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Fundamentals Good, Technicals Good - What Could Possibly Go Wrong?
Zscaler ($ZS) is an internet services business. It sells secure wide-area network connections to enterprise customers. Those customers pay $ZS big for these connections because $ZS undertakes to create in essence a zone of interaction between network elements - applications, users, data - that is free from cyberattacks or other nasties. If your company uses ZS, when you use your company phone, it’s connecting to the Internet via ZS, and accessing your corporate applications within the ZS environment.
The fundamentals are a thing of beauty, as is the chart. We cover those below together with our rating for the upcoming Q2 of FY7/22 earnings - that’s the period ended 31 January 2021.