ZSCALER INC (0ZC.DE) Stock Fundamental Analysis
Europe - FRA:0ZC - US98980G1022 - Common Stock
254.55 EUR
+1.15 (+0.45%)
0ZC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 107 industry peers in the Software industry. 0ZC scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 0ZC shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
0ZC had positive earnings in the past year.
In the past year 0ZC had a positive cash flow from operations.
In the past 5 years 0ZC always reported negative net income.
0ZC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.65%, 0ZC perfoms like the industry average, outperforming 41.12% of the companies in the same industry.
0ZC has a Return On Equity (-2.31%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.65% | ||
| ROE | -2.31% | ||
| ROIC | N/A |
ROA(3y)-2.49%
ROA(5y)-6.57%
ROE(3y)-11.58%
ROE(5y)-30.47%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
0ZC has a Gross Margin of 76.87%. This is in the better half of the industry: 0ZC outperforms 60.75% of its industry peers.
0ZC's Gross Margin has been stable in the last couple of years.
The Profit Margin and Operating Margin are not available for 0ZC so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.87% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.4%
GM growth 5Y-0.23%
2. Health
2.1 Basic Checks
0ZC does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, 0ZC has more shares outstanding
Compared to 5 years ago, 0ZC has more shares outstanding
0ZC has a worse debt/assets ratio than last year.
2.2 Solvency
0ZC has an Altman-Z score of 6.62. This indicates that 0ZC is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.62, 0ZC is in the better half of the industry, outperforming 78.50% of the companies in the same industry.
The Debt to FCF ratio of 0ZC is 2.34, which is a good value as it means it would take 0ZC, 2.34 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.34, 0ZC is doing good in the industry, outperforming 67.29% of the companies in the same industry.
0ZC has a Debt/Equity ratio of 0.95. This is a neutral value indicating 0ZC is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.95, 0ZC is doing worse than 80.37% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for 0ZC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 2.34 | ||
| Altman-Z | 6.62 |
ROIC/WACCN/A
WACC10.86%
2.3 Liquidity
A Current Ratio of 2.01 indicates that 0ZC has no problem at all paying its short term obligations.
0ZC's Current ratio of 2.01 is fine compared to the rest of the industry. 0ZC outperforms 75.70% of its industry peers.
A Quick Ratio of 2.01 indicates that 0ZC has no problem at all paying its short term obligations.
0ZC has a better Quick ratio (2.01) than 75.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.82% over the past year.
The Earnings Per Share has been growing by 68.71% on average over the past years. This is a very strong growth
The Revenue has grown by 23.31% in the past year. This is a very strong growth!
0ZC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.03% yearly.
EPS 1Y (TTM)2.82%
EPS 3Y68.14%
EPS 5Y68.71%
EPS Q2Q%1.14%
Revenue 1Y (TTM)23.31%
Revenue growth 3Y34.82%
Revenue growth 5Y44.03%
Sales Q2Q%21.31%
3.2 Future
Based on estimates for the next years, 0ZC will show a very strong growth in Earnings Per Share. The EPS will grow by 21.82% on average per year.
The Revenue is expected to grow by 19.88% on average over the next years. This is quite good.
EPS Next Y15.58%
EPS Next 2Y17.95%
EPS Next 3Y19.75%
EPS Next 5Y21.82%
Revenue Next Year23.29%
Revenue Next 2Y21.27%
Revenue Next 3Y20.75%
Revenue Next 5Y19.88%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 89.95 indicates a quite expensive valuation of 0ZC.
The rest of the industry has a similar Price/Earnings ratio as 0ZC.
The average S&P500 Price/Earnings ratio is at 25.47. 0ZC is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 77.78, the valuation of 0ZC can be described as expensive.
60.75% of the companies in the same industry are cheaper than 0ZC, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.42, 0ZC is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 89.95 | ||
| Fwd PE | 77.78 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 0ZC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.23 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
0ZC's earnings are expected to grow with 19.75% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.78
PEG (5Y)1.31
EPS Next 2Y17.95%
EPS Next 3Y19.75%
5. Dividend
5.1 Amount
No dividends for 0ZC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:0ZC (11/19/2025, 7:00:00 PM)
254.55
+1.15 (+0.45%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners56.62%
Inst Owner ChangeN/A
Ins Owners35.96%
Ins Owner ChangeN/A
Market Cap40.30B
Revenue(TTM)2.67B
Net Income(TTM)-41.48M
Analysts80.71
Price Target281.24 (10.49%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.32%
Min EPS beat(2)8.25%
Max EPS beat(2)8.39%
EPS beat(4)4
Avg EPS beat(4)11.04%
Min EPS beat(4)8.25%
Max EPS beat(4)18.11%
EPS beat(8)8
Avg EPS beat(8)19.74%
EPS beat(12)12
Avg EPS beat(12)18.67%
EPS beat(16)16
Avg EPS beat(16)20.39%
Revenue beat(2)0
Avg Revenue beat(2)-1.22%
Min Revenue beat(2)-1.22%
Max Revenue beat(2)-1.21%
Revenue beat(4)1
Avg Revenue beat(4)-0.72%
Min Revenue beat(4)-1.22%
Max Revenue beat(4)0.57%
Revenue beat(8)5
Avg Revenue beat(8)0.13%
Revenue beat(12)8
Avg Revenue beat(12)0.42%
Revenue beat(16)12
Avg Revenue beat(16)1.18%
PT rev (1m)0.03%
PT rev (3m)1.05%
EPS NQ rev (1m)0.06%
EPS NQ rev (3m)2.31%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.48%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)3.04%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 89.95 | ||
| Fwd PE | 77.78 | ||
| P/S | 17.46 | ||
| P/FCF | 64.23 | ||
| P/OCF | 48 | ||
| P/B | 25.94 | ||
| P/tB | 34.98 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.83
EY1.11%
EPS(NY)3.27
Fwd EY1.29%
FCF(TTM)3.96
FCFY1.56%
OCF(TTM)5.3
OCFY2.08%
SpS14.58
BVpS9.81
TBVpS7.28
PEG (NY)5.78
PEG (5Y)1.31
Graham Number25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.65% | ||
| ROE | -2.31% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.87% | ||
| FCFM | 27.19% |
ROA(3y)-2.49%
ROA(5y)-6.57%
ROE(3y)-11.58%
ROE(5y)-30.47%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.4%
GM growth 5Y-0.23%
F-Score4
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 2.34 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 202.8% | ||
| Cap/Sales | 9.19% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 6.62 |
F-Score4
WACC10.86%
ROIC/WACCN/A
Cap/Depr(3y)212%
Cap/Depr(5y)195.75%
Cap/Sales(3y)8.71%
Cap/Sales(5y)8.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.82%
EPS 3Y68.14%
EPS 5Y68.71%
EPS Q2Q%1.14%
EPS Next Y15.58%
EPS Next 2Y17.95%
EPS Next 3Y19.75%
EPS Next 5Y21.82%
Revenue 1Y (TTM)23.31%
Revenue growth 3Y34.82%
Revenue growth 5Y44.03%
Sales Q2Q%21.31%
Revenue Next Year23.29%
Revenue Next 2Y21.27%
Revenue Next 3Y20.75%
Revenue Next 5Y19.88%
EBIT growth 1Y-0.61%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year55.15%
EBIT Next 3Y33.84%
EBIT Next 5YN/A
FCF growth 1Y24.23%
FCF growth 3Y46.46%
FCF growth 5Y92.49%
OCF growth 1Y24.7%
OCF growth 3Y44.56%
OCF growth 5Y65.09%
ZSCALER INC / 0ZC.DE FAQ
Can you provide the ChartMill fundamental rating for ZSCALER INC?
ChartMill assigns a fundamental rating of 4 / 10 to 0ZC.DE.
What is the valuation status for 0ZC stock?
ChartMill assigns a valuation rating of 1 / 10 to ZSCALER INC (0ZC.DE). This can be considered as Overvalued.
Can you provide the profitability details for ZSCALER INC?
ZSCALER INC (0ZC.DE) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for 0ZC stock?
The Earnings per Share (EPS) of ZSCALER INC (0ZC.DE) is expected to grow by 15.58% in the next year.