Zeta Global is a buy: revenue rose from ~300 million in 2021 to 1.57 billion and operating cash flow/sales from ~7% to 15.3%. Trading at forward P/E 28 with a $33.70 DCF fair value versus $33.54, it is fairly valued on both methods, but rising free-cash-flow estimates keep it a buy, with moderate confidence.

Zeta Global is working on integrating artificial intelligence to improve its operations. One example of this is reducing the time it takes the company to build custom applications on its platform from about a week to just a few minutes .

Therefore, it is at the forefront of companies that develop and use artificial intelligence, and investors are excited about its efforts.

But does this make Zeta Global stock a buying opportunity now in October? This is the question I wanted to answer by looking at its recent developments, then looking at its long-term performance history , and comparing it to its valuation using two different methods to determine whether this stock looked like a buying opportunity at current market prices.

Zeta Global has proven to investors that it has achieved consistent growth for several years. Its revenues rose from around 300 million in the 12-month period ending in 2021 to 1.57 billion during the most recent updated 12-month period.

This is an increase of about 5 times in about 6 years. This is tremendous growth for any business.

For Zeta Global, the answer is yes.

Their cash flow from operations to sales ratio has increased significantly over the past few years, with their revenues growing at the same time . Their operating cash flow to sales ratio increased from about 7% in 2021 to 15.3% in the last 12 months . This is more than double the profit margin.

Moreover, the 15% profit margin reflects a fully self-sustaining business, and has been for several years. This means they do not need to resort to investors to ask for capital out of desperation.

This is an important risk reduction for any business, especially in the early stages of growth.

This is the case with Zeta if they choose to come to the market to ask for more money from investors. They will do so from a position of strength, and at an attractive, or relatively attractive, interest rate.

For a company like Zeta Global, which does not rely on many fixed assets, it does not operate logistics networks, aircraft, trucks, etc., and does not own heavy fixed assets or huge manufacturing facilities.

This is what I see happening with Zeta Global. Its R&D to revenue ratio is declining from a peak of around 15% in 2022 to 9.36% over the past twelve months.

This is despite the fact that the company is making great strides in integrating artificial intelligence into its services. They are one of the leading companies in integrating artificial intelligence into the value they offer their customers.

For Zeta Global, based on the forward price-to-earnings ratio, the stock is trading at 28. This is an interesting stock, as it traded with a forward price-to-earnings ratio that reached 55 in 2024 and dropped to 10 in 2025.

So, it was a volatile stock in the minds of investors in terms of the valuation they were willing to pay for this business. At the current level of 28, it lies in the middle of these two extremes.

It is trading at the average valuation at which it has traded according to this metric if you look at the upper limit versus the lower limit. If you look only at the timing, the stock is trading near the highest forward price-to-earnings ratio it has traded at since January 2025.

Therefore, I have updated my fair value calculations for Zeta Global. The way I arrive at this fair value estimate for the share price is by estimating the amount of cash flow I believe the business will generate from now until the very long term.

I then discount these cash flows using the weighted average cost of capital (WACC). As part of this calculation, I use the capital asset pricing model for the cost of equity. I combine them using a target capital structure to determine the debt and equity weights.

All of this points to and confirms my estimate of the fair value of the stock at $33.70 compared to the current market price of $33.54. Therefore, my estimate is very close to the actual market price.

The stock appears fairly valued whether measured on a forward price-to-earnings basis or on a discounted cash flow basis.

Therefore, I have rated Zeta Global stock as a buy opportunity all year round, and the last update to this rating was on August 7, 2026. The stock has performed excellently this year. It has already risen by more than 65%.

So, to answer the question, do I think it's a buying opportunity? I would say yes, it still is . I will be updating this rating today, October 9, 2026. The stock appears to be fairly valued, and what's special to me is that my recent revisions to Zeta Global 's estimated cash flow are trending upwards.

The company continued to perform better than expected here in 2026. So, about every few months, I review the company's business and update my free cash flow estimates upwards. Of course, there are risks in any investment, but I feel the risk is worth the return in this case, and I have a moderate level of confidence in this rating.