04:24 PM EDT, 07/29/2024 (MT Newswires) -- Zeta Global Holdings ( ZETA ) is expected to see continued upside when it reports Q2 results on Wednesday, with a focus on "outperformance," updates on AI assistant traction, and possibly revised fiscal 2025 guidance due to recent performance, RBC Capital Markets said in a note Monday.

RBC estimates Q2 revenue of $212.5 million and non-GAAP earnings of $0.14 per share. Analysts polled by Capital IQ expect $212.5 million in revenue and $0.10 in non-GAAP EPS.

Sentiment around the company during the quarter improved with the stock up 65% compared with ad-tech peers up 9% and the S&P 500 up 5%, RBC said, adding that the upside is most likely driven by average revenue per unit expansion, according to the note.

"In terms of sentiment upside, we feel that continued success from the company's generative [artificial intelligence platform will be a positive as we feel that advertising and marketing can be one of the earliest beneficiaries of the trend with personalized marketing remaining a long-term [total addressable market] expansion opportunity," RBC said.

RBC maintained its outperform rating and raised the price target to $23 from $20.