Zscaler drops after Q1 results, brokerage says forecast raise less than revenue beat

Shares of cloud security firm Zscaler ZS.O down 7.5% at $267.97 after the bell

ZS posts Q1 revenue of $788.1 mln, beating estimates of $773.8 mln; adjusted EPS of 96 cents also came above estimates of 86 cents - LSEG

However, co's annual forecast raise was less than the Q1 revenue beat, RBC analysts say

Co raises annual revenue forecast to $3.28 bln to $3.30 bln, from $3.27 bln to $3.28 bln earlier

ZS also sees Q2 adjusted EPS of 89 cents to 90 cents, just a touch above expectations of 89 cents

Q2 revenue forecast of between $797 mln and $799 mln was also slightly above estimates of $796 million

Stock has risen 60.6% YTD