Trade Desk (NASDAQ:TTD) Posts Earnings Results, Misses Estimates By $0.24 EPS

Trade Desk (NASDAQ:TTD) released its quarterly earnings results on Thursday, May 7th. The technology company reported $0.08 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.32 by ($0.24), Zacks reports. The firm had revenue of $688.86 million during the quarter, compared to the consensus estimate of $678.87 million. Trade Desk had a net margin of 14.57% and a return on equity of 16.91%. The business’s revenue for the quarter was up 11.8% compared to the same quarter last year. During the same quarter last year, the firm earned $0.33 earnings per share.

Here are the key takeaways from Trade Desk’s conference call:

• Q1 revenue of $689 million (+12% YoY) with $206 million adjusted EBITDA (30% margin); company guides Q2 revenue ≥$750 million and expects full‑year adjusted EBITDA margin of at least 40%.
• Product and channel momentum — video/CTV was a low‑50s% share, audio was the fastest‑growing channel, and the new Audience Unlimited test showed materially better economics (lower CPMs and data costs, 75% more efficient CPA and 2.7x conversion rate); Trade Desk also claims retail data coverage of >80% of top U.S. retailers vs Amazon <15%.
• Management flagged near‑term headwinds that drove a softer Q2 outlook — geopolitical uncertainty, tariffs, and category weakness (notably CPG, home & garden, food & drink) plus high U.S. concentration (~82% of revenue) may pressure near‑term growth.
• Strategic positioning emphasizes agentic AI, partnerships (Stagwell, Netflix, Disney, Spotify), and platform initiatives (OpenPath/OpenTTD) while remaining an independent, objective DSP — management views this as a durable competitive advantage for long‑term TAM capture.

Trade Desk Price Performance

NASDAQ:TTD traded up $0.46 during mid-day trading on Tuesday, reaching $19.89. The stock had a trading volume of 14,740,134 shares, compared to its average volume of 18,708,768. Trade Desk has a 12 month low of $19.06 and a 12 month high of $91.45. The stock has a market capitalization of $9.35 billion, a PE ratio of 22.60, a P/E/G ratio of 0.97 and a beta of 1.05. The stock has a 50-day simple moving average of $22.01 and a two-hundred day simple moving average of $28.78.

Trade Desk declared that its Board of Directors has initiated a share repurchase plan on Wednesday, February 25th that permits the company to repurchase $350.00 million in outstanding shares. This repurchase authorization permits the technology company to repurchase up to 2.9% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

Analysts Set New Price Targets

A number of equities analysts recently commented on the stock. William Blair lowered shares of Trade Desk from an “outperform” rating to a “market perform” rating in a research report on Friday, May 8th. Royal Bank Of Canada set a $33.00 price target on Trade Desk and gave the company an “outperform” rating in a research note on Friday, May 8th. HSBC lowered Trade Desk from a “buy” rating to a “reduce” rating and set a $20.00 price objective on the stock. in a research note on Monday, May 11th. Cantor Fitzgerald reiterated a “neutral” rating and set a $22.00 target price on shares of Trade Desk in a research report on Thursday, February 26th. Finally, Oppenheimer lowered Trade Desk from an “outperform” rating to a “market perform” rating in a report on Friday, May 8th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, twenty-one have given a Hold rating and five have assigned a Sell rating to the company. According to MarketBeat, Trade Desk has an average rating of “Hold” and a consensus target price of $33.91.

Insiders Place Their Bets

In other Trade Desk news, Director Samantha Jacobson sold 53,681 shares of the firm’s stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $21.14, for a total value of $1,134,816.34. Following the sale, the director owned 13,099 shares of the company’s stock, valued at approximately $276,912.86. This trade represents a 80.38% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 11.41% of the stock is owned by insiders.

Institutional Trading of Trade Desk

Several institutional investors and hedge funds have recently modified their holdings of the business. State Street Corp grew its position 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 acquiring an additional 26,559,005 shares during the last quarter. Invesco Ltd. lifted its holdings in shares of Trade Desk by 101.0% in the third quarter. Invesco Ltd. now owns 6,807,971 shares of the technology company’s stock worth $333,659,000 after acquiring an additional 3,421,074 shares during the last quarter. Federated Hermes Inc. boosted its stake 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. Voloridge Investment Management LLC boosted its stake in shares of Trade Desk by 676.6% in the 4th quarter. Voloridge Investment Management LLC now owns 4,208,083 shares of the technology company’s stock valued at $159,739,000 after purchasing an additional 3,666,189 shares in the last quarter. Finally, Northern Trust Corp grew its holdings in shares of Trade Desk by 34.3% during the 3rd quarter. Northern Trust Corp now owns 3,893,963 shares of the technology company’s stock valued at $190,843,000 after purchasing an additional 993,739 shares during the last quarter. 67.77% of the stock is currently owned by institutional investors.

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.