Positioning no disclosures inside 60 days, left as found
Options no verdict drawn today, left as found
Ethical does not pass the values gate
Price166.10 USD
Fair value176.14
Ethical score10.0/100
RatingAVOID
Our investment reviews on this name
2026-07-18Read Markup130.78+27.0% to today ✓
Our analytic regime reads on this name, dated and marked against today's price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Zscaler Inc. holds its Markup at $166.10. The statistical read favours the sellers, held for 78 days.
As held on the ledger · 2026-09-09
Phase
Markup
Quantitative state
The statistical read favours the sellers, held for 78 days
Price at the screen
$166.10
Valuation
N/A trailing · 29.69 forward price to earnings
Values screen
FAIL· score 10.0
Beta
0.95
The Workings
Five Screens, Shown in Full
Does not pass. Cash ratio 37.2%
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
27.98%
Below 33%
Interest-bearing debt is just 28.0% of its assets, well under the one-third ceiling: it does not run on borrowed money.
Pass
Interest-bearing cash
37.21%
Below 33%
Interest-bearing cash and securities are 37.2% of assets, above the one-third limit.
Fail
Receivables
15.45%
Below 49%
Money owed to the company is 15.5% of assets, under the 49% limit.
Pass
Revenue purity
4.33%
Below 5%
Only 4.3% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
What the Numbers Say It Is Worth
The Fair Value Range
Our framework reads AVOID: it trades at roughly a 6% discount to our $176.14 fair value, 24.90% revenue growth.
Fair value range in USD, drawn from the 2026-09-09 screen. The gold marker is the market price at the same screen. A 6.0% margin of safety to the base estimate.
Third-party analyst targets: 44 covering, consensus Buy. The average target sits +26% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-09-09 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Cloud Gatekeeper Trades Past Its Worth
Picture every firm pushing its traffic through one cloud checkpoint to stay safe from threats. Zscaler built that checkpoint, yet it still posts a 2 percent loss margin and a negative 4 percent return on equity while charging a forward multiple of 32.6 times earnings.
We pass because the shares sit only 2 percent below our fair value and fail the ethical screen on a cash ratio of 37.2 percent. Revenue growth of 25 percent looks solid on paper, but it has not translated into profits or a disclosed moat, leaving the business exposed once competition or spending slows.
Analysts still cluster around a buy rating with targets near 188 dollars, which keeps sentiment frothy. The ethical shortfall and thin margin of safety outweigh any growth narrative for now. Analysis, not advice.
The risks · The main risks here are ordinary market swings and the chance our fair-value read proves too optimistic.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
ZS trades on NASDAQ. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-09-03Markup$181.75+0.0%Entry 12
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-09-02Markup$181.75+0.0%Entry 11
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-09-01Markup$181.75+0.0%Entry 10
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-31Markup$181.75+0.0%Entry 9
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-30Markup$181.75+0.0%Entry 8
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-29Markup$181.75+0.0%Entry 7
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-28Markup$181.75+0.0%Entry 6
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-27Markup$181.75+12.4%Entry 5
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 12.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223. It reported earnings in this window, a natural checkpoint for the thesis.
2026-08-19Markup$161.65+23.6%Entry 4
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 23.6% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223.
2026-07-18Markup$130.78+0.0%Entry 3
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 58%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (45 analysts) rates it strong buy, with a mean price target of $223.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
