TTD stock: buy or sell?
Updated on:
December 6th, 2019
3
The Trade Desk, Inc., a technology company, operates a self-service cloud-based platform that enables advertising buyers to create, manage, and optimize data-driven digital advertising campaigns using their own teams in the United States and internationally.
Should I buy TTD stock?
Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Having a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.Currently, The Trade Desk stock doesn't match any of these trading strategies, so our recommendation is not to buy.
| Buy setup | Elegible |
|---|---|
| New all-time high | No |
| New 52 week high | No |
| Price crossing up 200d MA | No |
| 100d MA crossing up 200d MA | No |
Is The Trade Desk stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.
At Stocks2.com, we detected 15 ratings published for TTD stock in the last month. The general sentiment of these ratings is bullish for TTD stock, with 8 positive ratings.| Date | Analyst / Broker | Previous rating | Current rating |
| 2019-9-26 | Nomura | Reduce | Neutral |
| 2019-8-9 | SunTrust Banks | n/a | Buy |
| 2019-8-9 | Royal Bank of Canada | n/a | Sector Perform |
| 2019-8-9 | Raymond James | Outperform | Market Perform |
| 2019-8-9 | Oppenheimer | n/a | Outperform |
| 2019-8-9 | Nomura | n/a | Reduce |
| 2019-7-24 | Citigroup | Buy | Neutral |
| 2019-7-18 | Jefferies Financial Group | Buy | Hold |
| 2019-6-12 | Nomura | Neutral | Reduce |
| 2019-5-9 | SunTrust Banks | n/a | Buy |
| 2019-5-9 | Raymond James | n/a | Outperform |
| 2019-5-14 | Citigroup | n/a | Buy |
| 2019-3-8 | Oppenheimer | n/a | Outperform |
| 2019-3-8 | CIBC | Outperform | Outperform |
| 2019-3-8 | CIBC | Outperform | Outperform |
TTD stock analysis
Daily outlook
Shares of The Trade Desk jumped a remarkable 2.88% and closed at $247.35.
Shares of The Trade Desk jumped a remarkable 2.88% and closed at $247.35. For the last 25 days when TTD stock price broke up the SMA200d line, it gained $51.82 (26.50%). TTD is retaking the upward trend marking a new rising bottom heading to break out over $267.64. On August, TTD hit new all time highs, pushing higher previous ATH of $279.71 recorded on July. New ATHs are usual entry points for many trading setups as there aren't higher resistences.
Weekly outlook
After boosting an astounding 7.45% in a week last week, The Trade Desk closed this week at $247.35 and collapsed a frightening -6.07%.
The Trade Desk stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Since mid November when TTD stock price broke up the SMA40w line, it gained $51.82 (26.50%). Far behind is the all-time high The Trade Desk recorded early August and since then the price is -14.56% below that top.
TTD stock price history
TTD IPO was on September 21st, 2016 at $28.75 per share1. Since then, TTD stock surged a 760.30%, with an average of 253.40% per year. If you had invested right after TTD's IPO a $1,000 in TTD stock in 2016, it would worth $7,603.00 today.
1: Adjusted price after possible price splits or reverse-splits.
TTD stock historical price chart
TTD stock reached all-time highs on August with a price of $289.51.
TTD stock price target is $218.60
Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last 30 days we found 14 price targets for TTD stock:| Date | Analyst / Broker | Action | Previous target | Current target | Diff |
| 2019-9-26 | Nomura | Upgrades | $165.00 | $175.00 | 6.1% |
| 2019-8-9 | SunTrust Banks | Raises Target | $206.00 | $285.00 | 38.3% |
| 2019-8-9 | Royal Bank of Canada | Raises Target | n/a | $250.00 | - |
| 2019-8-9 | Raymond James | Downgrades | n/a | $210.00 | - |
| 2019-8-9 | Oppenheimer | Raises Target | $210.00 | $290.00 | 38.1% |
| 2019-8-9 | Nomura | Raises Target | $144.00 | $165.00 | 14.6% |
| 2019-7-24 | Citigroup | Downgrades | $205.00 | $250.00 | 22% |
| 2019-7-18 | Jefferies Financial Group | Downgrades | $225.00 | $250.00 | 11.1% |
| 2019-6-12 | Nomura | Reiterates | n/a | $144.00 | - |
| 2019-5-9 | SunTrust Banks | Raises Target | $195.00 | $206.00 | 5.6% |
| 2019-5-14 | Citigroup | Reiterates | $195.00 | $205.00 | 5.1% |
| 2019-3-8 | Oppenheimer | Raises Target | $180.00 | $210.00 | 16.7% |
| 2019-3-8 | CIBC | Reiterates | $180.00 | $210.00 | 16.7% |
| 2019-3-8 | CIBC | Raises Target | $180.00 | $210.00 | 16.7% |
| (in average) | $189.50 | $218.60 | 15.0% |
Financials and fundamental analysis
Earnings date and Earnings per Share
Since last May, when The Trade Desk posted its last earnings report, it . As soon as we get its posted EPS from the earnings report, we will extend this report.| Quarter | Reporting date | Estimated EPS | Actual EPS | Surprise |
|---|---|---|---|---|
| 2017-Q1 | - | n/a | n/a | n/a |
| 2017-Q2 | - | n/a | n/a | n/a |
| 2017-Q3 | - | n/a | n/a | n/a |
| 2017-Q4 | 2018-02-22 | 0.42 | 0.38 | -9.5% |
| 2018-Q1 | 2018-05-10 | 0.01 | 0.2 | 1,900.0% |
| 2018-Q2 | 2018-08-09 | 0.32 | 0.43 | 34.4% |
| 2018-Q3 | 2018-11-08 | 0.31 | 0.44 | 41.9% |
| 2018-Q4 | 2019-02-21 | 0.56 | 0.84 | 50.0% |
| 2019-Q1 | 2019-05-09 | n/a | n/a | n/a |
| 2019-Q2 | - | n/a | n/a | n/a |
Annual financial results
Compared to 2017, last anual sales report draw an outstanding growth of 54.86% to $477.29 M USD. However, its profit margin (compared to sales) stepped up to 18.47%, that is $88.14 million. To have an up to date picture of the financial situation of The Trade Desk, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual The Trade Desk TTM sales up to were $391.63 and earnings were $79.07 million USD. When comparing this TTM figures with the last reported annuality, we can review The Trade Desk business evolution since December 2018: Annual turnover up to , compared to lastest yearly report, collapsed a hair-raising -17.95%. In contrast, profit margin (net income/revenues) gained at 18.47%.| Year | Sales | YoY | Income/(margin) | YoY |
|---|---|---|---|---|
| 2014 | $45 M | - | $0.01 M0.0% | - |
| 2015 | $114 M | 155.54% | $16 M14.0% | 318,480.00% |
| 2016 | $203 M | 78.26% | $20 M10.1% | 28.58% |
| 2017 | $308 M | 51.89% | $51 M16.5% | 148.01% |
| 2018 | $477 M | 54.86% | $88 M18.5% | 73.51% |
| TTM | $392 M | -17.95% | $79 M20.2% | -10.29% |
Quarterly financial results
The Trade Desk reported million in revenues for 2019-Q1, a -100.00% decline compared to previous quarter. Reported quarter earnings marked million with a profit margin of . Profit margin stayed constant a 0.00% compared to previous quarter when profit margin was 24.57%. When comparing sales to same quarter last year, The Trade Desk sales marked a bloodcurdling slide and plunged a -100.00%.| Quarter | Sales1 | QoQ2 | Income1/(margin) | QoQ2 |
|---|---|---|---|---|
| 2017-Q1 | $53 M | - | $5 M9.2% | - |
| 2017-Q2 | $73 M | 36.46% | $19 M25.9% | 283.91% |
| 2017-Q3 | $79 M | 9.08% | $10 M12.9% | -45.73% |
| 2017-Q4 | $103 M | 29.26% | $17 M16.4% | 64.35% |
| 2018-Q1 | $86 M | -16.54% | $9 M10.6% | -46.05% |
| 2018-Q2 | $112 M | 31.13% | $19 M17.2% | 113.26% |
| 2018-Q3 | $119 M | 5.78% | $20 M17.1% | 4.91% |
| 2018-Q4 | $160 M | 35.05% | $39 M24.6% | 94.34% |
The Trade Desk ownership
When you are planning to invest in shares of a company, it's always worth to check its ownership structure.Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For The Trade Desk, 10.24% of all outstanding shares are owned by its staff.
In case of The Trade Desk stock, 0.00% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for TTD stock account 0.00%, no big difference from last month.
For a better understanding, the next table shows ownership data compared to other related companies:
| TTD | MRIN | |
|---|---|---|
| Market cap | $9.9 B | $9.6 M |
| Total shares | 39.8 M | 6.6 M |
| Float shares | 37.9 M | 4.5 M |
| - Institutional holdings (%) | 0.0% | 34.6% |
| - Insider holdings (%) | 10.2% | 17.8% |
| Shares in short selling | 0.0% | 0.0% |
TTD summary
| Friday, December 6th, 2019 | |
|---|---|
| Open | $255.57 |
| Close | $247.35 |
| Day range | $245.72 - $257.40 |
| Previous close | $240.42 |
| Session gain | 2.88% |
| Average true range | $11.46 |
| 50d mov avg | $212.91 |
| 100d mov avg | $226.24 |
| 200d mov avg | $219.94 |
| Daily pattern | lb02a |
| Weekly pattern | lt06a |
The Trade Desk performance
To measure stock performance is always good to benchmark with competitors or related stocks. We compared The Trade Desk against Array in the following table:| Stock | 3m | 6m | 12m |
|---|---|---|---|
| TTDThe Trade Desk | 6.10% | 0.94% | 85.18% |
| MRINMarin Software | -42.46% | -40.82% | -48.03% |