Date: January 2, 2026 Introduction Entering 2026, the fusion of artificial intelligence and marketing technology has progressed from experimentation into full industrialization. Leading this shift is Zeta Global Holdings Corp. (NYSE: ZETA), an omni-channel marketing platform that, over the past year, has transformed from a high-growth challenger brand into a formidable enterprise player. Zeta attracts investor interest not only due to strong revenue growth but also its resilience. After a prominent short-seller attack in late 2024, the company spent 2025 affirming the robustness of its data-driven model and its "Athena" generative AI suite. Zeta is increasingly recognized as a modern alternative to legacy "Marketing Clouds, " utilizing a proprietary data cloud to help brands acquire, grow, and retain customers with remarkable precision. Historical Background Founded in 2007 through a partnership between entrepreneur David A. Steinberg and John Sculley, former CEO of Apple and Pepsi-Cola, Zeta Global began as XL Marketing. Its early years focused on strategic acquisitions to unify fragmented marketing tools into a single ecosystem. In the 2010s, Zeta expanded by acquiring eBay Enterprise’s CRM division and the Disqus commenting platform, emphasizing data accumulation beyond mere scale. By its June 2021 NYSE IPO, it had developed one of the largest proprietary global consumer identity data sets. Over the last two years, the focus shifted to "AI activation, " integrating advanced machine learning to automate complex marketing decisions previously reliant on large teams. Business Model Zeta operates an AI-driven Marketing Cloud built on three pillars: - Zeta Marketing Platform (ZMP): An omni-channel orchestrator enabling communication across email, social media, Connected TV (CTV), mobile, and the open web. - Zeta Data Cloud: A proprietary database of over 2. 4 billion deterministic global identities (linked to real individuals rather than anonymous cookies), enabling highly personalized targeting. - Revenue Streams: Primarily SaaS-based subscriptions providing stable income, supplemented by usage-based fees linked to media activation, allowing revenue to grow with customer marketing spend. By offering a lower Total Cost of Ownership (TCO) compared to fragmented legacy solutions, Zeta targets enterprise clients aiming to consolidate vendors while enhancing Return on Ad Spend (ROAS). Stock Performance Overview ZETA’s shareholder journey exemplifies market volatility and recovery. Post-2021 IPO, the stock suffered in the 2022 tech sell-off. The most challenging period was 2024, when a November report by Culper Research led to a 37% single-day drop over data-related allegations. However, in 2025, the stock staged a remarkable V-shaped recovery fueled by aggressive share repurchases, insider buying, and consistent "beat and raise" earnings, trading near all-time highs entering 2026. Over five years, ZETA evolved from a volatile mid-cap into a disciplined growth company, outpacing many SaaS 1. 0 peers. Financial Performance As of early 2026, Zeta has achieved significant scale: - Revenue Growth: FY 2024 revenue reached about $985 million (35% YoY increase). Preliminary FY 2025 revenue surged to $1. 29 billion, aided by integrating Marigold. - Profitability: Adjusted EBITDA for 2025 is estimated at $275 million, with margins nearing 20%. - Balance Sheet: The company deployed a $200 million share repurchase in 2025 to stabilize stock price. With strong cash reserves and manageable debt, it has flexibility for further M&A. For 2026, management projects a revenue floor of $1. 73 billion, signaling sustained benefits from AI-driven growth. Leadership and Management David A.

Steinberg continues as Chairman and CEO, with his founder-led style credited for agility. Co-founder John Sculley retired from the Board in June 2025, becoming Vice Chairman Emeritus. Post-2024 short-seller events, Zeta enhanced governance by adding independent directors skilled in compliance and cybersecurity. The 2025 appointment of Ed See, ex-McKinsey Partner, as Chief Growth Officer is seen as strategic, shifting sales focus from IT stakeholders to C-suite leaders. Products, Services, and Innovations Zeta’s flagship product is Athena, a "superintelligent" AI agent launched in late 2025, functioning beyond generative text as a conversational command center. For example, a CMO can instruct Athena to "shift $50, 000 from underperforming social ads to high-intent CTV segments, " with the AI effectuating changes instantly across the ZMP. Other innovations include: - Zeta Answers: A real-time forecasting engine predicting consumer behaviors ahead of time. - Identity Resolution: Leveraging the Data Cloud to connect anonymous web visitors with known customers, critical as third-party cookies vanish. Competitive Landscape Zeta competes against established giants by positioning itself as a unified, AI-first alternative: - Legacy Clouds: Salesforce (CRM) and Adobe (ADBE) lead but are often seen as "Franken-stacks" of acquired technologies lacking seamless integration. Zeta’s platform is built from the ground up as unified. - Infrastructure Pivots: Oracle (ORCL) focuses on cloud infrastructure, creating a gap in marketing applications that Zeta exploits. - Niche Players: Braze (BRZE) and Klaviyo (KVYO) target messaging and SMB/mid-market sectors but lack Zeta’s massive first-party data advantage for enterprise-scale customer acquisition. Industry and Market Trends The cookie-less future is the current reality due to privacy restrictions at browser (Google Chrome) and OS (Apple iOS) levels, boosting the value of First-Party Data. Zeta benefits by owning its deterministic data cloud, avoiding reliance on rented data like many ad-tech firms. Additionally, the rise of "Agentic AI" — AI that executes, not just suggests, actions — is a core growth driver for Zeta in 2026. Risks and Challenges Zeta faces key risks in three areas: - Regulatory Scrutiny: As a large consumer data aggregator, it faces potential compliance cost increases from expanding privacy laws like CCPA, GDPR, or new U. S. federal regulations. - Short-Seller Threats: Despite disproving Culper’s claims, lingering stigma necessitates ongoing transparency in reporting. - Execution Risk: The 2025 Marigold acquisition integration may entail cultural or client retention challenges. Opportunities and Catalysts Catalysts that could propel Zeta shares in 2026 include: - The Athena Effect: Broader Athena adoption could increase usage-based revenue, improving margins. - Political Spending: The 2026 U. S. midterm elections historically boost revenue due to campaign micro-targeting. - Index Inclusion: Stable market cap and profitability could lead to S&P 400/500 inclusion, attracting institutional purchases. Investor Sentiment and Analyst Coverage Since mid-2025's business model validation, analyst sentiment has turned bullish, with most major banks rating ZETA as "Buy" or "Outperform, " forecasting over 25% growth. Institutional ownership remains strong, viewing Zeta as a pure AI marketing growth play superior to mature Salesforce. Retail investor confidence, shaken in 2024, has rebounded amid transparency efforts like data audits and town halls. Regulatory, Policy, and Geopolitical Factors The regulatory climate for AI is tightening globally. The EU AI Act requires algorithmic transparency and bias mitigation, which Zeta has proactively addressed via Responsible AI frameworks, potentially conferring a compliance advantage. In the U. S. , FTC focus on consent-based data collection persists; Zeta’s move toward fully opted-in data helps ensure legal compliance and data integrity. Conclusion Zeta Global enters 2026 as a proven leader in AI-driven marketing. Surviving late 2024’s confidence crisis, it emerged more transparent, disciplined, and focused on leveraging proprietary data combined with agentic AI. While privacy regulations and competition from legacy giants like Adobe remain risks, Zeta’s high growth and expanding margins present an attractive investment case. The pivotal factor will be Athena’s full deployment: if Zeta can demonstrate AI’s ability to automate CMO functions, it will move from challenger to industry standard. This content is for informational purposes only and does not constitute financial advice.