Shares in Zscaler climbed on fiscal third quarter earnings and revenue that topped Wall Street targets. The cybersecurity firm's revenue outlook for ZS stock came in above views.
Zscaler earnings were 17 cents a share on an adjusted basis, up 13% from a year earlier. Revenue rose 63% to 286.8 million, the cybersecurity company said.
Analysts expected Zscaler earnings of 11 cents per share on sales of $271.4 million.
"Management noted continued consolidation of point products in favor of their Zero Trust security platform, resulting in larger, multi-year commitments," said RBC Capital analyst Matthew Hedberg in a report.
Revenue Outlook For ZS Stock Tops Views
For the current quarter ending in July, the company expects revenue of $305 million vs. estimates of $291 million.
San Jose, Calif.-based Zscaler reported earnings after the market close on Thursday. Zscaler stock popped 12.6% to close at 160 on the stock market today.
ZS stock owns a Relative Strength Rating of 13 out of a best-possible 99, according to IBD Stock Checkup. Shares have retreated some 58% in 2022.
Zscaler's web security gateways inspect customers' data traffic for malware. It's one of many cybersecurity stocks to watch.
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Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
