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Key Takeaways

• Zeta Global Holdings stock recently closed at $14.18, up 12.63%.
• Revenue grew 6% year-over-year to $264 million, with adjusted EBITDA up 53%.
• Free cash flow surged 87%, supported by a successful $25 million share repurchase.
• AI-driven products and customer wins contributed to the company’s 15th consecutive guidance beat.
• Despite market gains, Zeta Global’s one-year return remains negative at -8.22%.

Zeta Global Holdings Corp. (ZETA) closed at $14.18 on June 20, 2025, up 12.63%, reflecting strong investor confidence on the expansion of its AI-driven platform and fueling investor optimism.

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The stock has recently seen sharp movement, climbing as high as $14.89 during the recent trading session, boosted by optimism over its AI-powered marketing platform and sustained growth momentum.

Strong Q1 Performance and Financial Highlights

Zeta Global delivered its 15th consecutive quarter of exceeding guidance on May 1, 2024, underscoring the strength of its business strategy. For Q1 2025, revenue rose 6% year-over-year to $264 million, while adjusted EBITDA surged 53% to $47 million, resulting in an improved margin of 17.7%. The company narrowed its GAAP net loss to $22 million from $40 million a year earlier, indicating progress toward profitability.

Operational cash flow reached $34.8 million, a 41% increase, while free cash flow grew 87% to $28.2 million, with a margin of 10.7%. Zeta Global also repurchased 1.6 million shares for $25 million during the quarter, signaling confidence in its valuation.

AI Platform Drives Customer Growth

The expansion of Zeta Global’s AI-driven platform continues to attract new clients and deepen relationships with existing ones. Scaled customer count reached 548, up 19%, while superscale customers increased 10% to 159. Average revenue per scaled customer rose 12% to $467,000, while superscale ARPU jumped 23% to $1.4 million, demonstrating effective monetization of its services.

New AI initiatives such as AI Agent Studios and Agentic Workflows are designed to improve marketer productivity and drive adoption of Zeta Global’s platform across industries including telecommunications, insurance, and finance. The company’s agency business is also expanding with new partnerships and platform integrations.

Outlook Remains Positive Despite Market Challenges

For Q2 2025, Zeta Global expects revenue between $295 million and $298 million, representing 30%-31% growth over the prior year. Adjusted EBITDA is forecasted at $54.6 million to $55.2 million, a 42%-43% increase. Full-year guidance remains robust, with revenue expected to reach $1.242 billion and adjusted EBITDA forecasted at $258.5 million.

Zeta Global recently released a Forrester Consulting study showing a gap in enterprise AI adoption, reinforcing demand for Zeta Global’s unified platform. However, management remains cautious, acknowledging macroeconomic risks such as slowing spend in key sectors like automotive and retail.

Stock Performance Lags Despite Recent Rally

Despite the recent price surge, Zeta Global’s stock remains down 8.22% over the past year and 21.18% year-to-date, underperforming the S&P 500’s respective 9.04% and 1.47% gains. Its three-year return of 169.58% highlights longer-term strength, but volatility remains a factor.

As Zeta Global leverages its AI capabilities and growing customer base, investors remain optimistic about its potential recovery to prior highs, though market conditions warrant careful monitoring.

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