ZscalerXSWX:ZS 66 EV-to-FCF is 25.33 as of Jul. 04, 2026, which is 73% below its 10-year median of 95.47. GuruFocus rates XSWX:ZS with a GF Score™ of 66/100 and a GF Value™ of CHF230.92. The stock has 2 warning signs investors should review. Among 1,589 Software companies, Zscaler ranks worse than 70.3% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Zscaler's Enterprise Value is CHF17,922 Mil.
Zscaler's Free Cash Flow for the trailing twelve months (TTM) ended in Apr. 2026 was CHF708 Mil. Therefore, Zscaler's EV-to-FCF for today is 25.33.
The historical rank and industry rank for Zscaler's EV-to-FCF or its related term are showing as below:
XSWX:ZS'
s EV-to-FCF Range Over the Past 10 Years
Min: -183.69 Med: 95.47 Max: 2441.08
Current: 24.88
During the past 11 years, the highest EV-to-FCF of Zscaler was 2441.08. The lowest was -183.69. And the median was 95.47.
XSWX:ZS's EV-to-FCF is ranked worse than 70.3% of 1589
companies
in the Software industry
Industry Median: 14.3
vs XSWX:ZS: 24.88
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
As of today (2026-07-04), Zscaler's stock price is CHF118.58.
Zscaler's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 was CHF-0.381. Therefore, Zscaler's PE Ratio (TTM) for today is At Loss.
Zscaler (XSWX:ZS) EV-to-FCF Explanation
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Zscaler's share price for today is CHF118.58.
Zscaler's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF-0.381.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Zscaler EV-to-FCF Related Terms
Zscaler EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Zscaler's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Infrastructure subindustry, Zscaler's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Zscaler EV-to-FCF vs Software Industry
For the Software industry and Technology sector, Zscaler's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Zscaler's EV-to-FCF falls into.
Zscaler's current Enterprise Value is CHF17,922 Mil.
Zscaler's Free Cash Flow for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF708 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Zscaler (XSWX:ZS) has a EV-to-FCF of 25.33 as of Jul. 04, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Zscaler and its competitors. This is 73% below median its historical median of 95.47. According to the industry distribution chart, Zscaler ranks #1117 out of 1589 companies in the Software industry, placing it in the top 70.3%.
Is Zscaler's EV-to-FCF too high?
Zscaler's current EV-to-FCF of 25.33 is 73% below median its 10-year median of 95.47. The Software industry median EV-to-FCF is 14.30. Zscaler's value of 25.33 is 77.1% above this industry median. Based on the distribution chart, Zscaler ranks #1117 out of 1589 companies in the Software industry, which is below the industry midpoint. Overall, Zscaler has a GF Score™ of 66/100, reflecting its overall financial health beyond just this single metric.
How does Zscaler's EV-to-FCF compare to ?
According to the Software industry distribution chart, Zscaler ranks #1117 out of 1589 companies for EV-to-FCF. This places Zscaler in the lower half of its industry. The industry median EV-to-FCF is 14.30. Zscaler's value of 25.33 is 77.1% above this benchmark. While the company's 10-year median is 95.47 vs. the industry median of 14.30, Zscaler has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Software company?
The median EV-to-FCF among Software companies is 14.30, based on 1,589 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Zscaler's current EV-to-FCF of 25.33 is 77.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Zscaler and its competitors. For the Software industry, the median EV-to-FCF is 14.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zscaler's current EV-to-FCF is 25.33, which is 73% below median its own 10-year median of 95.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zscaler stock overvalued right now?
Zscaler (XSWX:ZS) has a current EV-to-FCF of 25.33. The stock's GF Value™ is CHF230.92, compared to a current price of CHF118.58 — trading 48.6% below its estimated fair value. The current EV-to-FCF is 25.33, which is 73% below median its 10-year median of 95.47 and 77.1% above the Software industry median of 14.30. Zscaler's overall GF Score™ is 66/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Zscaler (XSWX:ZS), the current EV-to-FCF is 25.33 as of Jul. 04, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Zscaler (XSWX:ZS) Overvalued in 2026?
Based on GuruFocus' analysis, Zscaler stock appears to be undervalued.
The current stock price of CHF118.58 is trading 48.6% below its estimated GF Value™ of CHF230.92.
Key valuation signals for XSWX:ZS:
EV-to-FCF: 25.33 (73% below median its 10-year median of 95.47)
GF Value™: CHF230.92 vs. price of CHF118.58 (48.6% below fair value)
Industry Position: 77.1% above the Software median (#1117 of 1589)
No single metric tells the full story. See the XSWX:ZS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zscaler is a software-as-a-service, or SaaS, firm focusing on providing cloud-native cybersecurity solutions to primarily enterprise customers. Zscaler's offerings can be broadly partitioned into Zscaler Internet Access, which provides secure access to external applications, and Zscaler Private Access, which provides secure access to internal applications. The firm is headquartered in San Jose, California, and went public in 2018.
66GF Score
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