Shares of Zscaler (ZS +7.44%) were pounded after the cybersecurity company issued a weak outlook in its fiscal 2026 Q3 results following the close of trading on Tuesday. The stock fell more than 30% on the news and has now seen its share price cut in half over the past year.

Let’s take a closer look at the company’s results and prospects to see if this dip is a buying opportunity.

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Zscaler management issues a weak outlook

While Zscaler turned in solid results, it was the company’s guidance and departure of two leading sales executives that spooked investors. For Q4, it forecast revenue to grow 22% year over year to between $875 million and $878 million, which was just below the $878.6 million consensus…