The Trade Desk, Inc. (TTD) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
The Trade Desk, Inc. (TTD) trades at $13.22 with AI Score 80/100 (Grade A+). The Trade Desk, Inc. is a leading technology company specializing in a self-service cloud-based platform for digital advertising. Market cap: $6.21B, Sector: Technology.
Price as of Aug 20, 2026 · Last analyzed: May 10, 2026TTD stock analysis for 2026: Analysts have set a consensus price target of $42.61 for The Trade Desk, Inc., suggesting 222.3% upside from the current price of $13.22. The AI MoonshotScore is 80/100, indicating a strong bullish outlook. Key factors: analyst coverage, AI-driven quantitative scoring.
TTD: 3/3 scored disciplines lean bullish. Dominant signal: Seth Klarman bullish.
How is this calculated? →Why this analysis is different
- A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
- An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
- Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.
The Trade Desk, Inc. (TTD) Technology Profile & Competitive Position
The Trade Desk, Inc. leverages its advanced self-service cloud platform to empower advertisers with data-driven digital marketing solutions, positioning itself as a leader in the rapidly evolving digital advertising landscape.
What Is the Investment Thesis for TTD?
The Trade Desk, Inc. boasts a market capitalization of $6.21B and a P/E ratio of 20.1, reflecting strong investor confidence in its growth potential. The company has a profit margin of 14.6% and a gross margin of 77.8%, indicating efficient operations and high profitability compared to industry peers. Key growth catalysts include the ongoing shift towards digital advertising, which is projected to grow significantly in the coming years, as well as the increasing demand for data-driven marketing solutions. The Trade Desk's innovative platform and extensive service offerings position it well to capitalize on these trends. However, potential risks include increased competition from other advertising technology firms and the evolving regulatory landscape surrounding digital advertising. Overall, The Trade Desk's strong fundamentals and strategic market positioning present a compelling case for continued growth.
Based on FMP financials and quantitative analysis
TTD Key Highlights
Market capitalization of $6.21B, indicating strong market presence.
- P/E ratio of 20.1, reflecting investor confidence in growth prospects.
- Profit margin of 14.6%, showcasing operational efficiency.
- Gross margin of 77.8%, significantly above industry average, indicating strong pricing power.
- Beta of 1.17, suggesting higher volatility compared to the market.
Who Are TTD's Competitors?
TTD is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| MSTR Strategy Inc | $111.51 | +6.96% | $36.9B | — |
| FLEX Flex Ltd. | $113.03 | -6.00% | $41.8B | 60 |
| JBL Jabil Inc. | $316.65 | -1.90% | $33.2B | 62 |
| ZM Zoom Communications, Inc. | $106.30 | -1.09% | $31.2B | 91 |
| VRSN VeriSign, Inc. | $276.90 | +1.42% | $25.0B | 31 |
| DUOL Duolingo, Inc. | $146.03 | +4.58% | $6.80B | 90 |
| RNG RingCentral, Inc. | $65.58 | -0.55% | $5.65B | 95 |
| PEGA Pegasystems Inc. | $33.56 | -0.78% | $5.52B | 91 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TTD's Key Strengths?
Robust self-service platform with high user satisfaction.
- Strong financial performance with high gross margins.
- Established brand reputation in the digital advertising space.
What Are TTD's Weaknesses?
Dependence on advertising budgets, which can be cyclical.
- Limited diversification outside of digital advertising.
- Potential vulnerability to regulatory changes affecting data usage.
What Could Drive TTD Stock Higher?
Expansion of connected TV advertising capabilities to capture growing market share.
- Continuous enhancement of the platform with AI-driven features to improve campaign performance.
- Launch of new data management services to address evolving regulatory requirements.
What Are the Key Risks for TTD?
Increased regulatory scrutiny on data privacy impacting operations.
- Intense competition from established and emerging advertising technology firms.
- Economic downturns leading to reduced advertising budgets.
What Are the Growth Opportunities for TTD?
- Growth opportunity 1: The global digital advertising market is projected to reach $500 billion by 2026, driven by increased adoption of programmatic advertising. The Trade Desk's innovative platform positions it to capture a significant share of this growing market, particularly as more advertisers seek data-driven solutions to enhance campaign effectiveness.
- Growth opportunity 2: The expansion of connected TV (CTV) advertising presents a substantial growth avenue for The Trade Desk.
- Growth opportunity 3: The increasing emphasis on data privacy and compliance presents an opportunity for The Trade Desk to enhance its value proposition. By offering robust data management solutions that align with regulatory requirements, the company can strengthen its competitive position and build trust with advertisers, potentially leading to increased market share.
- Growth opportunity 4: The rise of artificial intelligence (AI) in digital advertising is transforming how campaigns are optimized. The Trade Desk's investment in AI-driven analytics and automation tools will enable advertisers to achieve better targeting and improved ROI, positioning the company favorably in a tech-driven market.
- Growth opportunity 5: Geographic expansion into emerging markets offers significant growth potential for The Trade Desk. As digital advertising adoption increases in regions such as Asia-Pacific and Latin America, the company can leverage its platform to tap into new customer segments, driving revenue growth over the next five years.
What Threats Does TTD Face?
- Intense competition from other advertising technology firms.
- Rapid technological changes requiring continuous innovation.
- Economic downturns that could impact advertising spending.
What Are TTD's Competitive Advantages?
- Strong technology platform that differentiates it from competitors.
- High gross margin indicating pricing power and operational efficiency.
- Established relationships with major advertising agencies and brands.
What Does TTD Do?
Founded in 2009 and headquartered in Ventura, California, The Trade Desk, Inc. operates as a technology company that provides a self-service cloud-based platform for digital advertising. The company's platform enables buyers, including advertising agencies and service providers, to create, manage, and optimize data-driven advertising campaigns across a variety of formats and channels. These include display, video, audio, native, and social media, accessible on multiple devices such as computers, mobile devices, and connected TVs. The Trade Desk has evolved significantly since its inception, focusing on innovation and enhancing its platform capabilities to meet the growing demands of the digital advertising ecosystem. The company serves a diverse clientele, primarily consisting of advertising agencies, which rely on its technology to deliver effective marketing solutions for their clients. With a workforce of approximately 3,522 employees, The Trade Desk has established itself as a key player in the global advertising technology market, benefiting from a robust growth trajectory fueled by the increasing shift towards programmatic advertising. The company's commitment to providing data and other value-added services further enhances its competitive positioning, allowing it to capture a larger share of the expanding digital advertising market.
What Products and Services Does TTD Offer?
- Operates a self-service cloud-based platform for digital advertising.
- Enables buyers to create, manage, and optimize advertising campaigns.
- Supports various ad formats including display, video, audio, native, and social.
- Provides data and value-added services to enhance advertising effectiveness.
- Serves advertising agencies and service providers for advertisers.
- Focuses on data-driven solutions to improve campaign performance.
How Does TTD Make Money?
- Generates revenue through subscription fees for platform access.
- Charges clients based on advertising spend managed through its platform.
- Offers additional data and analytics services for enhanced campaign optimization.
- Provides training and support services to clients for effective platform use.
What Industry Does TTD Operate In?
The digital advertising industry is experiencing robust growth, driven by the increasing shift of advertising budgets from traditional media to digital platforms. According to industry reports, the global digital advertising market is expected to reach approximately $500 billion by 2026, growing at a CAGR of around 12%. The Trade Desk, Inc. is well-positioned within this landscape, leveraging its self-service platform to meet the demands of advertisers seeking data-driven solutions. The competitive landscape includes notable players such as Strategy Inc (MSTR), Flex Ltd. (FLEX), Jabil Inc. (JBL), Zoom Communications, Inc. (ZM), and VeriSign, Inc. (VRSN), each vying for market share in this dynamic sector.
Who Are TTD's Key Customers?
- Advertising agencies seeking to optimize client campaigns.
- Brands looking for effective digital marketing solutions.
- Service providers in the advertising ecosystem.
Company Profile
The Trade Desk, Inc. operates in the Software - Services industry within the Technology sector. It is headquartered in Ventura, US. The company is led by CEO Jeffrey Terry Green. TTD has traded publicly since 2016.
Key Financial Metrics
Return on equity for The Trade Desk, Inc. stands at 16.1%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 7.1%, showing how much profit it generates from its asset base. TTD trades at a trailing price-to-earnings ratio of 20.06, below the Technology sector average of ~33x. Its free cash flow yield is 13.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.72 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 6.5%, the inverse of the P/E and a quick read on earnings relative to price.
TTD Valuation & Market Position
With a $6.21B market cap, The Trade Desk, Inc. sits in the mid-cap segment of the market. Relative to its peer group, TTD's quantitative score of 80/100 is above the peer average of 61/100.
Quarterly Financial Performance: The Trade Desk, Inc.
Revenue for The Trade Desk, Inc. came in at $688.9M during Q1 2026, a 18.7% contraction versus the preceding quarter. The company recorded net income of $40.0M, with diluted EPS of $0.08. Quarter-over-quarter revenue has been mixed, typical for a mid-cap company operating in Technology. Across the four most recent quarters, TTD averaged $0.22 in diluted EPS.
Financial Health
The Trade Desk, Inc.'s Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 2.33 places it in the grey zone, a middle ground that warrants monitoring.
Earnings Track Record
The Trade Desk, Inc. has beaten Wall Street's EPS estimate in 5 of its last 8 reported quarters — more hits than misses. Reported results have landed about 11.3% above estimates on average.
Forward Outlook
Wall Street analysts project The Trade Desk, Inc. revenue of about $2.76B for fiscal 2026, with EPS near $0.40. The estimate reflects 24 contributing analysts.
Insider Activity
Over the past six months, The Trade Desk, Inc. insiders filed 15 SEC Form 4 transactions — 11 sales and 4 purchases. On net that is roughly 21K shares acquired (about $573K) — insiders putting money in tends to read as conviction.
TTD Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in The Trade Desk's future performance, indicating that key stakeholders believe in the company's growth potential.
- Community sentiment has leaned positive, especially with discussions around digital advertising trends and the company's innovative technology solutions.
- The increasing demand for programmatic advertising is seen as a tailwind, positioning The Trade Desk favorably in a growing market.
- Recent partnerships and collaborations have strengthened their market position, showcasing their adaptability and relevance in the advertising ecosystem.
Bear Case
- Concerns about rising competition in the digital advertising space have been echoed in community discussions, raising doubts about market share sustainability.
- Some analysts have pointed to potential regulatory challenges that could impact advertising practices, creating uncertainty around future revenues.
- Recent earnings calls have highlighted challenges in scaling operations, which has led to mixed reactions among investors and analysts alike.
- Market perception has been cautious, with some community members expressing skepticism about the company's ability to maintain its growth trajectory amid economic headwinds.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · February 2026
From the Earnings Call
“Taken together, we continue to expect our full year 2026 adjusted EBITDA margin percentage to be at least 40%, approximately in line with 2025.”
— Tahnil Davis, Interim Chief Financial Officer and Chief Accounting Officer
“March was our biggest month on record for JBP signings. We signed 45 JBPs in March alone. For Q1, our total JBP count grew 55% year-over-year.”
— Jeffrey Green, CEO
TTD Q1 FY2026 earnings call transcript · 2026-05-07
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $689M | $40M | $0.08 |
| Q4 2025 | $847M | $187M | $0.39 |
| Q3 2025 | $739M | $116M | $0.23 |
| Q2 2025 | $694M | $90M | $0.18 |
Based on FMP financials and quantitative analysis
TTD Latest News
-
AppLovin sentiment turns negative as bull case grows harder to find, Jefferies says
Proactive · Aug 20, 2026
-
Upland Software, The Trade Desk, and SoundHound AI Shares Are Falling, What You Need To Know
StockStory · Aug 18, 2026
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SanDisk Rips 10%, Micron Rises 6% as AI Memory Frenzy Builds: Stock Market Today
benzinga · Aug 17, 2026
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Barrons.com · Aug 17, 2026
TTD Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TTD.
Price Targets
Consensus target: $42.61
TTD MoonshotScore
What does this score mean?
The MoonshotScore rates TTD 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Latest News
AppLovin sentiment turns negative as bull case grows harder to find, Jefferies says
Upland Software, The Trade Desk, and SoundHound AI Shares Are Falling, What You Need To Know
SanDisk Rips 10%, Micron Rises 6% as AI Memory Frenzy Builds: Stock Market Today
Sandisk, Micron, Nvidia, SpaceX, Amazon, L3Harris, and More Stocks That Explain Today’s Market
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3 min readLeadership: Jeffrey Terry Green
CEO
Jeffrey Terry Green co-founded The Trade Desk, Inc. in 2009 and has been instrumental in its growth and development. He holds a degree in Business Administration from the University of California, Berkeley, and has extensive experience in the technology and advertising sectors. Prior to founding The Trade Desk, he held various roles in technology and business development, gaining valuable insights into the digital marketing landscape.
Track Record: Under Jeffrey Green's leadership, The Trade Desk has grown its market capitalization significantly and expanded its global presence. He has driven the company's focus on innovation, resulting in the successful launch of new platform features and services that enhance customer value.
Common Questions About TTD (Technology)
What does the AI Score mean for TTD?
TTD holds an AI Score of 80/100 (Grade: A+). This is an educational research signal, not a buy or sell recommendation. The Trade Desk, Inc. is a leading technology company specializing in a self-service cloud-based platform for digital advertising. Founded in 2009, it enables advertisers to optimize campaigns …
What does The Trade Desk, Inc. do?
The Trade Desk, Inc. operates a self-service cloud-based platform that enables advertisers to create, manage, and optimize digital advertising campaigns across various channels and formats. The platform supports display, video, audio, native, and social media advertising, allowing clients to leverage data-driven insights for improved campaign performance.
What do analysts say about TTD stock?
Analysts generally view The Trade Desk, Inc. positively, citing its strong market position and growth potential in the digital advertising sector. Key valuation metrics include a P/E ratio of 20.1 and a profit margin of 14.6%. Analysts highlight the company's innovative platform and ability to adapt to market trends as critical factors in its long-term growth.
What are the main risks for TTD?
The Trade Desk, Inc. faces several risks, including potential regulatory changes affecting data privacy, which could impact its operations. Additionally, the company operates in a highly competitive environment, with numerous firms vying for market share. Economic downturns may also pose a risk, as they can lead to reduced advertising budgets and spending by clients.
What are the key factors to evaluate for TTD?
The Trade Desk, Inc. (TTD) holds an AI score of 80/100 (high). P/E: 20.1x vs the S&P 500's ~20-25x. Analysts target $42.61 (+222%). Not financial advice.
How frequently does TTD data refresh on this page?
TTD's price was last updated on Aug 20, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven TTD's recent stock price performance?
The Trade Desk, Inc. (TTD) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Robust self-service platform with high user satisfaction. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TTD overvalued or undervalued right now?
The Trade Desk, Inc. (TTD) trades at 20.1x earnings. Analysts target $42.61 (+222%) — upside seen. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research TTD before investing?
Before investing in The Trade Desk, Inc. (TTD), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Data is based on the latest available information and may be subject to change.