Why Did Zscaler Stock Drop 16% in April?

Shares of Zscaler (NASDAQ: ZS) declined 16% in April, as the stock was another victim of the market correction. Rising interest rates and an economic slowdown are causing investors to pull capital from riskier assets, and unprofitable growth stocks are feeling that pinch -- even if the businesses continue to perform well.

There wasn't any major news about the cybersecurity stock last month, but shareholders still got slammed. Instead, a clear correlation is visible when Zscaler's performance is compared to the Vanguard Growth ETF and industry peers such as Cloudflare and Crowdstrike.