Zscaler price target raised to $255 from $236 at Piper Sandler

Piper Sandler raised the firm’s price target on Zscaler to $255 from $236 and keeps an Overweight rating on the shares. Looking ahead to 2024, security again remains the top spending priority, seeing higher spending intentions than prior years on the heels of major breaches/ransomware attacks in 2023 as well as increased breach disclosure requirements, the firm says. Further, Piper believes normalization of cloud spend with an underlying AI-workload kicker sets the group up well for 2024. Zscaler is one of the firm’s top five ideas.