Materials Select Sector SPDR Fund vs Zscaler Inc — how do they compare? Materials Select Sector SPDR Fund trades at $49.43 (market cap $7.73B), while Zscaler Inc trades at $233.73 (market cap $35.35B). The key difference: Zscaler Inc is far larger — about 4.6× Materials Select Sector SPDR Fund's market cap, and Materials Select Sector SPDR Fund is more actively traded (13,681,146 versus 3,726,203). Which is the better fit depends on your goals — on Pluang, investors hold Materials Select Sector SPDR Fund for 70 Days and Zscaler Inc for 41 Days on average.
| XLB | ZS | |
|---|---|---|
Market Cap | $7.73B | $35.35B |
Volume | 13,681,146 | 3,726,203 |
52-Week High | $53.67 | $336.27 |
52-Week Low | $42.23 | $118.05 |
Typical Hold Time | 70 Days | 41 Days |
Sector | — | Technology |
Enterprise Value | — | $33.73B |
Signals from Pluang's Aura AI — not financial advice
XLB trades at $49.27 with a slight 0.59% daily gain, though technical indicators signal bearish momentum with moving averages and ADX pointing lower. The materials ETF faces headwinds from sector concentration risks, with chemicals comprising 49% of assets and top 10 holdings at 59% exposure. Recent analysis suggests much of the cyclical recovery appears priced in, limiting near-term upside potential despite infrastructure and manufacturing tailwinds.
The outlook remains cautious with technical weakness outweighing fundamental support. Investment opportunity exists in long-term materials exposure through efficient, low-cost ETF structure, but risks include sector concentration, cyclical pressures, and competition from AI-focused investments. Current levels near key support at $48-$49 require monitoring for potential breakdown.
Zscaler (ZS) trades at $216.99, up 1.61% with strong technical momentum and bullish moving averages. The company shows impressive revenue growth from $1.1B in 2022 to $2.67B in 2025, though remains unprofitable with a -1.88% net margin. Recent quarters have consistently beaten EPS estimates, while analyst sentiment remains overwhelmingly positive with 79.63% buy ratings and a $222.83 consensus target.
ZS presents growth potential through cybersecurity demand and AI product expansion, but faces execution risks from leadership changes and competitive pressures. The stock trades at premium valuations (P/S 10.36) while still losing money, creating both opportunity and vulnerability if growth slows or margins don't improve as expected.
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In seeking to track the performance of the index, the fund employs a replication strategy. It generally invests substantially all, but at least 95%, of its total assets in the securities comprising the index. The index includes securities of companies from the following industries: chemicals; metals and mining; paper and forest products; containers and packaging; and construction materials. The fund is non-diversified.
Read more on XLB →Zscaler is a security-as-a-service firm that offers its customers cloud-delivered solutions for protecting user devices and data. The firm leverages its position in 150 colocation data centers to deliver traditionally appliance-based security functionality, such as firewalls and sandboxes, as a completely cloud-native platform. The firm focuses on large enterprise customers and offers two primary product suites: Zscaler Internet Access, which securely connects users to externally managed application and websites (such as Salesforce and Google), and Zscaler Private Access, which securely connects users to internally managed applications. Both product suites encompass a broad gamut of capabilities situated across the traditional security stack.
Read more on ZS →