Zscaler's Investor Day Presents Multi-Year Visibility Into Annual Recurring Revenue Growth, Wedbush Says
MT newswire2026/10/07 15:0311:03 AM EDT, 10/07/2026 (MT Newswires) -- Zscaler's (ZS) investor day presented multi-year visibility into mid-to-high-teens annual recurring revenue growth, with artificial intelligence-related upside scenario providing further optionality into estimates, Wedbush said in a Wednesday research note. Wedbush said it came away with positive takeaways from the event with a base case of $8 billion in annual recurring revenue by fiscal 2031 resulting in a compound annual growth rate of 17%, with an upside scenario of $10 billion by fiscal 2031, a 22% CAGR, tied to faster AI adoption. While Zscaler's management did not state a margin target, its forward five-year framework implies a 27% to 30% fiscal 2031 operating margin according to Wedbush's calculations, compared with the mid-to-high 20s target that the brokerage was looking for, according to the note. Wedbush raised its price target to $240 per share from $215 and maintained its outperform rating on the stock. Price: 211.60, Change: -0.65, Percent Change: -0.31
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
SNT Holdings, Related Party Raise Combined Stake in SNTEnergy to 55.75% From 52.75%
Cold wave and rising fuel costs drive electricity prices in northeastern Japan and Tokyo to a four-year high
Japan's spot electricity prices surged to multi-year highs over the weekend.
Google (GOOGL.US) warns that new Australian cybersecurity regulations may cut off minors' access to Gmail
Google stated that a new cybersecurity bill in Australia could prevent minors from using Gmail.
Canaccord Genuity: Lowers Oklo's target price to $66
Crypto prices
More
