When you buy a stock there is always a possibility that it could drop 100%. But on a lighter note, a good company can see its share price rise well over 100%. For instance, the price of Zscaler, Inc. (NASDAQ:ZS) stock is up an impressive 123% over the last five years. It's also good to see the share price up 35% over the last quarter. But this could be related to the strong market, which is up 16% in the last three months. \n\nSo let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns. \n\nZscaler isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn't make profits, we'd generally hope to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one would hope for good top-line growth to make up for the lack of earnings. \n\nIn the last 5 years Zscaler saw its revenue grow at 35% per year. Even measured against other revenue-focussed companies, that's a good result. Meanwhile, its share price performance certainly reflects the strong growth, given the share price grew at 17% per year, compound, during the period. So it seems likely that buyers have paid attention to the strong revenue growth. Zscaler seems like a high growth stock - so growth investors might want to add it to their watchlist. \n\nThe company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers). \n\nIt's probably worth noting that the CEO is paid less than the median at similar sized companies. It's always worth keeping an eye on CEO pay, but a more important question is whether the company will grow earnings throughout the years. So it makes a lot of sense to check out what analysts think Zscaler will earn in the future. \n\nIt's nice to see that Zscaler shareholders have received a total shareholder return of 56% over the last year. That gain is better than the annual TSR over five years, which is 17%. Therefore it seems like sentiment around the company has been positive lately. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. It's always interesting to track share price performance over the longer term. But to understand Zscaler better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with Zscaler. \n\nIf you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.

Zscaler's (NASDAQ:ZS) investors will be pleased with their stellar 123% return over the last five years

The article discusses Zscaler's stock performance, highlighting a 123% increase in share price over five years, 35% growth in the last quarter, and strong revenue growth of 35% annually. It also notes the company's total shareholder return of 56% over the last year and mentions a warning sign for the company.