U.S. stock market midday update: Zscaler surged 14.93%, with undervaluation combined with explosive demand for AI zero trust, institutions optimistic about the rebound potential

U.S. Stock Market Midday Update

Zscaler rose 14.93%, with increased trading volume. Based on recent key news:

1. On September 13, Zscaler's price-to-sales ratio was significantly lower than its main competitors Palo Alto Networks and CrowdStrike, at 22.1 and 39.6, respectively. Zscaler's stock price needs to rise by 67% to reach its three-year average price-to-sales ratio of 13.2, leading investors to believe it has substantial upside potential, driving the stock price up.

2. On September 13, AI company Anthropic released a white paper recommending that businesses use a zero-trust architecture when deploying AI agents. As businesses increase their adoption of agent AI, Zscaler may experience explosive demand growth, further driving up its stock price.

3. On September 14, although Zscaler currently has a moderate buy rating among analysts, top analysts believe there are five stocks that are more worthy of purchase, which has limited impact on Zscaler's stock price. The cybersecurity industry has performed strongly recently, with significant demand growth.

Top Stocks by Trading Volume in the Industry

Microsoft rose 1.84%, with increased trading volume. Based on recent key news:

1. On September 11, Microsoft plans to expand its data center capacity to 38GW by 2032, more than tripling its current capacity to meet the rapid growth of AI and cloud business. This move is seen as a positive signal by the market, driving the stock price up. Source: Reuters

2. On September 11, after discussions with Microsoft's management at the Communacopia Technology Conference, Goldman Sachs reaffirmed its target price of $640 and a "buy" rating, noting improvements in efficiency in hardware and Azure infrastructure. This analyst rating boosted market confidence. Source: Goldman Sachs

3. On September 11, the U.S. stock market rose after a decline in oil prices, easing inflationary pressures, with the S&P 500 index and Dow Jones rising by 0.8%, and the Nasdaq 100 index rising by 0.9%. Microsoft, as a tech stock, benefited from the overall market rise. Source: Reuters Tech stocks benefit from increased AI investment, enhancing market confidence.

CrowdStrike rose 14.64%. Based on recent key news:

1. On September 11, CrowdStrike submitted a sale application for up to 2.12 million Class A common shares, leading to increased market demand for its stock, driving the stock price up.

2. On September 14, CrowdStrike expanded its strategic partnership with HCL Technologies to advance AI security technology, further enhancing market confidence.

3. On September 14, CNBC host Jim Cramer called CrowdStrike stock a "must-buy," emphasizing its leading position in the AI security field, further driving the stock price up The demand in the cybersecurity industry is strong, driven by AI technology growth.

Oracle fell 4.09%, with increased trading volume. Based on recent key news:

1. On September 11, Oracle announced its Q1 fiscal year 2027 results, with revenue of $19.35 billion, exceeding market expectations, and the stock price rose 4.13% in after-hours trading. However, capital expenditures reached $28.5 billion, compared to market estimates of $19.8 billion, leading to increased market concerns about its high spending and debt.

2. On September 13, Chairman Larry Ellison canceled the plan to sell 50 million shares, and Oracle's stock briefly rose over 2% in dark trading. This move was interpreted by the market as management's confidence in the company's future.

3. On September 14, BMO lowered Oracle's target price to $195 while maintaining an "Outperform" rating, reflecting the market's cautious attitude towards its future profitability. Strong demand for AI and high capital expenditures raised concerns.

Stocks ranked among the top in industry market capitalization

Palo Alto Networks rose 12.66%. Based on recent key news:

1. On September 11, Wedbush raised Palo Alto Networks' target price from $340 to $400, believing the company can leverage its strong balance sheet and robust merger integration to enter new high-growth markets. This move drove the stock price up by approximately 12.66%.

2. On September 12, Palo Alto Networks disclosed risks related to the 2030 notes, indicating that trading activities could amplify or weaken stock price fluctuations, increasing market uncertainty. Nevertheless, the average target price still shows a potential increase of 22.77%.

3. On September 13, management projected that the growth of next-generation security recurring revenue would significantly slow to 22%-23%, and the costs of merger integration and debt accumulation increased short-term cash flow pressure, leading some analysts to downgrade their ratings. The cybersecurity industry as a whole performed strongly, with significant capital inflows