Zscaler Inc. (ZS) has had a very rough start to 2026. Since January, the stock is down more than 27%. If you go back even further, it fell over 52% since November.
However, this isn’t an isolated case. Zscaler’s performance is merely part of a broader downtrend that the cybersecurity sector is going through this year.
While he has his reservation on how much lower stocks in this sector could go, Scott Bauer says that Zscaler is on top of his list of cybersecurity stocks.
Scott appeared on Yahoo Finance last week, and was asked about any options prospects he saw in this sector. He discussed how he believes cybersecurity stocks could wind up moving in the near future, one stock in this sector (in addition to ZS) that recently caught his eye, and what he believes makes Zscaler stand out from other cybersecurity stocks.
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Scott covers:
- Why Zscaler is on top of his list for cybersecurity stocks
- His thoughts on Palo Alto’s (PANW) recent comeback last week
- If he’s ready to call a bottom in the cybersecurity sector
- The major support level ZS recently hit
- How volume and signs of consolidation look for ZS

