Taboola.com (NASDAQ:TBLA) Shares Down 19.4% After Analyst Downgrade

Key Points

• Taboola shares fell 19.4% after Rosenblatt Securities downgraded the stock from Buy to Neutral, setting a $2.80 price target; shares last traded at $2.21.
• Third-quarter results were mixed: adjusted EBITDA rose 16% and EPS of $0.14 beat the $0.06 consensus, but revenue of $462.3 million missed estimates and declined 7% year over year.
• Other analysts have also reduced price targets, though the stock retains a MarketBeat average rating of “Moderate Buy” and an average target of $4.33.

Taboola.com Ltd. (NASDAQ:TBLA - Get Free Report)'s stock price fell 19.4% on Thursday after Rosenblatt Securities downgraded the stock from a buy rating to a neutral rating. Rosenblatt Securities now has a $2.80 price target on the stock. Taboola.com traded as low as $2.25 and last traded at $2.2090. 2,111,034 shares traded hands during trading, a decline of 9% from the average session volume of 2,323,395 shares. The stock had previously closed at $2.74.

A number of other equities analysts have also recently weighed in on the company. Wall Street Zen cut Taboola.com from a "strong-buy" rating to a "hold" rating in a report on Saturday, August 8th. Benchmark lowered their price target on Taboola.com from $6.50 to $5.50 and set a "buy" rating for the company in a report on Thursday, August 6th. TD Cowen dropped their target price on Taboola.com from $6.00 to $5.00 and set a "buy" rating on the stock in a research report on Monday, August 10th. Weiss Ratings cut Taboola.com from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday, October 12th. Finally, Needham & Company LLC dropped their price objective on Taboola.com from $5.50 to $4.00 and set a "buy" rating on the stock in a research note on Thursday. Three analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $4.33.

Key Taboola.com News

Here are the key news stories impacting Taboola.com this week:

• Positive Sentiment: Taboola reported third-quarter adjusted EBITDA growth of 16% and earnings per share of $0.14, above the $0.06 consensus cited by MarketBeat. The company also said its full-page monetization product is live across NBCUniversal and Fox News, and that its Dianomi acquisition is expected to close before year-end. Taboola Q3 2026 financial results
• Neutral Sentiment: Taboola forecast fourth-quarter revenue of $477 million to $493 million. Needham lowered its price target from $5.50 to $4.00 but maintained a Buy rating, indicating continued optimism alongside reduced expectations. Q4 revenue outlook Needham price-target change
• Negative Sentiment: Third-quarter revenue of $462.3 million missed analysts’ $466.3 million expectation and fell 7% year over year, tempering the stronger EBITDA and earnings results. Rosenblatt Securities also downgraded the stock from Buy to Neutral, despite setting a $2.80 target. Taboola Q3 results Rosenblatt rating

Institutional Trading of Taboola.com

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. State Street Corp lifted its stake in shares of Taboola.com by 355.0% during the 2nd quarter. State Street Corp now owns 3,944,961 shares of the company's stock worth $19,725,000 after buying an additional 3,077,973 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in Taboola.com by 14.3% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 1,719,172 shares of the company's stock valued at $5,329,000 after purchasing an additional 214,758 shares during the last quarter. Globeflex Capital L P boosted its stake in shares of Taboola.com by 16.4% during the first quarter. Globeflex Capital L P now owns 1,907,015 shares of the company's stock valued at $5,912,000 after purchasing an additional 268,105 shares in the last quarter. Hsbc Holdings PLC bought a new position in shares of Taboola.com during the fourth quarter valued at $887,000. Finally, Prescott Group Capital Management L.L.C. acquired a new stake in shares of Taboola.com in the third quarter valued at about $1,709,000. 42.89% of the stock is owned by institutional investors.

Taboola.com Stock Performance

The company has a market capitalization of $560.97 million, a P/E ratio of 5.61 and a beta of 1.48. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.11 and a current ratio of 1.11. The stock's 50 day moving average price is $3.53 and its 200 day moving average price is $4.00.

Taboola.com Company Profile

Taboola.com Ltd. is a technology company that operates a digital advertising and content-discovery platform. Its technology uses data and machine learning to recommend articles, videos, products and other content to users across publisher websites, mobile applications and digital devices.

Taboola provides publishers with tools to increase audience engagement and generate revenue, including recommendation modules, personalized content feeds, video solutions and commerce-related discovery products.

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