Today’s Research Reports on Stocks to Watch: Five Below and Zscaler Inc.

NEW YORK, NY / ACCESSWIRE / June 7, 2018 / Cybersecurity company Zscaler and retailer Five Below were both soaring yesterday after reporting earnings reports that beat expectations. Shares of Five Below even hit a new high.

RDI Initiates Coverage on:

Five Below, Inc.
https://rdinvesting.com/news/?ticker=FIVE

Zscaler, Inc.
https://rdinvesting.com/news/?ticker=ZS

Zscaler, Inc. shares climbed 1.73% on Wednesday on about 1.7 million shares traded. The cybersecurity company saw its shares climb over 12% in after-hours trading yesterday after the company reported third quarter results that beat expectations. It was also an outlook that topped what analysts were expecting that had investors flocking to the stock. The company reported revenue growth of 49% year over year to $49.2 million and that calculated billings grew 73% year over year to $54.7 million. GAAP net loss was $8.8 million. This is compared to $7.6 million in the third quarter a year ago. For the fourth quarter, Zscaler is expecting a loss of 5 to 6 cents on revenue of $50 to $51 million. Analysts expect a loss of 9 cents a share on revenue of $48.4 million. CEO Jay Chaudhry stated, “In our first quarter as a public company, we delivered very strong revenue and billings growth, as well as a solid year over year improvement in operating performance. Our results reflect the strength of our security cloud platform and the momentum we’re seeing as our customers embrace and accelerate their cloud transformation. We are also very pleased to generate positive free cash flow for the quarter. We have the opportunity to dramatically change the legacy security market and to significantly reduce the costs of networking and security infrastructure.”

Access RDI’s Five Below, Inc. Research Report at:
https://rdinvesting.com/news/?ticker=FIVE

Five Below, Inc. shares closed up a little over 3% on Wednesday with trading volume nearly twice as high as usual. The stock hit a new high of $81.77 after reporting first quarter results. The retailer started off the year with a stupendous start by beating expectations. For the quarter, sales increased to $296.3 million, a 27% jump. It was also higher than the 25% increase that analysts had been expecting. Net income at $21.8 million was also a 160% increase. Earnings per share, adjusted, were 35 cents, beating the 32 cents that analysts were waiting for. Looking ahead, for the second quarter the company has projected revenue in the range of $332 million to $335 million. Analysts on average are expecting revenue of $327.4 million. For the full-year, Five Below is expecting earnings per share in the range of $2.42 to $2.48 with revenue of $1.5 billion to $1.52 billion. Since the year started, shares of the stock have seen gains of over 20%.

Access RDI’s Zscaler, Inc. Research Report at:
https://rdinvesting.com/news/?ticker=ZS

Our Actionable Research on Five Below, Inc. (NASDAQ: FIVE) and Zscaler, Inc. (NASDAQ: ZS) can be downloaded free of charge at Research Driven Investing.

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