Entering text into the input field will update the search result below

The Trade Desk: Smashing Expectations Since The IPO

Jul. 14, 2017 10:35 AM ETThe Trade Desk, Inc. (TTD)25 Comments
Off His Game profile picture
Off His Game


  • Since its IPO, TTD has been consistently performing above expectations with growth better than expected.
  • Native spending and Connected TV are increasing, and TTD is poised to take advantage through its DSP/DMP platform.
  • The shares trade at a fair price with plenty of upside potential on conservative growth estimates and modest analyst coverage.

With the bull market back in full swing since the 2016 election in November, growth stocks have outperformed the general market. To an even greater degree, tech growth has proved extremely strong with names like Square (SQ), Nvidia (NVDA), and Shopify (SHOP) making strong new highs in a changing paradigm. A lesser known of these super growth names is The Trade Desk (NASDAQ:TTD) which provides a platform for advertisers to buy ads. The shift to online and digital advertising such as mobile ads has been staggering with TTD increasing mobile video over 200% from Q1 2016 to 2017. Think Facebook (FB) or Twitter (TWTR)) ads and how large the growth in this area will be the next several years. One of the keys of these two social media giants is Native advertising. This is when the advertisements are the type that doesn’t appear to be at first glance such as those in your Facebook news feed. The Trade Desk launched its Native platform in Q2 2016 and managed to beat all of 2016’s native spend alone in Q1 2017. TTD is continuing to aggressively grow in this area with Native video and content partnerships.

TTD IPO was Sept 21 2016

Source: WSJ

TTD has the size advantage and the platform advantages to dominate in these growing areas. The Data management platform TTD has is advanced, allowing the advertiser to break down audiences and their trends. This is a base product as part of the great demand platform, which gives those advertisers a huge edge in using The Trade Desk. It has made the investments for 2017 and far beyond which will pay great dividends for its shareholders. The advantages TTD has over many of its competitors in the space have given it a tremendous amount of growth with revenue increasing from $113.8M in 2015 to $202.9M for 2016. TTD has provided conservative guidance of $291M for

This article was written by

Off His Game profile picture
Don't let the name fool you. I have worked professionally in Finance in the Canada for over 10 years helping clients achieve far above market returns. I am focused on Canadian stocks, Technology and growth stocks. The key to long term returns are disruptive companies that change the landscape of their industry. I focus on Mid-Cap companies with strong management and high growth to attain alpha. I also buy swing positions as well for quality companies when they return to their longer term averages - combine technical setups with solid fundamentals to beat the market. Follow me to get notified on any new article posting - the market moves faster than ever.

Analyst’s Disclosure: I am/we are long TTD. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.