ZS FCF Yield Analysis
Updated 36h ago·SEC filings & market data
Key Takeaway
The current FCF yield of 3.2% means the company generates $3.20 in free cash flow for every $100 of market value, a measure of cash profit relative to stock price.
Sector Performance
38th percentileZS
3.2%
Sector Median
4.2%
Sector Avg
9.3%
Prior Period
3.0%(Jul 2026)
Deep Analysis
The current FCF yield of 3.2% means the company generates $3.20 in free cash flow for every $100 of market value, a measure of cash profit relative to stock price.
This sits below the sector median of 4.2%, placing it at the 38th percentile among peers. The metric has been stable, with no year-over-year change available and a quarter-over-quarter increase of 6.7%, moving from 3.0% to 3.2%. Historical values of 3.2%, 3.0%, 3.2%, 3.1% confirm a flat trend over the last eight quarters. A below-median but stable yield suggests limited immediate risk, yet less cash generation per dollar invested than half the sector. This supports the overall NEUTRAL verdict directly, as the metric neither stands out as a strength nor a weakness.
Frequently Asked Questions
What does the FCF Yield tell investors about ZS?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are ZS's closest peers by FCF Yield?
The closest peers by FCF Yield include: RARE (-18.7%), CG (-19.3%), RXRX (-20.3%), PLUG (-22.0%), NTLA (-22.5%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master ZS's Valuation
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3.2%
Sector Median
4.2%
Sector Avg
9.3%
How ZS's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.