PANW - Is Zscaler Stock Still a Top Cybersecurity Buy for 2024?
2024-03-09 07:25:00 ET
After a huge one-year rally, share prices of Zscaler (NASDAQ: ZS) have hit some bumps in the road. That's not to say the cloud-native cybersecurity leader is performing poorly, though.
On the contrary, the company is doing quite well, although its growth does continue to moderate. I remain optimistic for Zscaler and its cloud security peers, but is this still a top cybersecurity stock buy for 2024 and beyond?
Let's start this discussion by acknowledging the changes that top cybersecurity pure play and Zscaler competitor Palo Alto Networks (NASDAQ: PANW) just announced. CEO Nikesh Arora explained a new go-to-market strategy during the last quarterly update, stating that Palo Alto would be giving away security products and services over the next year or so until customer contracts with competing security companies expire. It's a type of price war, so to speak, that will temporarily reduce Palo Alto's growth rate.
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Is Zscaler Stock Still a Top Cybersecurity Buy for 2024?