Seek Returns logo

ALAB vs. ZS: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ALAB and ZS, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ZS stands out with 38.48 billion USD in market value—about 2.53× ALAB’s market cap of 15.20 billion USD.

ZS carries a higher beta at 1.14, indicating it’s more sensitive to market moves, while ALAB remains steadier at 0.33.

SymbolALABZS
Company NameAstera Labs, Inc. Common StockZscaler, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSoftware - Infrastructure
CEOMr. Jitendra MohanMr. Jagtar Singh Chaudhry
Price92.17 USD248.73 USD
Market Cap15.20 billion USD38.48 billion USD
Beta0.331.14
ExchangeNASDAQNASDAQ
IPO DateMarch 20, 2024March 16, 2018
ADRNoNo

Performance Comparison

This chart compares the performance of ALAB and ZS over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ALAB and ZS based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • ALAB trades at a lofty P/E of 363.38, implying strong growth expectations, in contrast to ZS’s negative P/E of -2461.38 driven by recent losses.
  • ZS shows a negative forward PEG of -183.94, signaling expected earnings contraction, while ALAB at 10.90 maintains analysts’ projections for stable or improved profits.
SymbolALABZS
Price-to-Earnings Ratio (P/E, TTM)363.38-2461.38
Forward PEG Ratio (TTM)10.90-183.94
Price-to-Sales Ratio (P/S, TTM)30.9915.89
Price-to-Book Ratio (P/B, TTM)14.4423.78
Price-to-Free Cash Flow Ratio (P/FCF, TTM)140.5352.42
EV-to-EBITDA (TTM)-832.77357.48
EV-to-Sales (TTM)30.8115.68
EV-to-Free Cash Flow (TTM)139.7351.71

Dividend Comparison

Neither ALAB nor ZS currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolALABZS
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ALAB and ZS, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ALAB shows “--” (minimal interest expense), but ZS is in the red with interest coverage -8.67, signaling a net operating loss.
SymbolALABZS
Current Ratio (TTM)13.921.20
Quick Ratio (TTM)13.261.20
Debt-to-Equity Ratio (TTM)0.000.77
Debt-to-Assets Ratio (TTM)0.000.25
Interest Coverage Ratio (TTM)---8.67