Zeta Global (ZETA) is expected to post strong Q4 results backed by "healthy" advertising and marketing budgets, RBC Capital Markets said Friday in a report.

Investors probably will focus on fiscal 2025 guidance and a potential long-term plan through fiscal 2028, RBC said.

A revenue target of $2 billion in revenue by fiscal 2028 implies a 20% compound annual growth rate, "the most likely number," the report said.

Zeta is "well positioned" for the evolving total addressable market, driven by artificial intelligence "unlocking the value of customer data," RBC said.

Shares of the company had dropped after a short-seller report, prompting the company to hold a data summit to clarify collection and usage to address investor concerns, the report said.

RBC maintained an outperform rating on Zeta's stock with a $40 price target. Results from Q4 are expected Tuesday.

Shares of the company fell 7.3% in recent Friday trading.

Price: 20.81, Change: -1.63, Percent Change: -7.26