Stock Markets August 27, 2026 10:15 AM

Options Point to 13% Zscaler Swing When Sept. 3 Results Arrive

Options pricing implies a significant move for ZS at the next earnings release; recent history shows large post-earnings volatility has often exceeded expectations

By Leila Farooq
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Options markets are pricing in a roughly 13% stock move for Zscaler Inc. when the company reports quarterly results on Sept. 3 after the market close, based on options data compiled by Bloomberg. The cybersecurity vendor has produced actual price moves that outpaced the options-implied expectation in five of its last eight reports, underscoring recurring post-earnings volatility.

Options Point to 13% Zscaler Swing When Sept. 3 Results Arrive
ZS
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Key Points

  • Options pricing implies a roughly 13% stock move for Zscaler when it reports earnings on Sept. 3 after the market close - based on Bloomberg options data.
  • Zscaler has exceeded the options-implied move in five of its last eight earnings reports, with several instances of much larger-than-expected post-earnings swings.
  • These outcomes are relevant to equity and options traders and point to heightened volatility around cybersecurity and technology earnings events.

Options traders appear to be bracing for a notable reaction to Zscaler Inc.'s (NASDAQ: ZS) upcoming quarterly announcement on Sept. 3, with options prices indicating an expected move of about 13% when results are released after the market close, according to options data compiled by Bloomberg.

Historical patterns show that Zscaler's stock has often moved more than the market's option-based forecast around earnings. Across the company's past eight quarterly reports, the actual share-price swing exceeded the options-implied move on five occasions and was smaller than the implied move three times.

Specific post-earnings movements in recent quarters highlight that tendency. On May 26, the stock plunged 27.6% following the report, while options had priced in an expected change of 12.9%. That marked a substantial overshoot of the implied range. Earlier this year on Feb. 26, shares dropped 14.6% versus an implied move of 10.2%.

Other comparable outcomes include Nov. 25, 2025, when the stock declined 14.6% despite an implied move of 9.4%, and May 29, 2025, when shares rose 10.8%, topping an implied 7.8% move. On Sept. 3, 2024, the company saw shares fall 20.6% while options had suggested about a 10.6% move.

There have been instances where the market's expected swing proved larger than the actual reaction. On Sept. 2, 2025, Zscaler moved just 0.3% versus an implied 9.5% shift. On March 5, 2025, shares rose 4.7% against an 11.7% implied move, and on Dec. 2, 2024, the stock fell 5.8% compared with a 10% implied move.


Context for investors

  • The options-implied 13% move reflects market expectations priced into options contracts ahead of the Sept. 3 announcement.
  • Zscaler's post-earnings history demonstrates frequent exceedance of option-implied ranges, indicating episodes of surprise or outsized investor reactions.
  • These patterns are relevant to equity and options traders, as well as to investors tracking volatility around technology and cybersecurity earnings events.

What this article does and does not cover

This piece reports the options-implied move and the company's recent post-earnings share-price outcomes as documented above. It does not analyze the drivers of past price moves nor forecast the direction of the Sept. 3 reaction beyond the options-implied magnitude.

Risks

  • Actual post-earnings movement may differ from the options-implied 13% expectation, as it has in three of the past eight reports - impacting traders who use options to hedge or speculate (affects equities and options markets).
  • Large, unexpected share-price reactions after earnings can produce outsized gains or losses for investors and derivatives holders who are positioned for a smaller move (affects brokerage positions and volatility-sensitive strategies).

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