Trade Desk (NASDAQ:TTD) Shares Climb 12.3% After Strong Earnings

The Trade Desk (NASDAQ:TTD)’s stock price traded up 12.3% during mid-day trading on Monday following a stronger than expected earnings report. The company traded as high as $14.34 and last traded at $14.5210. Approximately 6,592,118 shares changed hands during trading, a decline of 67% from the average daily volume of 19,795,355 shares. The stock had previously closed at $12.93.

The technology company reported $0.33 EPS for the quarter, topping the consensus estimate of $0.04 by $0.29. Trade Desk had a return on equity of 14.64% and a net margin of 11.03%. The firm had revenue of $735.97 million for the quarter, compared to the consensus estimate of $650.93 million. During the same quarter in the previous year, the business earned $0.45 earnings per share. The company’s quarterly revenue was down .5% on a year-over-year basis.

Trade Desk News Summary

Here are the key news stories impacting Trade Desk this week:

• Positive Sentiment: Q3 revenue was about $736 million, ahead of estimates, and adjusted EPS of $0.33 also topped expectations. Management forecast Q4 revenue of $755 million, above the roughly $692 million analyst consensus. Trade Desk Q3 Earnings & Revenues Beat Estimates, Down Y/Y
• Positive Sentiment: The company plans to cut about 15% of its workforce, targeting more than $100 million in gross savings in 2027, and expanded its share-repurchase authorization by $731 million. These steps may support efficiency and shareholder returns. Trade Desk: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Unusually high call-option buying suggests some traders are positioning for further gains, though options activity is not a guarantee of future performance. Trade Desk Stock Sees Heavy Call Option Buying
• Neutral Sentiment: DA Davidson initiated coverage with a Neutral rating, reflecting a cautious stance despite the earnings beat. Trade Desk Stock Rated Neutral in New Coverage at DA Davidson
• Negative Sentiment: Underlying results remain pressured: revenue slipped 0.5% year over year and quarterly profit fell sharply. Analysts also cited competitive headwinds, while sluggish growth and execution remain concerns. Trade Desk Faces Competitive Headwinds Despite Political Ad Boost
• Negative Sentiment: Analyst views are mixed-to-cautious: Citi maintained a Sell rating despite raising its target to $12, below the cited share price. The Trade Desk: Rating Downgrade

Analysts Set New Price Targets

TTD has been the topic of a number of analyst reports. Moffett Nathanson set a $6.00 price target on Trade Desk in a research note on Friday, August 7th. Benchmark reissued a “buy” rating and set a $20.00 price objective (down from $30.00) on shares of Trade Desk in a research note on Monday, August 3rd. Rosenblatt Securities raised their target price on shares of Trade Desk from $12.00 to $15.00 and gave the stock a “neutral” rating in a report on Tuesday. Cantor Fitzgerald lifted their target price on shares of Trade Desk from $14.00 to $15.00 and gave the stock a “neutral” rating in a research note on Wednesday. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Trade Desk in a research note on Friday, September 11th. Four equities research analysts have rated the stock with a Buy rating, twenty-six have given a Hold rating and nine have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $18.66.

Hedge Funds Weigh In On Trade Desk

A number of hedge funds and other institutional investors have recently made changes to their positions in TTD. Tema ETFs LLC boosted its holdings in Trade Desk by 9.5% in the second quarter. Tema ETFs LLC now owns 8,360 shares of the technology company’s stock valued at $151,000 after acquiring an additional 725 shares in the last quarter. Sunbelt Securities Inc. raised its holdings in Trade Desk by 4.1% in the 1st quarter. Sunbelt Securities Inc. now owns 24,976 shares of the technology company’s stock worth $567,000 after purchasing an additional 983 shares in the last quarter. EverSource Wealth Advisors LLC lifted its position in shares of Trade Desk by 159.1% in the 1st quarter. EverSource Wealth Advisors LLC now owns 2,031 shares of the technology company’s stock worth $46,000 after purchasing an additional 1,247 shares during the period. New Mexico Educational Retirement Board lifted its position in shares of Trade Desk by 6.3% in the 2nd quarter. New Mexico Educational Retirement Board now owns 21,900 shares of the technology company’s stock worth $396,000 after purchasing an additional 1,300 shares during the period. Finally, Checchi Capital Advisers LLC boosted its stake in shares of Trade Desk by 7.6% during the 3rd quarter. Checchi Capital Advisers LLC now owns 21,293 shares of the technology company’s stock valued at $259,000 after purchasing an additional 1,495 shares in the last quarter. Institutional investors own 67.77% of the company’s stock.

Trade Desk Trading Up 3.3%

The business’s 50 day moving average price is $13.13 and its two-hundred day moving average price is $19.41. The stock has a market cap of $7.25 billion, a P/E ratio of 22.35, a price-to-earnings-growth ratio of 1.61 and a beta of 0.98.

About Trade Desk

The Trade Desk, Inc. provides a technology platform that helps advertisers and advertising agencies plan, buy, and measure digital advertising. Its self-service platform uses automated, data-driven tools to help clients purchase advertising inventory across channels such as connected TV, mobile, audio, and display. The company also offers tools for campaign management, audience targeting, measurement, and access to data and advertising inventory. Its platform is designed to help clients manage campaigns across multiple media channels and publishers.