Zscaler, Inc. ZS, a leader in cloud security, announced several artificial intelligence (AI)-driven innovations for its data protection platform, making it the most comprehensive solution in the industry.
AI innovations to strengthen data protection capabilities
With cloud usage growing exponentially and threats like ransomware evolving, organizations face a critical need for robust data protection. Zscaler’s platform provides structured and unstructured data protection across various channels, including web, software as a service (SaaS), email, and private applications, both in data centers and in the public cloud.
Moinul Khan, vice president and general manager of data protection at Zscaler, highlights the importance of complete data protection visibility. Zscaler leverages more than 500 trillion data points daily to provide insights into sensitive data and automate security workflows. Latest enhancements include native data security posture management for public clouds, context-rich generative AI application security, and real-time messaging DLP (data loss prevention).
Zscaler, Inc. Price and Consensus
Zscaler, Inc. Price Consensus Chart | Quote from Zscaler, Inc.
Additionally, Zscaler’s Unified SaaS Security consolidates technologies like SSPM (SaaS Security Posture Management) and CASB (Cloud Access Security Broker) to provide actionable insights into SaaS data. The platform also extends AI Auto Data Discovery to streamline data protection programs by reducing complexity.
According to Jennifer Glenn of International Data Corporation, data security solutions like Zscaler’s AI Data Protection Platform are essential for identifying and resolving security issues while reducing deployment costs and complexity. Elad Horn, GVP of Product at Cohesity, highlights the importance of securing data across various platforms and working with Zscaler to strengthen security and data recovery capabilities.
Overall, Zscaler’s AI-powered innovations enable organizations to comprehensively protect their data, address evolving threats, and optimize business processes. With a focus on visibility, automation and collaboration, Zscaler remains at the forefront of data protection solutions, providing organizations with a holistic approach to security in today’s digital landscape.
Product Improvements Drive Growth
Zscaler’s continued focus on enhancing product capabilities helps the company secure large deals in various industries such as federal government, finance, healthcare and technology. Many Fortune 500 companies are moving away from legacy firewall and VPN systems to its ZIA, ZPA and ZDX solutions for Zero Trust architecture. In the latest financial results released for the second quarter of fiscal 2024, the company’s non-GAAP revenue and profit climbed 35% and 57%, respectively, on a year-over-year basis.
The company is benefiting from growing demand for security and networking through the increase in hybrid work setups. Users accessing corporate networks increase the need for security, which benefits Zscaler products.
Its edge cloud, offering policy enforcement, multi-tenancy, SSL/TLS inspection and Zero Trust network access, is also well-positioned for adoption in the growing remote work culture.
Zacks Rank and Other Stocks to Consider
Currently, Zscaler carries a Zacks Rank #2 (Buy). ZS shares have plunged 20.2% year to date (YTD).
Some other top-ranked stocks in the broader technology sector are Nvidia NVDA, Selling power CRM and Paycom software PAYC. NVIDIA sports a Zacks Rank #1 (Strong Buy), while Salesforce and Paycom Software each currently carry a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for NVIDIA’s fiscal 2025 earnings has been revised 4 cents higher to $23.98 per share over the past seven days, suggesting year-over-year growth. ‘other of 85%. The estimated long-term earnings growth rate for the stock stands at 30.9%. NVDA stock is up 84.5% year to date.
The Zacks Consensus Estimate for Salesforce’s fiscal 2025 earnings has been revised 3 cents higher to $9.71 per share over the past 60 days, projecting an 18.1% increase over an annual basis. The expected long-term earnings growth rate for the stock is pegged at 17.4%. CRM shares are up 5.2% year to date.
The consensus for Paycom’s 2024 earnings has been revised up 3 cents to $7.68 per share over the past 30 days, indicating a slight decline of 0.9% from 2023. It forecasts long-term earnings growth of 10.4%. PAYC stock is down 15.6% in the cumulative period.
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