Thank you for posting this. Yesterday’s sell-off in cyber-security stocks had the feel of a FUDy over-reaction, but I don’t have a deep enough understanding of the technology and the market to be sure. So it’s useful to see an analyst supporting that view.
Today another analyst chimed in, also stressing that this move by Microsoft is unlikely to threaten ZS, PAN or NET:
"Needham analyst Alex Henderson reiterated Zscaler Inc with a Strong Buy and a $210 price target, believing that the company’s technology and position in the market make it a solid investment opportunity. Microsoft Corp’s announcement of ‘New Entra’ products in the Access Proxy market is seen as incremental and unlikely to shift the competitive landscape.
“Regarding feature and capability additions, Microsoft’s products lag behind Zscaler, Palo Alto Networks, and Cloudflare. Zscaler’s purpose-built access network offers superior security features compared to Microsoft’s Proxy, which lacks advanced capabilities.”