Analyst Estimates: Here's What Brokers Think Of Zeta Global Holdings Corp. (NYSE:ZETA) After Its Annual Report
Last week saw the newest full-year earnings release from Zeta Global Holdings Corp. (NYSE:ZETA), an important milestone in the company's journey to build a stronger business. The statutory results were mixed overall, with revenues of US$729m in line with analyst forecasts, but losses of US$1.20 per share, some 3.6% larger than the analysts were predicting. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Zeta Global Holdings after the latest results.
View our latest analysis for Zeta Global Holdings
Taking into account the latest results, the current consensus from Zeta Global Holdings' nine analysts is for revenues of US$874.3m in 2024. This would reflect a solid 20% increase on its revenue over the past 12 months. Losses are predicted to fall substantially, shrinking 50% to US$0.43. Before this latest report, the consensus had been expecting revenues of US$850.4m and US$0.44 per share in losses.
The consensus price target held steady at US$14.83despite the upgrade to revenue forecasts and ongoing losses. The analysts seems to think the business is otherwise performing roughly in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Zeta Global Holdings, with the most bullish analyst valuing it at US$21.00 and the most bearish at US$12.00 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 20% growth on an annualised basis. That is in line with its 23% annual growth over the past three years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 12% annually. So it's pretty clear that Zeta Global Holdings is forecast to grow substantially faster than its industry.
The Bottom Line
The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Zeta Global Holdings going out to 2025, and you can see them free on our platform here..
It is also worth noting that we have found 1 warning sign for Zeta Global Holdings that you need to take into consideration.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
