Zeta Global Holdings Corp (ZETA) AI Stock Analysis

• Market Cap: $4.41B
• Dividend Yield: N/A
• Average Volume (3M): 8.11M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.28
• Revenue Growth: 40.60%
• EPS Growth: 79.56%
• Country: US
• Employees: 2,191
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.14
• Shares Outstanding: 213,945,710
• 10 Day Avg. Volume: 10,183,286
• 30 Day Avg. Volume: 8,105,715
• PEG Ratio: 0.70
• Price to Book (P/B): 4.94
• Price to Sales (P/S): 3.33
• P/FCF Ratio: 36.33
• Enterprise Value/Market Cap: 0.72
• Enterprise Value/Revenue: 2.77
• Enterprise Value/Gross Profit: 4.66
• Enterprise Value/Ebitda: 117.66
• 1Y Price Target: $28.40
• Price Target Upside: 46.09% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 60 Neutral
• Price Target: $19.50 ▲(0.31% Upside)

Zeta Global Holdings Corp's overall stock score is driven by strong earnings call results and revenue growth, offset by ongoing profitability challenges and a negative P/E ratio. Technical indicators suggest cautious market sentiment, while the absence of a dividend yield limits valuation appeal.

Positive Factors

Revenue Growth

Zeta's strong revenue growth indicates robust market demand and effective business strategies, supporting long-term expansion and market positioning.

AI Innovation

The launch of Athena enhances Zeta's AI capabilities, offering clients advanced tools for marketing, which strengthens competitive advantage and client retention.

Strategic Acquisition

Acquiring Marigold's enterprise software business expands Zeta's product offerings and market reach, potentially driving revenue growth and enhancing market presence.

Negative Factors

Profitability Challenges

Ongoing profitability issues could hinder Zeta's ability to reinvest in growth and innovation, affecting long-term financial health and competitiveness.

GAAP Net Loss

Continued net losses highlight operational inefficiencies and financial strain, potentially impacting Zeta's ability to achieve sustainable profitability.

Working Capital Headwinds

Working capital challenges could limit Zeta's operational flexibility and ability to fund growth initiatives, affecting its long-term strategic execution.

Zeta Global Holdings Corp Business Overview & Revenue Model

Company Description

Zeta Global Holdings Corp (ZETA) is a data-driven marketing technology company that specializes in providing solutions for customer acquisition, retention, and engagement. The company operates primarily in the digital marketing sector and offers a range of services, including data management, customer insights, and multi-channel marketing. Zeta's core products leverage artificial intelligence and machine learning to optimize marketing strategies for businesses, enabling them to effectively reach and engage their target audiences.

How the Company Makes Money

Zeta Global generates revenue through a combination of subscription-based services, performance-based marketing solutions, and data analytics offerings. The company charges clients for access to its marketing technology platform, which includes tools for customer segmentation, campaign management, and reporting. Additionally, Zeta earns revenue from performance marketing by delivering measurable results for its clients, such as increased customer acquisition or engagement. Strategic partnerships with other tech and marketing firms also enhance Zeta's service offerings and revenue potential, as they allow for integrated solutions that attract a broader client base.

Zeta Global Holdings Corp Financial Statement Overview

Summary

Zeta Global Holdings Corp shows strong revenue growth and improving cash flow metrics, which are positive indicators for future performance. However, the company faces challenges in achieving profitability, as evidenced by negative net profit and return on equity. The balance sheet shows improved leverage, but profitability metrics need attention to ensure long-term financial health.

Income Statement

Zeta Global Holdings Corp shows a positive revenue growth trend with a 7.5% increase in TTM, indicating strong market demand. However, profitability remains a concern as net profit margins are negative, and EBIT margins are also in the red, reflecting operational inefficiencies. The gross profit margin is healthy at around 59%, suggesting good cost management at the production level.

Balance Sheet

The company's debt-to-equity ratio has improved over time, now at 0.29, indicating better leverage management. However, the return on equity remains negative, highlighting ongoing profitability challenges. The equity ratio is stable, suggesting a balanced asset structure, but the negative ROE is a significant concern.

Cash Flow

Zeta's cash flow performance is strong, with a 16.45% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is robust, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also high, reflecting good cash conversion, despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.16B	1.01B	728.72M	590.96M	458.34M	368.12M
Gross Profit	686.35M	606.20M	454.24M	375.50M	283.62M	219.24M
EBITDA	27.17M	-11.70M	-124.36M	-221.55M	-197.21M	4.01M
Net Income	-36.55M	-69.77M	-187.48M	-279.24M	-249.56M	-53.23M
Balance Sheet
Total Assets	1.10B	1.11B	550.71M	466.50M	397.26M	286.29M
Cash, Cash Equivalents and Short-Term Investments	365.31M	366.16M	131.73M	121.11M	103.86M	50.73M
Total Debt	196.69M	196.29M	184.15M	183.95M	183.61M	189.69M
Total Liabilities	426.84M	434.57M	370.19M	338.47M	306.78M	371.30M
Stockholders Equity	673.26M	676.80M	180.52M	128.03M	90.49M	-85.01M
Cash Flow
Free Cash Flow	140.97M	92.09M	54.55M	39.25M	17.54M	10.33M
Operating Cash Flow	154.93M	133.86M	90.52M	78.49M	44.29M	35.54M
Investing Cash Flow	-93.05M	-97.59M	-54.22M	-48.45M	-46.85M	-25.21M
Financing Cash Flow	148.48M	197.92M	-25.65M	-12.63M	55.73M	2.78M

Zeta Global Holdings Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.44
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZETA, the sentiment is Positive. The current price of 19.44 is below the 20-day moving average (MA) of 19.50, below the 50-day MA of 19.54, and above the 200-day MA of 16.57, indicating a neutral trend. The MACD of -0.30 indicates Positive momentum. The RSI at 50.73 is Neutral, neither overbought nor oversold. The STOCH value of 28.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ZETA.

Zeta Global Holdings Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CXM	75 Outperform	$1.89B	17.30	23.74%	―	6.08%	153.79%
GBTG	65 Neutral	$3.89B	―	-4.72%	―	3.61%	-44.99%
GTM	64 Neutral	$3.34B	41.48	5.22%	―	-0.54%	626.94%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPT	61 Neutral	$635.64M	―	-32.50%	―	14.79%	27.52%
ZETA	60 Neutral	$4.41B	―	-8.21%	―	40.60%	79.56%
ALIT	46 Neutral	$1.62B	―	-29.09%	5.16%	-19.48%	-398.43%

Zeta Global Holdings Corp Corporate Events

Zeta Global Announces Co-founder John Sculley’s Retirement

On June 9, 2025, Zeta Global Holdings Corp announced the immediate retirement of John Sculley, Co-founder and Vice Chairman, from its Board of Directors. Sculley, a former Apple CEO, played a crucial role in Zeta’s development over 17 years, and will continue to serve as Vice Chairman Emeritus, providing guidance to the leadership team. The same day, during the company’s annual meeting, stockholders voted on three proposals, including the election of directors and the ratification of Deloitte & Touche LLP as the independent accounting firm for 2025. These decisions are expected to influence the company’s governance and operational strategies moving forward.