1 Glorious Growth Stock Down 31% to Buy Hand Over Fist, According to Wall Street

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  • Zscaler is simply a starring supplier of zero-trust cybersecurity solutions, which assistance minimize the harm from adjacent the astir blase cyber attacks.

  • Zscaler's gross maturation accelerated during its astir caller quarter, highlighting the momentum successful its business.

  • Wall Street is overwhelmingly bullish connected Zscaler's prospects, and its banal could beryllium a large semipermanent bargain astatine the existent level.

  • 10 stocks we similar amended than Zscaler ›

Cyber attacks are connected the rise, but those powered by artificial quality (AI) airs an particularly alarming hazard to the firm sector. In September, starring AI startup Anthropic revealed that its Claude Code instrumentality was utilized to infiltrate and harvest delicate information from respective ample organizations. Pulling disconnected an onslaught of this magnitude utilized to necessitate superior manpower, but AI agents are present doing the dense lifting, turning adjacent the astir unsophisticated hackers into superior threats.

Zscaler (NASDAQ: ZS) is simply a apical cybersecurity vendor, and it's taking a multipronged attack to thwarting cyber risks of each kinds. The institution conscionable released its operating results for its fiscal 2026 archetypal 4th (ended Oct. 31), which revealed accelerating gross maturation connected the backmost of soaring request for its products.

Zscaler banal is inactive down 31% from its 2021 grounds high, erstwhile it reached an unsustainable valuation during a frenzy successful the exertion market. However, it could beryllium poised for upside from here, due to the fact that The Wall Street Journal tracks 50 analysts who screen the stock, and the overwhelming bulk person fixed it a bargain rating. Here's wherefore their bullish statement mightiness beryllium justified.

Two cybersecurity managers looking astatine  a machine  show   and talking to each   other.

Image source: Getty Images.

Zscaler continues to motorboat caller cybersecurity products to assistance enterprises navigate the AI revolution. Its AI-SPM (security posture management) solution, for example, tin observe enactment from unauthorized AI applications, and it tin besides bounds permissions for AI agents. But looking astatine the bigger picture, Zscaler's "Zero-Trust Everywhere" attack is what truly stops cyberattacks of each kinds from dealing catastrophic consequences.

As the sanction implies, a zero-trust cybersecurity architecture treats each idiosyncratic arsenic hostile. It starts astatine the individuality layer, wherever Zscaler's Zero Trust Exchange analyzes not lone the user's login credentials, but besides their determination and their instrumentality to find if it's truly them trying to entree the firm network, oregon if their details person been compromised. This is particularly utile successful the epoch of distant work, due to the fact that not each worker tin beryllium physically supervised.

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