ZS vs. NET

Last updated Apr 1, 2026

Compare and contrast key facts about Zscaler, Inc. (ZS) and Cloudflare, Inc. (NET).

Performance

ZS vs. NET - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Zscaler, Inc. (ZS) and Cloudflare, Inc. (NET). The values are adjusted to include any dividend payments, if applicable.

ZS vs. NET - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
ZS Zscaler, Inc.	-37.63%	24.67%	-18.57%	98.00%	-65.18%	60.90%	329.48%	-2.06%
NET Cloudflare, Inc.	4.66%	83.09%	29.33%	84.16%	-65.62%	73.05%	345.43%	-5.22%

Fundamentals

Market Cap ZS : $22.40B NET : $72.44B
EPS ZS : -$0.43 NET : -$0.29
PS Ratio ZS : 7.36 NET : 33.02
PB Ratio ZS : 10.20 NET : 49.65
Total Revenue (TTM) ZS : $3.00B NET : $2.17B
Gross Profit (TTM) ZS : $2.30B NET : $1.62B
EBITDA (TTM) ZS : $56.95M NET : $41.60M

Returns By Period

In the year-to-date period, ZS achieves a -37.63% return, which is significantly lower than NET's 4.66% return.

ZS

• 1D: 2.21%
• 1M: -4.56%
• YTD: -37.63%
• 6M: -53.18%
• 1Y: -29.30%
• 3Y*: 6.29%
• 5Y*: -4.41%
• 10Y*: —

NET

• 1D: 6.02%
• 1M: 19.83%
• YTD: 4.66%
• 6M: -3.84%
• 1Y: 83.10%
• 3Y*: 49.58%
• 5Y*: 23.51%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

Return for Risk

ZS vs. NET — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

ZS

ZS Risk / Return Rank: 18
ZS Sharpe Ratio Rank: 14
ZS Sortino Ratio Rank: 17
ZS Omega Ratio Rank: 16
ZS Calmar Ratio Rank: 25
ZS Martin Ratio Rank: 18

NET

NET Risk / Return Rank: 81
NET Sharpe Ratio Rank: 86
NET Sortino Ratio Rank: 82
NET Omega Ratio Rank: 80
NET Calmar Ratio Rank: 80
NET Martin Ratio Rank: 78

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ZS vs. NET - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Zscaler, Inc. (ZS) and Cloudflare, Inc. (NET). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	ZS	NET	Difference
Sharpe ratio Return per unit of total volatility	-0.64	1.59	-2.23
Sortino ratio Return per unit of downside risk	-0.68	2.16	-2.84
Omega ratio Gain probability vs. loss probability	0.90	1.28	-0.38
Calmar ratio Return relative to maximum drawdown	-0.53	2.16	-2.70
Martin ratio Return relative to average drawdown	-1.24	5.20	-6.43
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ZS vs. NET - Sharpe Ratio Comparison

The current ZS Sharpe Ratio is -0.64, which is lower than the NET Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of ZS and NET, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	ZS	NET	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.64	1.59	-2.23
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.08	0.35	-0.43
Sharpe Ratio (All Time) Calculated using the full available price history	0.35	0.68	-0.33

Correlation

The correlation between ZS and NET is 0.68, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.

Dividends

ZS vs. NET - Dividend Comparison

Neither ZS nor NET has paid dividends to shareholders.

Tickers have no history of dividend payments

Drawdowns

ZS vs. NET - Drawdown Comparison

The maximum ZS drawdown since its inception was -76.41%, smaller than the maximum NET drawdown of -82.58%. Use the drawdown chart below to compare losses from any high point for ZS and NET.

Drawdown Indicators

	ZS	NET	Difference
Max Drawdown Largest peak-to-trough decline	-76.41%	-82.58%	+6.17%
Max Drawdown (1Y) Largest decline over 1 year	-60.40%	-36.76%	-23.64%
Max Drawdown (5Y) Largest decline over 5 years	-76.41%	-82.58%	+6.17%
Current Drawdown Current decline from peak	-61.96%	-18.54%	-43.42%
Average Drawdown Average peak-to-trough decline	-31.96%	-38.20%	+6.24%
Ulcer Index Depth and duration of drawdowns from previous peaks	26.13%	15.30%	+10.83%

Volatility

ZS vs. NET - Volatility Comparison

The current volatility for Zscaler, Inc. (ZS) is 14.01%, while Cloudflare, Inc. (NET) has a volatility of 14.82%. This indicates that ZS experiences smaller price fluctuations and is considered to be less risky than NET based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZS	NET	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.01%	14.82%	-0.81%
Volatility (6M) Calculated over the trailing 6-month period	36.32%	39.57%	-3.25%
Volatility (1Y) Calculated over the trailing 1-year period	46.18%	52.62%	-6.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	53.25%	67.28%	-14.03%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	57.02%	66.98%	-9.96%

Financials

ZS vs. NET - Profitability Comparison

The chart below illustrates the profitability comparison between Zscaler, Inc. and Cloudflare, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

ZS - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Zscaler, Inc. reported a gross profit of 624.49M and revenue of 815.75M. Therefore, the gross margin over that period was 76.6%.

NET - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Cloudflare, Inc. reported a gross profit of 452.55M and revenue of 614.51M. Therefore, the gross margin over that period was 73.6%.

ZS - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Zscaler, Inc. reported an operating income of -51.77M and revenue of 815.75M, resulting in an operating margin of -6.4%.

NET - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Cloudflare, Inc. reported an operating income of -49.23M and revenue of 614.51M, resulting in an operating margin of -8.0%.

ZS - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Zscaler, Inc. reported a net income of -34.31M and revenue of 815.75M, resulting in a net margin of -4.2%.

NET - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Cloudflare, Inc. reported a net income of -12.08M and revenue of 614.51M, resulting in a net margin of -2.0%.