KeyBanc lowered its price target on Zscaler to $176 from $190 while maintaining an Overweight rating. The firm's chief investment officer survey for the first half of 2026 indicated a widening gap between IT budget winners and losers, with AI and AI-readiness spending rising sharply in priority. KeyBanc recommended investors stick with security, data, infrastructure, and monitoring names. Earlier in June, Guggenheim upgraded Zscaler to Buy from Neutral with a $214 price target, calling it a category leader in a nascent hyper-growth market. Last month, Wells Fargo lowered its price target on Zscaler to $180 from $210 and kept an Overweight rating, noting that resetting next year's top-line numbers was needed but that free cash flow headwinds could keep investors sidelined.
ZSCALER INC. DL-,001KeyBanc lowered price target from $190 to $176, indicating reduced valuation expectations.
Zscaler IncKeyBanc lowered price target from $190 to $176, indicating reduced valuation expectations.