Cautious Hold Rating on Zeta Global Holdings Corp Post-Marigold Acquisition Amid Revised Revenue and Profitability Guidance

Zeta Global Holdings Corp, the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Elizabeth Porter from Morgan Stanley maintained a Hold rating on the stock and has a $23.00 price target.

Elizabeth Porter’s rating is based on a combination of factors following Zeta Global Holdings Corp’s acquisition of Marigold. The company has revised its revenue and profitability guidance upwards for the fourth quarter of 2025 and the fiscal year 2026, primarily due to the expected contributions from Marigold. The revenue guidance for 4Q25 was increased by approximately 4%, and the FY26 revenue guidance was raised by 12%, reflecting the incorporation of Marigold’s revenues. However, the growth from Marigold is expected to be modest, with flat to low-single-digit growth at the time of acquisition, and potential churn in the SMB and lower-end mid-market segments.
In terms of profitability, Zeta’s adjusted EBITDA guidance for 4Q25 and FY26 has also been increased, with the company anticipating cost synergies to materialize mainly in the latter part of 2026. Despite these positive revisions, there are concerns regarding GAAP profitability due to acquisition-related expenses and other GAAP expenses related to LiveIntent. These factors contribute to a cautious outlook, leading Elizabeth Porter to assign a Hold rating to Zeta Global Holdings Corp’s stock.