Zscaler Inc
NASDAQ:ZS
Decide at what price you'd be comfortable buying and we'll help you stay ready.
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P/OCF
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Valuation Scenarios
If P/OCF returns to its 3-Year Average (39.1), the stock would be worth $271.3 (100% upside from current price).
| Scenario | P/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 19.5 | $135.51 |
0%
|
| 3-Year Average | 39.1 | $271.3 |
+100%
|
| 5-Year Average | 49.4 | $342.65 |
+153%
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| Industry Average | 18.7 | $129.88 |
-4%
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| Country Average | 13.3 | $92.54 |
-32%
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Forward P/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | P/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Zscaler Inc
NASDAQ:ZS
|
21.5B USD | 19.5 | -321.7 | |
| US |
|
Microsoft Corp
NASDAQ:MSFT
|
3.2T USD | 19.8 | 26.7 | |
| US |
|
Oracle Corp
NYSE:ORCL
|
497.3B USD | 20.4 | 29.6 | |
| US |
|
Palo Alto Networks Inc
NASDAQ:PANW
|
149.2B USD | 32.4 | 100.5 | |
| US |
|
CrowdStrike Holdings Inc
NASDAQ:CRWD
|
115.2B USD | 71.2 | -706.9 | |
| US |
|
ServiceNow Inc
NYSE:NOW
|
93.7B USD | 17.3 | 53.5 | |
| US |
V
|
VMware Inc
XETRA:BZF1
|
58B EUR | 13.4 | 47.9 | |
| US |
|
Fortinet Inc
NASDAQ:FTNT
|
63.7B USD | 24.6 | 34.4 | |
| US |
|
Xperi Holding Corp
LSE:0M2A
|
54.6B USD | 345.5 | 491.7 | |
| CN |
K
|
Knowledge Atlas Technology JSC Ltd
HKEX:2513
|
402.6B HKD | -156 | -74.6 | |
| CN |
|
MiniMax Group Inc
HKEX:100
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229.1B HKD | -113.1 | -15.6 |
Market Distribution
| Min | 0 |
| 30th Percentile | 8.8 |
| Median | 13.3 |
| 70th Percentile | 20.1 |
| Max | 3 188 432.5 |
Other Multiples
Zscaler Inc
Glance View
Zscaler Inc., founded in 2007 by Jay Chaudhry, emerged as a transformative player in the cybersecurity landscape, responding to the escalating demand for secure cloud-based solutions. Operating at the convergence of cloud computing and security, Zscaler was designed to protect today's dynamic, borderless enterprise environments. The company's cloud-native architecture facilitates secure internet and private application access, effectively eliminating the need for traditional on-premises security hardware. By routing user traffic through its global network of data centers, Zscaler ensures seamless and secure connectivity without the traditional bottlenecks or vulnerabilities associated with legacy systems. This innovative approach positions Zscaler as a pioneer in Secure Access Service Edge (SASE) solutions, an increasingly critical paradigm shift in cybersecurity. Monetization for Zscaler revolves around a subscription-based model, where enterprises pay for access to its comprehensive suite of security services. These subscriptions generally reflect the scale and complexity of the client's IT environment, leading to a recurring revenue stream that is highly attractive in today’s tech economy. Its offerings are organized around core platforms like Zscaler Internet Access (ZIA) and Zscaler Private Access (ZPA), each catering to specific facets of security needs, from protecting against internet-borne threats to enabling secure access to internal applications. As digital transformation accelerates across industries, Zscaler's revenue has surged, driven by the augmentation of network security requirements and the widespread adoption of cloud services. The company's business model not only aligns with the evolving enterprise IT strategies but also provides scalability, enabling it to capture a growing market share in the cybersecurity sector.