From Nasdaq: 2024-11-21 21:09:51

The stock price of Zeta Global Holdings (NYSE: ZETA) has surged 20% in a week after executives announced plans to buy $3 million of company stock to boost investor confidence. The rise follows a sharp drop due to concerns raised by Culper Research about Zeta’s financials, which the company refuted.

Zeta’s revenue growth is driven by new customer additions, with scaled-customers rising from 403 to 475, accounting for 97% of total revenues. Scaled-customer ARPU has increased from $1.4 million to $1.8 million. Q3 revenue of $268 million exceeded estimates, with Q4 sales expected to reach $295 million.

ZETA stock has risen 170% this year, outperforming the S&P 500. Despite volatility in recent years, ZETA stock has potential for further growth due to high revenue growth rate driven by customer additions and ARPU improvement. ZETA stock is trading at 4.5x trailing revenues and is expected to see a 65% revenue growth between 2023 and 2025.

With revenue growth expected to be 65% between 2023 and 2025, a rise in valuation multiple from current levels seems justified for ZETA stock, potentially reaching over $40 by early 2026. Analysts’ average price estimate of $38 reflects a 65% upside from current levels. However, investors should consider risks such as tariffs, deportations, and low taxes affecting market conditions. 1. The United States reported a record-breaking 4.3 million job openings in August, the highest number since the government began tracking the data in 2000. This surge in job openings comes as the economy continues to recover from the impact of the COVID-19 pandemic.

2. In a landmark decision, California Governor Gavin Newsom signed a bill that will ban the sale of new gasoline-powered vehicles by 2035. This move is part of the state’s efforts to combat climate change and transition to a more sustainable future by promoting the adoption of electric vehicles.

3. The World Health Organization announced that the global COVID-19 death toll has surpassed 4.7 million. This grim milestone serves as a reminder of the ongoing challenges faced in the fight against the pandemic, highlighting the importance of continued vaccination efforts and public health measures to control the spread of the virus.



Read more at Nasdaq: What’s Happening With ZETA Stock?