Zeta Global Holdings Inc. (NYSE:ZETA) shares are jumping Tuesday after reporting third-quarter results that beat analyst estimates and issuing fourth-quarter and full-year sales guidance above expectations. Here’s what you should know.
- Zeta Global Holdings shares are powering higher. What’s fueling ZETA momentum?
Zeta Global Stock Rises After Earnings Beat and Raised Outlook
Zeta calls itself an AI infrastructure company, and its newest quarter beat Wall Street’s forecasts on both profit and sales. Adjusted earnings of 38 cents a share cleared the 28 cents analysts predicted and jumped 58.33% from 24 cents a year before.
Sales came to about $492.66 million, which is 3.89% above the roughly $474.22 million consensus and 46.12% above roughly $337.17 million last year.
The guidance may carry more weight. Analysts had pegged fourth-quarter sales at about $504.92 million, but Zeta now projects $521 million up to $525 million, so its $523 million midpoint lands roughly 3.6% higher. Zeta also raised its 2026 sales range to $1,853 million up to $1,857 million, replacing $1,811 million up to $1,824 million, and the new range exceeds the $1,820 million analysts estimated.
On profit measures, Zeta now guides to adjusted EBITDA near $414.1 million to $415.2 million this year, along with about $271 million in free cash flow.
Zeta Global Grows Cash Flow and Large Customers
Zeta says its growth is accelerating. Last quarter’s 28% pace has sped up to 30% once acquired revenue and political candidate spending are set aside. Adjusted EBITDA hit $121 million at a 24.6% margin, and free cash flow reached $82 million, 73% above a year earlier.
CEO David Steinberg said Zeta is pushing its data and AI toward larger corporate customers and produces enough cash to pay for that effort. The company’s opportunity, Steinberg said, is “greater than ever.”
CFO Chris Greiner credited growing use of Zeta’s Athena AI product. Strong demand, Greiner said, gave Zeta reason to lift its outlook for revenue, adjusted EBITDA and free cash flow.
ZETA Shares Are Popping
ZETA Price Action: Zeta shares were up 6.66% at $34.58 at the time of publication on Tuesday. The stock is trading near its 52-week high of $35.75, according to Benzinga Pro.
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