ZETA Stock Forecast & Price Target

Zeta Global Holdings has revised its 2026 total revenue growth projection significantly from 21% to 34%, driven by strong performance across its key industry verticals, with nine out of its top ten verticals experiencing year-over-year growth of over 20%. The company reported a quarterly scaled customer average revenue per user (ARPU) of $625K, reflecting an 8% year-over-year increase, and continues to demonstrate robust growth in super scaled customer segments, which rose by 24% year-over-year. Additionally, Zeta's management has increased their 2028 revenue target to approximately $2.3 billion, contributing to a heightened adjusted EBITDA outlook of $573 million, indicating a strong upward trajectory in financial performance.

Zeta Global Holdings faces a negative outlook due to several critical factors, including a projected impact on EBITDA margins, which are expected to decline by 70 basis points to 22.3%. The company's reliance on usage-based revenue contributes to heightened quarterly volatility, while intensified competition threatens its market share, potentially undermining financial performance. Furthermore, Zeta Global remains unprofitable on a GAAP basis, raising concerns about its ability to scale effectively and achieve sustainable financial health in the future, as evidenced by a revised free cash flow margin forecast that is lower than previous guidance.