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Zeta Global Draws Fresh Buy Calls After Record Quarter, Valuation Reset

Analysts cite margin gains alongside a discounted valuation.

Overview

  • Seeking Alpha upgraded Zeta Global to Buy, pointing to an approximately 40% share-price decline despite continued growth.
  • A new analysis frames the latest pullback as a buying opportunity, citing roughly 3.5x forward sales, a sub‑1 PEG, and a sharp decline in projected stock-based compensation as a share of revenue by 2025.
  • Zeta posted its 17th straight beat‑and‑raise quarter with record revenue of $337 million, up 26% year over year, adjusted EBITDA up 46% to a 23% margin, and free cash flow up 83%.
  • Management raised full‑year guidance and issued initial 2026 targets described as conservative, excluding contributions from the pending Marigold acquisition.
  • Bullish theses highlight upcoming Athena commercialization, momentum from Zeta Live and the OneZeta model, a net cash position, and an expanded share buyback program.