Taboola.com Ltd. (NASDAQ:TBLA) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus on Taboola, with five buy ratings and three holds; the average 12-month price target is $5.90 versus a recent share price of $3.84.
• Taboola reported stronger profitability in Q2, including a 22.8% increase in adjusted EBITDA to $55.5 million, and raised full-year ex-TAC gross profit and adjusted EBITDA guidance.
• Despite improved profitability, revenue guidance came in below analyst expectations, cash flow declined, and securities-law investigations plus a major shareholder’s 12 million-share sale add risk for investors.

Taboola.com Ltd. (NASDAQ:TBLA - Get Free Report) has received a consensus rating of "Moderate Buy" from the eight brokerages that are currently covering the company, Marketbeat.com reports. Three analysts have rated the stock with a hold rating and five have issued a buy rating on the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $5.90.

Several brokerages recently weighed in on TBLA. Rosenblatt Securities reaffirmed a "buy" rating and set a $7.00 target price on shares of Taboola.com in a research note on Thursday. Wall Street Zen raised shares of Taboola.com from a "buy" rating to a "strong-buy" rating in a report on Saturday, May 9th. Benchmark raised their price objective on shares of Taboola.com from $4.50 to $6.50 and gave the company a "buy" rating in a research report on Thursday, May 7th. Weiss Ratings restated a "hold (c)" rating on shares of Taboola.com in a research report on Friday, July 17th. Finally, Needham & Company LLC lifted their price objective on shares of Taboola.com from $4.50 to $5.50 and gave the stock a "buy" rating in a research note on Thursday, May 7th.

Taboola.com Stock Performance

Shares of NASDAQ TBLA opened at $3.84 on Thursday. The stock has a fifty day moving average price of $4.98 and a two-hundred day moving average price of $4.18. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.13 and a current ratio of 1.13. The firm has a market cap of $934.23 million, a P/E ratio of 10.11 and a beta of 1.50. Taboola.com has a 1 year low of $2.84 and a 1 year high of $5.71.

Taboola.com (NASDAQ:TBLA - Get Free Report) last posted its quarterly earnings data on Wednesday, May 6th. The company reported $0.20 EPS for the quarter, topping analysts' consensus estimates of ($0.01) by $0.21. The company had revenue of $466.39 million for the quarter, compared to the consensus estimate of $453.30 million. Taboola.com had a return on equity of 10.72% and a net margin of 5.64%.The company's quarterly revenue was up 9.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.03) EPS. Research analysts forecast that Taboola.com will post 0.41 EPS for the current fiscal year.

Key Headlines Impacting Taboola.com

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

• Positive Sentiment: Taboola reported Q2 revenue of $476.8 million, up 2.4% year over year, while ex-TAC gross profit rose 11.8% to $192.4 million. Adjusted EBITDA increased 22.8% to $55.5 million, and the company returned to GAAP net income of $4.3 million from a $4.3 million loss a year earlier. Taboola Reports Strong Q2 2026 Financial Results
• Positive Sentiment: Management raised its full-year ex-TAC gross profit guidance to $772 million-$783 million and Adjusted EBITDA guidance to $228 million-$240 million, citing momentum from its Realize platform, Fox News partnership and other strategic wins. Taboola Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: Taboola announced participation in upcoming investor conferences, which could give management an opportunity to explain the revised outlook and address investor concerns. Taboola to Participate in Upcoming Investor Conferences
• Negative Sentiment: Q2 revenue fell short of analyst expectations near $499 million, and third-quarter revenue guidance of $460 million-$473 million was well below consensus near $520 million. Full-year revenue guidance of $1.93 billion-$1.956 billion also implied limited growth and was below prior expectations. Taboola Misses Q2 Revenue Estimates
• Negative Sentiment: Operating cash flow declined to $31.3 million from $47.4 million, while free cash flow fell to $17.3 million from $34.2 million, raising concerns about cash generation despite stronger Adjusted EBITDA.
• Negative Sentiment: Several law firms announced investigations into whether Taboola violated federal securities laws in connection with its earnings disclosures and guidance revisions. These notices may increase legal, reputational and headline risk, although no wrongdoing has been established. Securities Fraud Investigation Into Taboola TBLA Investor Alert

Insiders Place Their Bets

In related news, major shareholder Apollo Management Holdings Gp, sold 12,000,000 shares of the firm's stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $4.40, for a total transaction of $52,800,000.00. Following the completion of the sale, the insider directly owned 18,039,644 shares in the company, valued at approximately $79,374,433.60. This trade represents a 39.95% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 20.60% of the company's stock.

Institutional Investors Weigh In On Taboola.com

Institutional investors and hedge funds have recently modified their holdings of the stock. Arrowstreet Capital Limited Partnership increased its position in shares of Taboola.com by 14.3% in the first quarter. Arrowstreet Capital Limited Partnership now owns 1,719,172 shares of the company's stock worth $5,329,000 after acquiring an additional 214,758 shares in the last quarter. Hsbc Holdings PLC acquired a new stake in Taboola.com during the 4th quarter valued at $887,000. Globeflex Capital L P raised its stake in Taboola.com by 16.4% during the 1st 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 during the period. LSV Asset Management lifted its holdings in shares of Taboola.com by 31.5% in the fourth quarter. LSV Asset Management now owns 2,608,389 shares of the company's stock valued at $12,025,000 after purchasing an additional 624,831 shares in the last quarter. Finally, Nano Cap New Millennium Growth Fund L P acquired a new stake in shares of Taboola.com in the fourth quarter worth $2,305,000. Institutional investors and hedge funds own 42.89% of the company's stock.

About Taboola.com

Taboola.com NASDAQ: TBLA operates a leading content discovery platform that connects advertisers with premium publishers through native advertising and personalized recommendations. The company’s technology analyzes user behavior and contextual information to deliver promoted content, video, and product recommendations to audiences across a network of thousands of websites and mobile apps. By leveraging machine learning and big data, Taboola helps publishers generate incremental revenue while enabling advertisers to reach engaged users at scale.

Taboola’s suite of products includes feed placements, video recommendations, and sponsored content units designed to blend seamlessly with editorial pages.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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