The Trade Desk, Inc.

NasdaqGM:TTD Stock Report

Market Cap: US$58.3b

Trade Desk Valuation

Is TTD undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TTD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TTD ($118.15) is trading above our estimate of fair value ($103.8)

Significantly Below Fair Value: TTD is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TTD?

Key metric: As TTD is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for TTD. This is calculated by dividing TTD's market cap by their current revenue.
What is TTD's PS Ratio?
PS Ratio25.2x
SalesUS$2.31b
Market CapUS$58.32b

Price to Sales Ratio vs Peers

How does TTD's PS Ratio compare to its peers?

The above table shows the PS ratio for TTD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.5x
OMC Omnicom Group
1.2x3.9%US$18.9b
IPG Interpublic Group of Companies
1.1x1.3%US$10.1b
MGNI Magnite
3.4x6.4%US$2.2b
STGW Stagwell
0.3x5.0%US$1.9b
TTD Trade Desk
25.2x17.6%US$58.3b

Price-To-Sales vs Peers: TTD is expensive based on its Price-To-Sales Ratio (25.2x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does TTD's PS Ratio compare vs other companies in the US Media Industry?

36 CompaniesPrice / SalesEstimated GrowthMarket Cap
PARA Paramount Global
0.3x1.5%US$7.70b
DISH DISH Network
0.2x-1.3%US$3.08b
ATUS Altice USA
0.1x-2.4%US$1.14b
ADV Advantage Solutions
0.2x-2.5%US$994.34m
TTD 25.2xIndustry Avg. 1.0xNo. of Companies36PS01.22.43.64.86+
36 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: TTD is expensive based on its Price-To-Sales Ratio (25.2x) compared to the US Media industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is TTD's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TTD PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio25.2x
Fair PS Ratio6.9x

Price-To-Sales vs Fair Ratio: TTD is expensive based on its Price-To-Sales Ratio (25.2x) compared to the estimated Fair Price-To-Sales Ratio (6.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst TTD forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$118.15
US$126.45
+7.0%
21.4%US$150.00US$40.00n/a32
Nov ’25US$119.19
US$117.09
-1.8%
21.7%US$150.00US$40.00n/a32
Oct ’25US$108.72
US$108.53
-0.2%
20.0%US$135.00US$40.00n/a30
Sep ’25US$104.53
US$106.96
+2.3%
20.4%US$135.00US$39.00n/a28
Aug ’25US$87.75
US$101.38
+15.5%
19.5%US$120.00US$39.00n/a29
Jul ’25US$97.97
US$99.34
+1.4%
19.4%US$115.00US$37.00n/a29
Jun ’25US$92.78
US$98.61
+6.3%
20.3%US$115.00US$35.00n/a27
May ’25US$85.41
US$94.74
+10.9%
20.9%US$115.00US$35.00n/a27
Apr ’25US$87.31
US$95.28
+9.1%
20.6%US$115.00US$35.00n/a28
Mar ’25US$83.89
US$94.75
+12.9%
21.3%US$115.00US$30.00n/a28
Feb ’25US$67.21
US$77.94
+16.0%
20.8%US$100.00US$30.00n/a29
Jan ’25US$71.96
US$75.86
+5.4%
21.9%US$100.00US$30.00n/a28
Dec ’24US$71.60
US$73.56
+2.7%
24.4%US$100.00US$30.00n/a28
Nov ’24US$70.76
US$86.56
+22.3%
24.7%US$105.00US$28.00US$119.1928
Oct ’24US$78.15
US$86.25
+10.4%
25.2%US$105.00US$28.00US$108.7227
Sep ’24US$79.93
US$85.72
+7.2%
25.6%US$105.00US$28.00US$104.5326
Aug ’24US$90.05
US$78.32
-13.0%
26.9%US$105.00US$28.00US$87.7525
Jul ’24US$77.22
US$72.95
-5.5%
21.9%US$90.00US$28.00US$97.9722
Jun ’24US$73.26
US$71.68
-2.2%
21.9%US$90.00US$26.00US$92.7822
May ’24US$62.94
US$67.24
+6.8%
22.4%US$90.00US$26.00US$85.4121
Apr ’24US$60.91
US$67.18
+10.3%
21.9%US$90.00US$26.00US$87.3122
Mar ’24US$55.41
US$68.86
+24.3%
19.6%US$90.00US$27.00US$83.8921
Feb ’24US$52.31
US$59.48
+13.7%
22.8%US$90.00US$27.00US$67.2121
Jan ’24US$44.83
US$61.10
+36.3%
21.0%US$90.00US$27.00US$71.9620
Dec ’23US$51.91
US$62.88
+21.1%
20.7%US$90.00US$27.00US$71.6017
Nov ’23US$53.08
US$78.81
+48.5%
14.6%US$100.00US$60.00US$70.7616

Analyst Forecast: Target price is less than 20% higher than the current share price.

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