Here's Why Zscaler Stock Dropped 11% in March
Shares of Zscaler (NASDAQ: ZS) fell 10.9% last month after a disappointing quarterly earnings report. The company reported excellent growth that outpaced forecasts, but its outlook concerned investors.
Zscaler reported quarterly financial results on March 2. Its revenue grew 52% over the prior year, topping consensus estimates by more than $20 million. The company's net losses narrowed relative to the prior year, and it produced $63 million in free cash flow, more than double the amount generated a year ago. It even delivered 125% net dollar retention, which indicates high customer satisfaction. That's all good news, but the market seemed unimpressed by Zscaler's forward-looking statements.
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Source Fool.com
