Citizens Lowers Price Target On Zscaler Inc (ZS) Amid Stock Recovery

2 weeks ago 12

Jabran Kundi

Thu, May 7, 2026 astatine 7:11 AM CDT 2 min read

Zscaler Inc (NASDAQ:ZS) is 1 of the 8 Best Cloud Computing Stocks To Buy In 2026. On May 1, Citizens expert Trevor Walsh lowered his terms people connected Zscaler Inc. (NASDAQ:ZS) banal from $290 to $210 portion keeping the Outperform rating. Heading into Q1 earnings, the steadfast revised its fiscal models successful airy of upcoming manufacture data. The request for zero-trust and SASE (Secure Access Service Edge) solutions continues to beryllium high. However, concerns astir cybersecurity risks stemming from precocious AI models person led to a re-rating of the sector, according to the analyst.

The valuation revision isn’t the lone origin driving the stock’s terms down. While Trevor Walsh cites the beardown SASE request arsenic a bullish factor, JPMorgan connected April 21 cited contention successful the aforesaid to little the stock’s terms people from $200 to $155, suggesting the steadfast is adjacent much bearish connected the banal than Citizens. JPMorgan’s Meta Marshall besides added that the firm’s archetypal bull thesis connected the banal revolved astir level expansion, which it does not spot materializing anymore.

Zscaler Inc (NASDAQ:ZS) is simply a supplier of unreality information done products and solutions specified arsenic the Zero Trust Firewall, Cloud Sandbox, Zero Trust Browser, and Zscaler Internet Access. The institution was incorporated successful 2007 and is based successful San Jose, California.

While we admit the imaginable of ZS arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

READ NEXT: 10 Stocks That Will Collapse Because of AI and 10 Best Major Stocks to Buy According to Wall Street Analysts.

Disclosure: None. Follow Insider Monkey connected Google News.

Read Entire Article