Zscaler, Inc. (ZS) Stock Grade

About Zscaler, Inc.'s fundamentals

Zscaler is a large-cap software infrastructure company with a $29.7 billion market capitalization that is growing revenue at a solid 23.3% year-over-year pace. Despite this strong topline growth, the company currently operates at a net loss with a -1.6% net margin, though it is generating positive free cash flow despite the accounting losses. The company does not pay a dividend and lacks traditional profitability metrics like positive earnings, which reflects its growth-stage business model in the competitive cybersecurity and cloud infrastructure sector.