Zscaler, Inc. (NASDAQ: ZS) faced a sharp decline in its shares on Wednesday due to concerns arising from intensified competition posed by Microsoft (NASDAQ: MSFT).
The cause for worry stems from Microsoft’s recent introduction of two new products: Microsoft Entra Internet Access and Microsoft Entra Private Access. These offerings are part of Microsoft’s strategic initiative to expand its foothold in safeguarding identities and access.
The Microsoft Entra portfolio boasts several additional features aimed at bolstering defenses against malicious actors. For instance, the ID Protection feature utilizes advanced machine learning capabilities to promptly detect anomalies in sign-in patterns and user behavior. It takes immediate action, be it imposing restrictions, initiating challenges, or reducing access in real-time.
Benzinga Pro’s data reveals that ZS stock experienced higher-than-average trading volume of 6.22 million shares on Wednesday, in contrast to its typical volume of 2.96 million.
As of the time of publication, ZS shares experienced a decline of 5.32%, reaching a price of $139.56.
