A red-tailed black cockatoo that went missing from Taronga Zoo after being chased out of the complex by a peregrine falcon has been found.

The bird, named Diyara, was found in the northern Sydney suburb of Bayview and taken to Taronga Wildlife Hospital for a check-up.

"A lady in Bayview, who fancies herself a birdwatcher and owns a lot of birds, looked out of her house and saw Diyara there," zoo spokesman Mark Williams said.

"She called Pet Finders who got in contact with us and the keepers came straight to her.

"She's had a drink and is in great shape."

Mr Williams said keepers were sure the cockatoo was Diyara because she flew straight to keepers when they offered food.

The zoo will confirm her identity once they check the microchip in her leg.

Taronga Zoo bird presentation keeper Erin Stone with a red-tailed black cockatoo. ( Supplied: Taronga Zoo )

The cockatoo went missing during a flight presentation show on Tuesday, when it became separated from the flock and was last seen flying towards the zoo's main entrance.

"There was a wild peregrine falcon that was breeding here on Middle Head near the zoo," Grey Fisher, a birdkeeper at Taronga Zoo, said.

"The rest of the group came straight down but there must have been a connection there and she was a bit spooked.

"This was very much a freak accident."

Mr Fisher said the zoo received a tip-off from a local resident that the eight-year-old parrot had been spotted in Balgowlah Heights on Wednesday night, but keepers were unable to locate it this morning.

He said red-tailed cockatoos were regularly mistaken for ravens or black-tailed cockatoos.

Diyara is covered in yellow spots. Its tail is banded with red and orange and yellow, as well as black.

Mr Fisher earlier encouraged the public to call or email Taronga Zoo if they had seen Diyara.

"It also doesn't hurt to get people to look up once in a while because there are amazing birds in the sky," he said.