Zscaler (ZS) and Alphabet (GOOGL) are both capitalizing on rising demand for cloud and AI security, with Zscaler focused on zero-trust security and Alphabet strengthening Google Cloud security through its Wiz acquisition. In fiscal Q4 2026, Zscaler’s revenue rose 24.9% to $898.2 million, non-GAAP EPS climbed 33.7% to $1.19 and ARR grew 25% to $3.77 billion, with more than 950 enterprises adopting Zero Trust Everywhere by quarter-end. The article calls slowing growth Zscaler’s biggest problem, noting that capex rose to 8.3% of fiscal 2026 revenue from 6.1% and free cash flow margin declined to 23% from 27%. For Alphabet, second-quarter 2026 revenue rose 24% to $119.8 billion and operating income increased 30% to $40.8 billion, with EPS of $9.11 mainly reflecting unrealized gains on its equity securities portfolio.
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