Wedbush analyst Daniel Ives raised his price target for Zscaler to $87 from $82 as he believes it has "massive tailwinds" on its cloud native network security approach with an expanded product footprint which represents a compelling "land and expand" strategy for the next few years. His checks over the last month have indicated "growing momentum" for the company's product portfolio heading into the next 12-18 months as the clear value proposition that Zscaler brings to its customers coupled with the "massive shift" to cloud has been the 1-2 punch getting more strategic deals over the goal line in Q4 thus far with an expanding pipeline into FY20. Ives reiterates an Outperform rating on the shares.

Zscaler announced innovations - ZDX Copilot, Hosted Monitoring, and Data Explorer - to its Zscaler Digital Experience service. The new ZDX Copilot, an AI assistant, instantly analyzes and harnesses knowledge from over 500 trillion data points daily across users, devices, networks, and applications, to provide IT operations, service desk, and security teams insights they need related to digital experience and performance. Teams can ask sequences of questions to effectively converse with Copilot, which uses Generative AI, to review high-level trends and progressively narrow results down to specific actionable insights.