Freedom Capital Downgrades Zeta Global (NYSE:ZETA) to Hold

Key Points

• Freedom Capital downgraded Zeta Global to “hold” from “strong buy,” while the broader analyst consensus remains “moderate buy” with a $29.62 average price target.
• Zeta’s latest quarter showed strong operating growth, with revenue rising 43.6% year over year to $442.8 million and exceeding estimates, although EPS of $0.03 missed consensus by $0.17.
• The stock opened at $26.60 after a 4.1% rise, but analysts continue to flag premium valuation and execution risks; institutional investors own 87.75% of shares.

Zeta Global (NYSE:ZETA - Get Free Report) was downgraded by Freedom Capital from a "strong-buy" rating to a "hold" rating in a note issued to investors on Thursday,Zacks.com reports.

Other equities research analysts have also recently issued reports about the company. Wall Street Zen cut Zeta Global from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Royal Bank Of Canada lifted their target price on shares of Zeta Global from $29.00 to $31.00 and gave the stock an "outperform" rating in a research note on Wednesday. DA Davidson boosted their price target on shares of Zeta Global from $30.00 to $32.00 and gave the company a "buy" rating in a research report on Wednesday. Weiss Ratings restated a "sell (d-)" rating on shares of Zeta Global in a research note on Friday, July 17th. Finally, The Goldman Sachs Group set a $28.00 price objective on shares of Zeta Global and gave the stock a "neutral" rating in a report on Wednesday, June 24th. Ten investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Zeta Global presently has a consensus rating of "Moderate Buy" and a consensus price target of $29.62.

Zeta Global Stock Up 4.1%

Zeta Global stock opened at $26.60 on Thursday. Zeta Global has a twelve month low of $14.36 and a twelve month high of $28.50. The firm has a 50 day moving average price of $21.35 and a 200-day moving average price of $18.88. The company has a market capitalization of $6.63 billion, a P/E ratio of -1,329.95, a P/E/G ratio of 3.65 and a beta of 1.39. The company has a quick ratio of 2.07, a current ratio of 2.07 and a debt-to-equity ratio of 0.22.

Zeta Global (NYSE:ZETA - Get Free Report) last released its earnings results on Tuesday, August 4th. The company reported $0.03 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.20 by ($0.17). Zeta Global had a positive return on equity of 5.55% and a negative net margin of 0.15%.The firm had revenue of $442.77 million during the quarter, compared to analysts' expectations of $420.61 million. During the same period in the prior year, the business earned ($0.10) earnings per share. The business's quarterly revenue was up 43.6% compared to the same quarter last year. As a group, equities analysts predict that Zeta Global will post 0.21 EPS for the current year.

Insiders Place Their Bets

In other news, Director Jeanine Silberblatt sold 7,500 shares of the company's stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $19.89, for a total transaction of $149,175.00. Following the sale, the director directly owned 50,350 shares in the company, valued at $1,001,461.50. This represents a 12.96% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. 10.74% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of ZETA. Vanguard Group Inc. increased its stake in Zeta Global by 6.1% in the fourth quarter. Vanguard Group Inc. now owns 23,051,314 shares of the company's stock valued at $469,094,000 after acquiring an additional 1,325,717 shares during the last quarter. Contour Asset Management LLC increased its position in shares of Zeta Global by 26.3% during the 4th quarter. Contour Asset Management LLC now owns 11,162,626 shares of the company's stock valued at $227,159,000 after purchasing an additional 2,327,907 shares during the last quarter. Disciplined Growth Investors Inc. MN purchased a new position in shares of Zeta Global during the 3rd quarter valued at about $121,502,000. Goldman Sachs Group Inc. lifted its position in Zeta Global by 13.7% in the 4th quarter. Goldman Sachs Group Inc. now owns 5,582,446 shares of the company's stock worth $113,603,000 after buying an additional 673,145 shares during the last quarter. Finally, Capital World Investors lifted its position in Zeta Global by 0.7% in the 4th quarter. Capital World Investors now owns 5,013,776 shares of the company's stock worth $102,030,000 after buying an additional 33,923 shares during the last quarter. 87.75% of the stock is currently owned by institutional investors.

Zeta Global News Roundup

Here are the key news stories impacting Zeta Global this week:

• Positive Sentiment: Strong second-quarter growth and outlook: Zeta reported quarterly revenue of approximately $442.8 million, above the roughly $420.6 million consensus estimate, with revenue up about 43.6% year over year. Analysts highlighted customer growth, increased platform usage, AI adoption and stronger 2026 guidance as key growth drivers. ZETA Gains 6% Since Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: AI momentum is supporting investor enthusiasm: Zeta’s rising AI adoption and cash-generation improvements have helped drive a reported 12.9% one-week increase and reinforced expectations for continued growth. ZETA Jumps 12.9% in One Week as AI Momentum Builds
• Positive Sentiment: Analyst support and a new 52-week high: An analyst upgrade and a bullish Needham price outlook have contributed to buying interest and helped push the stock to a new 52-week high. Zeta Global Sets New 52-Week High Following Analyst Upgrade Needham Forecasts Strong Price Appreciation for Zeta Global
• Neutral Sentiment: Marketing leadership change: Zeta appointed Leah Pope as chief marketing officer to lead its next phase of growth. The move could support execution and customer expansion, but its financial impact is not yet clear. Zeta Global Appoints Leah Pope as Chief Marketing Officer
• Negative Sentiment: Valuation and execution risks remain: Analysts cautioned that ZETA’s premium valuation leaves less room for disappointment, while margin pressure, integration challenges and the timing of growth investments could create volatility. The company also missed the reported quarterly EPS consensus despite exceeding revenue expectations. Is ZETA Worth Buying Now as Growth Surges but Valuation Stays Rich?

Zeta Global Company Profile

Zeta Global, founded in 2007 and headquartered in New York City, is a leading data-driven marketing technology company. The firm's mission centers on helping brands acquire, grow and retain customers through a unified customer lifecycle management platform. Over the years, Zeta Global has built a reputation for leveraging big data and predictive analytics to power digital marketing programs across multiple channels.

At the core of Zeta's offering is the Zeta Marketing Platform, which combines identity resolution, audience insights and real-time engagement capabilities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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