Trade Desk (NASDAQ:TTD) Lowered to “Sector Perform” Rating by Royal Bank Of Canada

Royal Bank Of Canada downgraded shares of Trade Desk (NASDAQ:TTD) from an outperform rating to a sector perform rating in a research report sent to investors on Friday, Marketbeat Ratings reports. They currently have $15.00 target price on the technology company’s stock.

Other research analysts have also issued reports about the company. Robert W. Baird set a $9.00 target price on Trade Desk and gave the stock a “neutral” rating in a research report on Friday. Wells Fargo & Company set a $12.00 price target on Trade Desk and gave the stock an “equal weight” rating in a research note on Friday. Evercore downgraded Trade Desk from an “outperform” rating to an “in-line” rating and set a $13.00 price objective on the stock. in a report on Friday. Oppenheimer lowered Trade Desk from an “outperform” rating to a “market perform” rating in a research note on Friday, May 8th. Finally, Raymond James Financial cut Trade Desk from a “market perform” rating to an “underperform” rating in a report on Friday. Five equities research analysts have rated the stock with a Buy rating, twenty-seven have issued a Hold rating and seven have given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Reduce” and an average target price of $20.85.

Trade Desk Stock Performance

Shares of TTD stock opened at $13.80 on Friday. The firm has a market capitalization of $6.49 billion, a price-to-earnings ratio of 16.43, a price-to-earnings-growth ratio of 0.85 and a beta of 1.04. Trade Desk has a one year low of $12.83 and a one year high of $57.00. The company has a 50 day moving average price of $18.82 and a 200 day moving average price of $22.79.

Trade Desk (NASDAQ:TTD) last announced its quarterly earnings results on Thursday, May 7th. The technology company reported $0.08 earnings per share for the quarter, missing analysts’ consensus estimates of $0.32 by ($0.24). Trade Desk had a net margin of 13.61% and a return on equity of 16.19%. The company had revenue of $688.86 million during the quarter, compared to analyst estimates of $678.87 million. During the same quarter last year, the business earned $0.33 EPS. The firm’s revenue for the quarter was up 11.8% compared to the same quarter last year. As a group, equities analysts forecast that Trade Desk will post 1.17 EPS for the current fiscal year.

Insider Activity

In other news, Director Samantha Jacobson sold 53,681 shares of the business’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $21.14, for a total transaction of $1,134,816.34. Following the transaction, the director directly owned 13,099 shares of the company’s stock, valued at approximately $276,912.86. The trade was a 80.38% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 11.41% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Trade Desk

A number of institutional investors have recently added to or reduced their stakes in TTD. State Street Corp boosted its holdings in Trade Desk by 271.1% in the third quarter. State Street Corp now owns 36,354,274 shares of the technology company’s stock valued at $1,781,723,000 after purchasing an additional 26,559,005 shares during the last quarter. Invesco Ltd. increased its holdings in Trade Desk by 101.0% during the 3rd quarter. Invesco Ltd. now owns 6,807,971 shares of the technology company’s stock worth $333,659,000 after purchasing an additional 3,421,074 shares during the last quarter. Renaissance Technologies LLC increased its holdings in Trade Desk by 59.0% during the 1st quarter. Renaissance Technologies LLC now owns 5,440,541 shares of the technology company’s stock worth $123,446,000 after purchasing an additional 2,018,525 shares during the last quarter. Norges Bank acquired a new position in shares of Trade Desk in the 4th quarter valued at approximately $197,550,000. Finally, Federated Hermes Inc. raised its position in shares of Trade Desk by 1,041.1% in the 4th quarter. Federated Hermes Inc. now owns 4,710,847 shares of the technology company’s stock valued at $178,824,000 after purchasing an additional 4,298,009 shares in the last quarter. Institutional investors and hedge funds own 67.77% of the company’s stock.

Key Stories Impacting Trade Desk

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

• Positive Sentiment: Customer retention remained strong, and management highlighted ongoing product improvements and major advertising partnerships. CEO Jeff Green has also reportedly purchased shares, potentially signaling confidence in the long-term opportunity. TTD Stock Sinks Over 26% On Earnings Miss, Weak Outlook
• Neutral Sentiment: Analysts substantially reduced price targets and ratings following the release. Needham retained a Buy rating with a $19 target, while other targets ranged from $12 to $15, reflecting significant disagreement over whether the selloff creates value or signals a prolonged downturn. The Trade Desk downgraded by Susquehanna
• Negative Sentiment: Second-quarter revenue rose only 3% year over year to approximately $715 million, below the roughly $753 million consensus estimate. Adjusted EPS was 34 cents; although estimates vary, several reports characterized profit as below expectations and noted that EPS declined from 41 cents a year earlier. Trade Desk Stock Slumps After Revenue Misses Forecasts
• Negative Sentiment: Third-quarter revenue guidance of about $650 million was well below Wall Street expectations and implies a potential year-over-year revenue decline—the first such decline forecast since the company’s IPO. The outlook suggests that weak consumer spending, tariffs, oil prices and cautious spending by large brands are affecting advertising budgets. Trade Desk shares plunge on weak revenue, guidance miss
• Negative Sentiment: Management acknowledged execution gaps and a changing customer environment, while profitability also weakened: adjusted EBITDA fell to approximately $241 million and margins contracted. The rapid restructuring of the C-suite added to investor uncertainty about execution and leadership stability. TTD Q2 Earnings Call Flags Execution Gaps and Cautious Q3 Guide

About Trade Desk

The Trade Desk, Inc (NASDAQ: TTD) is a technology company that provides a demand-side platform (DSP) for programmatic digital advertising. Its platform enables advertisers, agencies and other buyers to plan, purchase and measure ad inventory across digital channels, including display, video, mobile, audio, native and connected TV. By centralizing real‑time bidding, audience targeting and inventory access, the company aims to help clients optimize media spend and reach audiences at scale across publishers and ad exchanges.

Founded in 2009 by Jeff Green and Dave Pickles, The Trade Desk grew from a focus on programmatic display into a global ad‑tech provider.