10 Stocks with Potential to Explode in 2026

8. Zscaler, Inc. (NASDAQ:ZS)

Average Upside Potential: ~56.1%

Forward EPS Long-term Growth (3-5 Year CAGR): ~23.1%

Number of Hedge Fund Holders: 46

Zscaler, Inc. (NASDAQ:ZS) is one of the Stocks with Potential to Explode in 2026. On June 15, analyst Mike Cikos of Needham maintained a “Buy” rating on the company’s stock, retaining the price objective of $180.00. The analyst’s rating is backed by factors demonstrating robust competitive standing and pricing power. Partner checks demonstrate that Zscaler, Inc. (NASDAQ:ZS) continues to track ahead of internal targets for CY 2026 with healthy expansion and order growth, even as the company sustains mid-single-digit renewal price increases. This highlighted the willingness of customers to pay for the best-of-breed platform.

Furthermore, the channel feedback demonstrates that rivals like Palo Alto and Netskope remain dependent on the steep discounting. On the other hand, Zscaler, Inc. (NASDAQ:ZS) has been maintaining the premium positioning and is winning business, reflecting durable demand as well as a differentiated offering. Where discount-driven competition remains intense, like in Europe, Zscaler, Inc. (NASDAQ:ZS) has been refining its MSSP program and is also streamlining discount approvals. These steps are expected to improve deal velocity and partner alignment.

Zscaler, Inc. (NASDAQ:ZS) operates as a cloud security company.