10 Best Mid Cap Stocks to Buy According to Hedge Funds

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

Number of Hedge Fund Holders: 34

Market Cap: $4.13 billion

Stock Upside Potential: 69.71%

Zeta Global Holdings Corp. (NYSE:ZETA) is one of the best mid cap stocks to buy according to hedge funds. On November 5, DA Davidson reaffirmed its Buy rating on Zeta Global Holdings Corp. (NYSE: ZETA) and kept its $27 price target, pointing to the company’s solid execution during the third quarter of 2025.

A day earlier on November 4, Zeta Global Holdings Corp. delivered strong third-quarter results, which were attributed to its superior artificial intelligence and data capabilities compared to its competitors. Revenue in the quarter was up 26% year-over-year to $337 million, exceeding the midpoint of guidance by $9 million.

The company achieved a record fee cash flow margin of 14% as free cash flow increased 83% to $47 million. During the quarter, the company grew its super-scaled customer count by 25% year over year to $18. The launch of AI conversational super intelligent agent Athena is expected to enhance customer engagement and drive a greater return on investment on Zeta’s platform.

“Our latest launch of Athena by ZetaTM, our AI conversational, superintelligent agent, combined with the momentum coming out of our most successful Zeta Live, and the continued success with One Zeta, reinforces our conviction in Zeta’s leadership and future in the martech landscape,” said David A. Steinberg, Co-Founder, Chairman, and CEO of Zeta.

Likewise, Zeta Global increased its revenue guidance for the fourth quarter to between $363 million and $366 million, representing a $2 million increase from the prior guidance midpoint. It has also increased its adjusted EBITDA to between $89.7 million and $90.5 million. For the full year, it expects revenue to range between $1.273 billion and $1.276 billion, representing an increase of $11 million from the midpoint of the previous guidance.

Zeta Global Holdings Corp. (NYSE:ZETA) is a data-driven marketing technology company that provides an AI-powered marketing cloud to help brands acquire, grow, and retain customers. It utilizes artificial intelligence and an extensive database of consumer data to enable businesses to create personalized, omnichannel experiences for customers and enhance marketing outcomes.