Advertising and marketing company Zeta Global (NYSE:ZETA) will be reporting results tomorrow after market hours. Here's what to look for.
Last quarter Zeta reported revenues of $171.8 million, up 25.1% year on year, beating analyst revenue expectations by 6.08%. It was a very strong quarter for the company, with accelerating growth in large customers and a solid beat of analysts' revenue estimates. The company added 14 enterprise customers paying more than $100,000 annually to a total of 425.
Is Zeta buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Zeta's revenue to grow 17.5% year on year to $178.9 million, slowing down from the 32.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.09 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 6.69%.
Looking at Zeta's peers in the sales and marketing software segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. VeriSign (NASDAQ:VRSN) delivered top-line growth of 5.44% year on year, missing analyst estimates by 0.75%, and ZoomInfo reported revenues up 9.11% year on year, exceeding estimates by 1.06%. VeriSign traded down 5.84% on the results, and Zoominfo was up 1.5%.
Read the full analysis of VeriSign's and ZoomInfo's results on StockStory.
The technology sell-off has been putting pressure on stocks and while some of the sales and marketing software stocks have fared somewhat better, they have not been spared, with share price declining 8.09% over the last month. Zeta is down 7% during the same time, and is heading into the earnings with analyst price target of $14.3, compared to share price of $7.57.
The author has no position in any of the stocks mentioned.
