12 Best Software Stocks to Buy According to Analysts

3. Zeta Global Holdings Corp. (NYSE:ZETA)

Stock Price: $17.89

Number of Hedge Fund Holders: 31

Analyst Upside Potential: 134.77%

Zeta Global Holdings Corp. (NYSE:ZETA) is a technology company that specializes in marketing solutions. Its AI and data-driven platform helps businesses to optimize customer acquisition, retention, and engagement. Its data-driven insights are a key differentiator for the company as it helps businesses predict what customers want and how they are likely to behave in the future.

During the fiscal third quarter of 2024, Zeta Global Holdings Corp. (NYSE:ZETA) successfully broke the “Rule of 60” for the first time, indicating strong revenue growth and profitability metrics. The company generated $268 million in revenue, marking a 42% increase year-over-year, driven by strong acquisition of its software.

Management also landed high-value deals ensuring sustained near-term growth. The company landed an eight-figure deal with a global retail brand to enhance customer experience and reduce costs using AI and a seven-figure deal with a professional sports league for improved identity resolution and customer insights. It is one of the best software stocks to buy according to analysts. Carillon Tower Advisers, an investment management company, released its Q3 2024 investor letter. Here is what the fund said:

“Zeta Global Holdings Corp. (NYSE:ZETA) is a marketing automation software vendor focused on customer data. The company has seen a healthy growth rate while posting solid margins and cash flow. This past quarter, investors appreciated acceleration in growth driven by Zeta’s artificial intelligence-based modules leading to increased spending on the company’s platform. Furthermore, Zeta’s exposure to political ad spending during a major election is raising expectations regarding growth in the second half of the year.”