4 Best Tech Stocks to Buy According to Bank of America

3. Zscaler, Inc. (NASDAQ:ZS)

Stock Price as of June 9: $165.57

Number of Hedge Fund Holders: 39

Zscaler, Inc. (NASDAQ:ZS) is a San Jose, California-based cybersecurity company that caters to the demand of enterprise customers as an online service. The company provides a ‘zero trust’ cloud-based network environment that can accept unknown devices like personal computers and smartphones without any significant risk of penetrability. The zero-trust system can also be installed on a traditional network.

Zscaler, Inc. (NASDAQ:ZS) has faced a sell-off due to growth-related concerns, but if looked closely, the stock offers strong fundamentals. According to Tal Liani, Jonathan Eisenson, Madeline Brooks, and Tomer Zilberman at Bank of America, Zscaler, Inc. (NASDAQ:ZS) offers a superior growth outlook as compared to its competitors. The analysts believe that the company will outperform its peers due to a stellar product portfolio along with industry tailwinds. The analysts have given Zscaler, Inc. (NASDAQ:ZS) stock a target price of $195 with a Buy rating. The company offers a growth story with significant levels of recurring revenue and low churn rates, reflecting customer satisfaction.

Zscaler, Inc. (NASDAQ:ZS) was held by 39 hedge funds as of Q1 2022.