ZSCALER INC (0ZC.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:0ZC - US98980G1022 - Common Stock
193.66 EUR
-4.88 (-2.46%)
Overall 0ZC gets a fundamental rating of 4 out of 10. We evaluated 0ZC against 116 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.
0ZC had a positive operating cash flow in the past year.
0ZC had negative earnings in each of the past 5 years.
In the past 5 years 0ZC always reported a positive cash flow from operatings.
1.2 Ratios
0ZC has a Return On Assets (-0.63%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of -2.07%, 0ZC is in line with its industry, outperforming 41.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.63% | ||
| ROE | -2.07% | ||
| 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 (76.65%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 0ZC has remained more or less at the same level.
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 | 76.65% |
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.
The number of shares outstanding for 0ZC has been increased compared to 1 year ago.
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 5.29. This indicates that 0ZC is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 5.29, 0ZC is doing good in the industry, outperforming 71.55% of the companies in the same industry.
The Debt to FCF ratio of 0ZC is 2.00, which is a good value as it means it would take 0ZC, 2.00 years of fcf income to pay off all of its debts.
0ZC has a better Debt to FCF ratio (2.00) than 64.66% of its industry peers.
0ZC has a Debt/Equity ratio of 0.86. This is a neutral value indicating 0ZC is somewhat dependend on debt financing.
0ZC has a Debt to Equity ratio of 0.86. This is in the lower half of the industry: 0ZC underperforms 75.86% of its industry peers.
Although 0ZC does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 2 | ||
| Altman-Z | 5.29 |
ROIC/WACCN/A
WACC10.77%
2.3 Liquidity
0ZC has a Current Ratio of 1.82. This is a normal value and indicates that 0ZC is financially healthy and should not expect problems in meeting its short term obligations.
0ZC's Current ratio of 1.82 is fine compared to the rest of the industry. 0ZC outperforms 68.10% of its industry peers.
A Quick Ratio of 1.82 indicates that 0ZC should not have too much problems paying its short term obligations.
0ZC's Quick ratio of 1.82 is fine compared to the rest of the industry. 0ZC outperforms 70.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
0ZC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.47%.
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 23.24% 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)5.47%
EPS 3Y68.14%
EPS 5Y68.71%
EPS Q2Q%24.68%
Revenue 1Y (TTM)23.24%
Revenue growth 3Y34.82%
Revenue growth 5Y44.03%
Sales Q2Q%25.5%
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.
Based on estimates for the next years, 0ZC will show a quite strong growth in Revenue. The Revenue will grow by 19.54% on average per year.
EPS Next Y19.74%
EPS Next 2Y18.63%
EPS Next 3Y19.33%
EPS Next 5Y21.82%
Revenue Next Year23.95%
Revenue Next 2Y21.61%
Revenue Next 3Y20.67%
Revenue Next 5Y19.54%
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 65.87 indicates a quite expensive valuation of 0ZC.
0ZC's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.59. 0ZC is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 49.45, which means the current valuation is very expensive for 0ZC.
0ZC's Price/Forward Earnings is on the same level as the industry average.
0ZC is valuated expensively when we compare the Price/Forward Earnings ratio to 24.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.87 | ||
| Fwd PE | 49.45 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 0ZC is valued a bit more expensive than the industry average as 73.28% of the companies are valued more cheaply.
0ZC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.92 | ||
| EV/EBITDA | 3691.72 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as 0ZC's earnings are expected to grow with 19.33% in the coming years.
PEG (NY)3.34
PEG (5Y)0.96
EPS Next 2Y18.63%
EPS Next 3Y19.33%
5. Dividend
5.1 Amount
No dividends for 0ZC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FRA:0ZC (12/23/2025, 7:00:00 PM)
193.66
-4.88 (-2.46%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners55.8%
Inst Owner ChangeN/A
Ins Owners35.44%
Ins Owner ChangeN/A
Market Cap30.88B
Revenue(TTM)2.83B
Net Income(TTM)-41.04M
Analysts81.43
Price Target283.95 (46.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)8.4%
EPS beat(4)4
Avg EPS beat(4)8.61%
Min EPS beat(4)8.25%
Max EPS beat(4)9.41%
EPS beat(8)8
Avg EPS beat(8)16.65%
EPS beat(12)12
Avg EPS beat(12)18.75%
EPS beat(16)16
Avg EPS beat(16)20.08%
Revenue beat(2)0
Avg Revenue beat(2)-1.17%
Min Revenue beat(2)-1.22%
Max Revenue beat(2)-1.11%
Revenue beat(4)0
Avg Revenue beat(4)-1.14%
Min Revenue beat(4)-1.22%
Max Revenue beat(4)-1.03%
Revenue beat(8)4
Avg Revenue beat(8)-0.24%
Revenue beat(12)7
Avg Revenue beat(12)0.3%
Revenue beat(16)11
Avg Revenue beat(16)0.65%
PT rev (1m)0.96%
PT rev (3m)0.58%
EPS NQ rev (1m)0.84%
EPS NQ rev (3m)0.87%
EPS NY rev (1m)3.61%
EPS NY rev (3m)4.03%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)0.35%
Revenue NY rev (1m)0.53%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.87 | ||
| Fwd PE | 49.45 | ||
| P/S | 12.85 | ||
| P/FCF | 42.92 | ||
| P/OCF | 33.41 | ||
| P/B | 18.36 | ||
| P/tB | 47.12 | ||
| EV/EBITDA | 3691.72 |
EPS(TTM)2.94
EY1.52%
EPS(NY)3.92
Fwd EY2.02%
FCF(TTM)4.51
FCFY2.33%
OCF(TTM)5.8
OCFY2.99%
SpS15.07
BVpS10.55
TBVpS4.11
PEG (NY)3.34
PEG (5Y)0.96
Graham Number26.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.63% | ||
| ROE | -2.07% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.65% | ||
| FCFM | 29.93% |
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 Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 2 | ||
| Debt/EBITDA | 191.34 | ||
| Cap/Depr | 176.38% | ||
| Cap/Sales | 8.52% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 12262.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.82 | ||
| Altman-Z | 5.29 |
F-Score4
WACC10.77%
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)5.47%
EPS 3Y68.14%
EPS 5Y68.71%
EPS Q2Q%24.68%
EPS Next Y19.74%
EPS Next 2Y18.63%
EPS Next 3Y19.33%
EPS Next 5Y21.82%
Revenue 1Y (TTM)23.24%
Revenue growth 3Y34.82%
Revenue growth 5Y44.03%
Sales Q2Q%25.5%
Revenue Next Year23.95%
Revenue Next 2Y21.61%
Revenue Next 3Y20.67%
Revenue Next 5Y19.54%
EBIT growth 1Y-20.58%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year56.68%
EBIT Next 3Y33.58%
EBIT Next 5YN/A
FCF growth 1Y83.29%
FCF growth 3Y46.46%
FCF growth 5Y92.49%
OCF growth 1Y83.19%
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 2 / 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 19.74% in the next year.