zscaler has consistently beaten EPS estimates by significant margins, indicating strong operational performance.

The options market is pricing in a relatively low move, suggesting that traders may not fully anticipate the potential for a significant upside surprise.

Key Risk

If customer growth exceeds expectations, it could invalidate the cautious outlook currently held by analysts.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

This quarter's performance is critical as it will determine whether Zscaler can maintain its growth trajectory amid increasing competition in the cybersecurity space.

Bull Confirmed If

A revenue growth rate exceeding 25% year-over-year would confirm the bull case.

Bear Confirmed If

If revenue growth falls below 15%, it would support the bear case.

Pre-Earnings Positioning

Options Market

Implied Move

±2.57%

Historical Avg

±2.5%

In line with history

The options market is pricing in a modest move of about 2.57%, suggesting that traders expect some volatility around the earnings announcement.

Options are pricing ±2.6% while ZS has averaged ±2.5% over the last 8 prints — setup is roughly in line with history.

Detail

ATM IV

0.6%

30d HV

127.9%

Calls (4.8M)P/C Ratio: 0.44Puts (3.2M)

Edge

Historical Setup Match

Cross-company pattern from 30 similar setups.

Prior-quarter beat + options rich in Information Technology

n=30

Fade rate: 5 of 10 (50%)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If Zscaler beats expectations and raises guidance, history suggests the stock could rise by around 1.13% the following day, confirming strong demand.

In-Line / Cautious

If the results are in line but management provides cautious commentary, the stock may see muted movement as investors digest the information.

Miss

Should Zscaler miss expectations, history suggests a potential decline of around 2.45%, reflecting disappointment in growth prospects.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on customer acquisition numbers and retention rates.
2Any commentary on competitive pressures in the cybersecurity market.
3Insights into product development and future offerings.
4Management's outlook on revenue growth for the upcoming fiscal year.
5Details on any new partnerships or collaborations.