Insider transaction
Judge Raj, who serves as a director of Zscaler, Inc. and is the company's Executive Vice President of Corporate Strategy & Ventures, sold 2,488 shares of Zscaler common stock on March 17, 2026, at a per-share price of $156.5932, generating a gross transaction amount of $389,603. After the disposition, Judge Raj directly holds 67,906 shares of the company.
The filing notes the sale was executed to satisfy tax withholding obligations associated with the vesting of restricted stock units and was not a discretionary trade.
Company results and operational updates
Zscaler released its fiscal second-quarter 2026 results showing a 26% year-over-year increase in revenue and a 25% expansion in annual recurring revenue. Alongside the quarter’s metrics, the company announced enhancements to its data sovereignty capabilities, including a planned deployment in Canada as part of its global data center expansion.
Analyst activity
Investor coverage adjustments followed the quarterly report, producing varied reactions among analysts. Wells Fargo initiated coverage on Zscaler with an Overweight rating, highlighting platform growth and the company’s push into areas such as Zero Trust Exchange and artificial intelligence. TD Cowen lowered its price target to $220 from $260, citing market contraction but kept its existing rating on the shares. BMO Capital reduced its price target to $210 from $315 and expressed concerns about the durability of growth, while also raising its fiscal 2026 annual recurring revenue estimate by $32 million. Stifel trimmed its price target to $180 from $320 yet maintained a Buy rating, noting the company exceeded expectations across all key quarterly metrics.
Bottom line
The insider sale by Judge Raj was described as a tax-related, non-discretionary transaction. Zscaler’s latest quarter showed solid top-line and recurring revenue expansion, and analysts reacted with a mix of optimistic and cautious adjustments to ratings and price targets, underscoring divergent views on near-term market conditions and longer-term growth durability.