ZETA GLOBAL HOLDINGS CORP-A (ZETA)
US98956A1051 - Common Stock
Overall ZETA gets a fundamental rating of 5 out of 10. We evaluated ZETA against 279 industry peers in the Software industry. No worries on liquidiy or solvency for ZETA as it has an excellent financial health rating, but there are worries on the profitability. ZETA is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
In the past year ZETA was profitable.
In the past year ZETA had a positive cash flow from operations.
In the past 5 years ZETA always reported negative net income.
Each year in the past 5 years ZETA had a positive operating cash flow.
1.2 Ratios
ZETA has a worse Return On Assets (-13.84%) than 65.95% of its industry peers.
Looking at the Return On Equity, with a value of -25.33%, ZETA is in line with its industry, outperforming 40.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -13.84% | ||
| ROE | -25.33% | ||
| ROIC | N/A |
ROA(3y)-52.83%
ROA(5y)-40.34%
ROE(3y)-201.84%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of ZETA (60.26%) is worse than 60.22% of its industry peers.
ZETA's Gross Margin has improved in the last couple of years.
ZETA does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 60.26% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.54%
GM growth 5YN/A
2. Health
2.1 Basic Checks
ZETA does not have a ROIC to compare to the WACC, probably because it is not profitable.
ZETA has more shares outstanding than it did 1 year ago.
Compared to 1 year ago, ZETA has an improved debt to assets ratio.
2.2 Solvency
ZETA has an Altman-Z score of 7.86. This indicates that ZETA is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 7.86, ZETA is doing good in the industry, outperforming 75.27% of the companies in the same industry.
The Debt to FCF ratio of ZETA is 2.49, which is a good value as it means it would take ZETA, 2.49 years of fcf income to pay off all of its debts.
ZETA has a better Debt to FCF ratio (2.49) than 65.23% of its industry peers.
ZETA has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.41, ZETA is doing worse than 64.87% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for ZETA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 2.49 | ||
| Altman-Z | 7.86 |
ROIC/WACCN/A
WACC11.81%
2.3 Liquidity
A Current Ratio of 3.32 indicates that ZETA has no problem at all paying its short term obligations.
The Current ratio of ZETA (3.32) is better than 78.14% of its industry peers.
A Quick Ratio of 3.32 indicates that ZETA has no problem at all paying its short term obligations.
The Quick ratio of ZETA (3.32) is better than 78.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.32 | ||
| Quick Ratio | 3.32 |
3. Growth
3.1 Past
ZETA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -59.38%.
ZETA shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.97%.
Measured over the past years, ZETA shows a very strong growth in Revenue. The Revenue has been growing by 25.56% on average per year.
EPS 1Y (TTM)-59.37%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%77.78%
Revenue 1Y (TTM)29.97%
Revenue growth 3Y25.56%
Revenue growth 5YN/A
Sales Q2Q%41.97%
3.2 Future
ZETA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.52% yearly.
The Revenue is expected to grow by 21.78% on average over the next years. This is a very strong growth
EPS Next Y68.2%
EPS Next 2Y46.98%
EPS Next 3Y39.52%
EPS Next 5YN/A
Revenue Next Year29.9%
Revenue Next 2Y24.03%
Revenue Next 3Y21.78%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 44.44, the valuation of ZETA can be described as expensive.
Based on the Price/Earnings ratio, ZETA is valued a bit cheaper than the industry average as 63.80% of the companies are valued more expensively.
ZETA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.65.
Based on the Price/Forward Earnings ratio of 30.56, the valuation of ZETA can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ZETA indicates a somewhat cheap valuation: ZETA is cheaper than 67.38% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.56. ZETA is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.44 | ||
| Fwd PE | 30.56 |
4.2 Price Multiples
ZETA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 68.98 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ZETA's earnings are expected to grow with 39.52% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.65
PEG (5Y)N/A
EPS Next 2Y46.98%
EPS Next 3Y39.52%
5. Dividend
5.1 Amount
ZETA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ZETA GLOBAL HOLDINGS CORP-A
NYSE:ZETA (11/20/2024, 8:04:00 PM)
Premarket: 23.65 +0.54 (+2.34%)23.11
+1.09 (+4.95%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.44B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.44 | ||
| Fwd PE | 30.56 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.65
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -13.84% | ||
| ROE | -25.33% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 60.26% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.32 | ||
| Quick Ratio | 3.32 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-59.37%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y68.2%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)29.97%
Revenue growth 3Y25.56%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y