Zscaler, a leading cybersecurity firm, reported its earnings, surpassing analysts' expectations with $525 million in revenue (+30.65% YoY) and earnings per share (EPS) of 76 cents (+56.76% YoY) for its fiscal second quarter. These figures exceeded the anticipated $506.40 million in revenue and 58 cents EPS. Despite the positive earnings report, Zscaler's stock experienced a significant decline, dropping 8% after the announcement and was down 4.9% after hours. The market's reaction was attributed to the expectations of an even more substantial beat and raise, following a similar trend observed with Palo Alto Networks. Zscaler's projections for the third quarter are set at $534-536 million in revenue, slightly above the estimate of $533 million. The stock was covered short at $221, indicating some market optimism despite the drop.