Zscaler, Inc.

BMV:ZS * Stock Report

Market Cap: Mex$626.5b

Zscaler Valuation

Is ZS * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ZS * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ZS * (MX$4274.05) is trading below our estimate of fair value (MX$4362.87)

Significantly Below Fair Value: ZS * is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ZS *?

Key metric: As ZS * is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ZS *. This is calculated by dividing ZS *'s market cap by their current revenue.
What is ZS *'s PS Ratio?
PS Ratio14.6x
SalesUS$2.17b
Market CapUS$30.64b

Price to Sales Ratio vs Peers

How does ZS *'s PS Ratio compare to its peers?

The above table shows the PS ratio for ZS * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average14.6x
MNDY monday.com
14.3x20.9%US$12.8b
CRWD CrowdStrike Holdings
24.4x18.2%US$86.6b
GEN Gen Digital
4.7x2.6%US$18.0b
GTLB GitLab
15x18.2%US$9.8b
ZS * Zscaler
14.1x16.2%Mex$31.2b

Price-To-Sales vs Peers: ZS * is good value based on its Price-To-Sales Ratio (14.6x) compared to the peer average (15.1x).

Price to Sales Ratio vs Industry

How does ZS *'s PS Ratio compare vs other companies in the Global Software Industry?

250 CompaniesPrice / SalesEstimated GrowthMarket Cap
No. of Companies250PS02.85.68.411.214+
250 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ZS * is expensive based on its Price-To-Sales Ratio (14.6x) compared to the Global Software industry average (3.2x).

Price to Sales Ratio vs Fair Ratio

What is ZS *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ZS * PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio14.6x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate ZS *'s Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ZS * forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentMex$4,274.05
Mex$4,445.16
+4.0%
10.4%Mex$5,520.74Mex$3,619.15n/a41
Nov ’25Mex$3,810.00
Mex$4,128.17
+8.4%
11.6%Mex$5,222.48Mex$3,191.51n/a40
Oct ’25Mex$3,360.00
Mex$4,226.92
+25.8%
11.5%Mex$5,319.65Mex$3,250.90n/a39
Sep ’25Mex$3,975.00
Mex$4,553.87
+14.6%
11.8%Mex$5,714.42Mex$3,546.88n/a39
Aug ’25Mex$3,267.01
Mex$4,319.00
+32.2%
12.2%Mex$5,443.91Mex$3,378.98n/a39
Jul ’25Mex$3,628.62
Mex$4,170.78
+14.9%
12.2%Mex$5,260.60Mex$3,265.20n/a39
Jun ’25Mex$2,800.00
Mex$3,956.20
+41.3%
13.0%Mex$4,920.05Mex$3,053.83n/a40
May ’25Mex$2,965.50
Mex$4,427.54
+49.3%
9.1%Mex$5,309.31Mex$3,648.01n/a41
Apr ’25Mex$3,178.00
Mex$4,362.01
+37.3%
8.9%Mex$5,211.32Mex$3,580.68n/a40
Mar ’25Mex$3,710.00
Mex$4,389.45
+18.3%
9.5%Mex$5,275.77Mex$3,589.22n/a39
Feb ’25Mex$4,213.70
Mex$4,161.95
-1.2%
12.7%Mex$5,351.91Mex$3,149.19n/a41
Jan ’25n/a
Mex$3,763.58
0%
11.0%Mex$4,671.87Mex$3,057.95n/a39
Dec ’24n/a
Mex$3,517.47
0%
8.1%Mex$3,923.23Mex$2,826.78n/a38
Nov ’24n/a
Mex$3,380.91
0%
10.1%Mex$4,115.75Mex$2,456.46Mex$3,810.0039
Oct ’24Mex$2,642.63
Mex$3,159.61
+19.6%
8.9%Mex$3,921.98Mex$2,340.81Mex$3,360.0039
Sep ’24n/a
Mex$2,876.72
0%
12.2%Mex$3,845.54Mex$2,050.96Mex$3,975.0039
Aug ’24Mex$2,669.79
Mex$2,841.55
+6.4%
12.7%Mex$3,809.05Mex$2,031.49Mex$3,267.0138
Jul ’24n/a
Mex$2,885.96
0%
12.6%Mex$3,863.70Mex$2,060.64Mex$3,628.6237
Jun ’24Mex$2,380.79
Mex$2,676.03
+12.4%
18.3%Mex$3,949.52Mex$2,106.41Mex$2,800.0037
May ’24Mex$1,620.00
Mex$2,757.89
+70.2%
18.2%Mex$4,033.94Mex$2,061.79Mex$2,965.5038
Apr ’24Mex$2,101.00
Mex$2,937.52
+39.8%
17.2%Mex$4,261.68Mex$2,272.90Mex$3,178.0038
Mar ’24n/a
Mex$3,050.77
0%
18.9%Mex$5,062.72Mex$2,209.19Mex$3,710.0037
Feb ’24Mex$2,350.00
Mex$3,093.73
+31.6%
19.5%Mex$5,120.78Mex$2,141.42Mex$4,213.7038
Jan ’24Mex$2,080.68
Mex$3,548.90
+70.6%
17.2%Mex$5,444.29Mex$2,672.65n/a36
Dec ’23n/a
Mex$3,826.21
0%
15.6%Mex$5,363.60Mex$2,969.13n/a35
Nov ’23Mex$3,027.48
Mex$4,220.55
+39.4%
11.9%Mex$5,578.08Mex$3,187.47n/a35

Analyst Forecast: Target price is less than 20% higher than the current share price.

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