TTD

Trade DeskNasdaqGM:TTD Stock Report

Market Cap

US$35.0b

7D

0.5%

1Y

70.7%

Updated

16 Sep, 2021

Data

Company Financials +
TTD fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance6/6
Financial Health6/6
Dividends0/6

TTD Overview

The Trade Desk, Inc. operates as a technology company in the United States and internationally.

Share Price & News

How has Trade Desk's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TTD is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: TTD's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

0.5%

TTD

1.5%

US Software

-0.6%

US Market


1 Year Return

70.7%

TTD

43.5%

US Software

33.6%

US Market

Return vs Industry: TTD exceeded the US Software industry which returned 42.7% over the past year.

Return vs Market: TTD exceeded the US Market which returned 33.7% over the past year.


Shareholder returns

TTDIndustryMarket
7 Day0.5%1.5%-0.6%
30 Day-7.6%5.5%1.3%
90 Day20.2%13.8%5.3%
1 Year70.7%70.7%44.2%43.5%35.6%33.6%
3 Year411.1%411.1%144.5%138.2%60.9%51.0%
5 Year2,432.9%2,432.9%372.7%349.5%123.4%99.1%

Long-Term Price Volatility Vs. Market

How volatile is Trade Desk's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Trade Desk Fundamentals Summary

How do Trade Desk's earnings and revenue compare to its market cap?
TTD fundamental statistics
Market CapUS$35.04b
Earnings (TTM)US$263.49m
Revenue (TTM)US$1.04b

133.0x

P/E Ratio

33.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TTD income statement (TTM)
RevenueUS$1.04b
Cost of RevenueUS$197.78m
Gross ProfitUS$838.02m
ExpensesUS$574.53m
EarningsUS$263.49m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.56
Gross Margin80.91%
Net Profit Margin25.44%
Debt/Equity Ratio0%

How did TTD perform over the long term?

See historical performance and comparison

Valuation

Is Trade Desk undervalued compared to its fair value and its price relative to the market?

132.98x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TTD ($73.2) is trading above our estimate of fair value ($7.53)

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


Price To Earnings Ratio

PE vs Industry: TTD is poor value based on its PE Ratio (133x) compared to the US Software industry average (55.9x).

PE vs Market: TTD is poor value based on its PE Ratio (133x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: TTD is poor value based on its PEG Ratio (4.5x)


Price to Book Ratio

PB vs Industry: TTD is overvalued based on its PB Ratio (29.1x) compared to the US Software industry average (7.7x).


Future Growth

How is Trade Desk forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

29.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TTD's forecast earnings growth (29.8% per year) is above the savings rate (2%).

Earnings vs Market: TTD's earnings (29.8% per year) are forecast to grow faster than the US market (14.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TTD's revenue (22.5% per year) is forecast to grow faster than the US market (9.7% per year).

High Growth Revenue: TTD's revenue (22.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TTD's Return on Equity is forecast to be low in 3 years time (18%).


Past Performance

How has Trade Desk performed over the past 5 years?

52.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TTD has high quality earnings.

Growing Profit Margin: TTD's current net profit margins (25.4%) are higher than last year (17.6%).


Past Earnings Growth Analysis

Earnings Trend: TTD has become profitable over the past 5 years, growing earnings by 52.7% per year.

Accelerating Growth: TTD's earnings growth over the past year (120.4%) exceeds its 5-year average (52.7% per year).

Earnings vs Industry: TTD earnings growth over the past year (120.4%) exceeded the Software industry 22.1%.


Return on Equity

High ROE: TTD's Return on Equity (21.9%) is considered high.


Financial Health

How is Trade Desk's financial position?


Financial Position Analysis

Short Term Liabilities: TTD's short term assets ($2.3B) exceed its short term liabilities ($1.3B).

Long Term Liabilities: TTD's short term assets ($2.3B) exceed its long term liabilities ($262.0M).


Debt to Equity History and Analysis

Debt Level: TTD is debt free.

Reducing Debt: TTD has no debt compared to 5 years ago when its debt to equity ratio was 89.6%.

Debt Coverage: TTD has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: TTD has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Trade Desk current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TTD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TTD's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TTD's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TTD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TTD's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.7yrs

Average management tenure


CEO

Jeff Green (44 yo)

11.83yrs

Tenure

US$15,927,482

Compensation

Mr. Jeffrey Terry Green, also known as Jeff, is the Founder of The Trade Desk, Inc. and has been its Chief Executive Officer and president since November 2011. He serves as the Chairman of the Board at The...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD15.93M) is above average for companies of similar size in the US market ($USD11.33M).

Compensation vs Earnings: Jeff's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: TTD's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: TTD's board of directors are considered experienced (4.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.4%.


Top Shareholders

Company Information

The Trade Desk, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Trade Desk, Inc.
  • Ticker: TTD
  • Exchange: NasdaqGM
  • Founded: 2009
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$35.039b
  • Shares outstanding: 478.68m
  • Website: https://www.thetradedesk.com

Number of Employees


Location

  • The Trade Desk, Inc.
  • 42 North Chestnut Street
  • Ventura
  • California
  • 93001
  • United States

Listings


Biography

The Trade Desk, Inc. operates as a technology company in the United States and internationally. The company operates a self-service cloud-based platform that allows buyers to create, manage, and optimize d...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/16 22:55
End of Day Share Price2021/09/16 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.