Truist Securities reiterates Buy rating on Zeta Global stock at $34 price target

Published 29/08/2025, 14:10
Truist Securities reiterates Buy rating on Zeta Global stock at $34 price target

Investing.com - Truist Securities has reiterated its Buy rating on Zeta Global Holdings Corp (NYSE:ZETA) with a price target of $34.00 following investor meetings with the company’s management team. According to InvestingPro data, this target represents a 74% upside from the current price of $19.55, with analysts’ targets ranging from $18 to $44.

The meetings included Zeta’s CFO Chris Greiner, COO Matthew Mobley, and SVP IR Matt Pfau, where the company’s long-term growth strategy and artificial intelligence initiatives were discussed.

Truist expressed confidence in Zeta’s ability to maintain 20% growth long-term while delivering on profit and cash flow expansion goals, noting the company has an "attractive growth algorithm" with operational leverage and free cash flow expansion opportunities.

The research firm highlighted Zeta’s AI efforts both within its internal business operations and in driving customer value, though specific details about these initiatives weren’t provided in the analyst’s commentary.

Truist believes Zeta shares remain "notably undervalued" at current trading levels of approximately 3x EV/2026E sales and 15x EBITDA, compared to other companies with 20%+ growth rates trading at 6.7x sales, and noted that while about 50% of Zeta’s revenue comes from consumption-based streams, this business appears to be sticky with good visibility for sustained growth.

In other recent news, Zeta Global Holdings Corp reported impressive financial results for the second quarter of 2025. The company achieved a revenue of $308 million, surpassing the forecasted $296.62 million, and reported an adjusted EBITDA of $59 million. This performance highlights robust growth across several key metrics. Meanwhile, Zeta Network Group completed a registered direct offering, raising approximately $6.4 million in gross proceeds. The company sold 11,450,000 class A ordinary shares at $0.56 per share, each paired with a warrant for purchasing an additional share at the same price. These developments reflect significant financial activities and strategic moves by both companies.

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