Evaluating Zeta Global’s Valuation After AI Bubble Jitters Pressure Tech Stocks

Investor anxiety over a potential AI bubble has dragged Zeta Global Holdings (ZETA) into the latest tech selloff, as warnings about shrinking margins push traders to rotate from high growth software names into steadier corners of the market.

See our latest analysis for Zeta Global Holdings.

Even with the recent AI jitters weighing on sentiment, Zeta’s latest close at $17.99 leaves it with a mildly negative year to date share price return. Its three year total shareholder return of 119.12 percent still points to substantial long term momentum that appears to be pausing rather than reversing.

If Zeta’s turbulent week has you rethinking where growth and risk intersect, it could be a good moment to explore other high growth tech and AI names via high growth tech and AI stocks.

With analysts still penciling in upside to nearly thirty dollars a share and revenue growth running above 17 percent, is Zeta quietly undervalued after the AI selloff, or is the market already pricing in its next leg of growth?

Most Popular Narrative: 39.4% Undervalued

With Zeta Global Holdings last closing at $17.99 against a narrative fair value near $29.67, the valuation story hinges on powerful growth and margin assumptions.

Significant investments in AI/ML (including the Zeta Data & AI Lab and new prescriptive AI products like Zeta Answers) are expected to drive ongoing product innovation, automation, and superior ROI for clients, improving efficiency and further expanding net margins.

Read the complete narrative.

Want to see how aggressive revenue compounding, rising margins, and a steep future earnings multiple combine into that fair value target? The full narrative unpacks every assumption.

Result: Fair Value of $29.67 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, sustained regulatory pressure on data privacy and intensifying competition from larger AI marketing platforms could quickly challenge Zeta’s growth, margins, and valuation narrative.

Find out about the key risks to this Zeta Global Holdings narrative.

Build Your Own Zeta Global Holdings Narrative

If you see Zeta’s story differently or simply prefer testing your own assumptions, you can build a fresh narrative in minutes: Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Zeta Global Holdings.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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