Bank of America Reaffirms "Underperform" Rating for Trade Desk (NASDAQ:TTD)

Key Points

• Bank of America reiterated a "neutral" rating for Trade Desk, reducing its price target from $130.00 to $55.00, indicating a potential downside of 1.51% based on current stock prices.
• Trade Desk's latest earnings report showed a missed EPS estimate of $0.41 compared to the expected $0.42, although revenues increased by 18.7% year-over-year.
• Despite the neutral rating from Bank of America, overall sentiment remains positive, with the stock receiving twenty-four "buy" ratings and marked as a "Moderate Buy" by analysts.

Trade Desk (NASDAQ:TTD - Get Free Report)'s stock had its "underperform" rating restated by equities research analysts at Bank of America in a report released on Friday, MarketBeat Ratings reports. They presently have a $55.00 price objective on the technology company's stock, down from their prior price objective of $130.00. Bank of America's price objective points to a potential upside of 3.44% from the stock's previous close.

Other equities analysts have also issued research reports about the company. Citizens Jmp reduced their target price on Trade Desk from $115.00 to $100.00 and set an "outperform" rating for the company in a research note on Friday, May 9th. Oppenheimer increased their price objective on Trade Desk from $80.00 to $110.00 and gave the company an "outperform" rating in a report on Tuesday, July 29th. Arete Research raised Trade Desk to a "strong sell" rating in a report on Monday, July 28th. Rosenblatt Securities upped their target price on Trade Desk from $77.00 to $78.00 and gave the company a "buy" rating in a research report on Friday, June 6th. Finally, KeyCorp raised their price target on shares of Trade Desk from $80.00 to $95.00 and gave the stock an "overweight" rating in a research report on Thursday, July 17th. Three equities research analysts have rated the stock with a sell rating, eleven have issued a hold rating and twenty-one have assigned a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $89.33.

Trade Desk Stock Down 2.0%

Shares of Trade Desk stock opened at $53.17 on Friday. The company has a 50 day moving average price of $75.87 and a 200 day moving average price of $72.23. The firm has a market capitalization of $26.13 billion, a P/E ratio of 64.06, a PEG ratio of 2.46 and a beta of 1.37. Trade Desk has a 52 week low of $42.96 and a 52 week high of $141.53.

Trade Desk (NASDAQ:TTD - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The technology company reported $0.18 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.42 by ($0.24). The company had revenue of $694.04 million for the quarter, compared to analyst estimates of $686.00 million. Trade Desk had a net margin of 15.57% and a return on equity of 15.19%. The company's revenue for the quarter was up 18.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.39 EPS. As a group, research analysts anticipate that Trade Desk will post 1.06 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Trade Desk news, insider Jay R. Grant sold 51,290 shares of the stock in a transaction on Thursday, August 7th. The shares were sold at an average price of $91.18, for a total transaction of $4,676,622.20. Following the transaction, the insider directly owned 218,246 shares of the company's stock, valued at $19,899,670.28. This trade represents a 19.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 10.00% of the company's stock.

Institutional Trading of Trade Desk

A number of institutional investors and hedge funds have recently modified their holdings of TTD. Brighton Jones LLC increased its position in shares of Trade Desk by 3.8% during the fourth quarter. Brighton Jones LLC now owns 4,586 shares of the technology company's stock worth $539,000 after purchasing an additional 169 shares in the last quarter. Cerity Partners LLC boosted its stake in Trade Desk by 2.1% during the 4th quarter. Cerity Partners LLC now owns 75,123 shares of the technology company's stock worth $8,681,000 after purchasing an additional 1,559 shares during the last quarter. Bank of Nova Scotia boosted its stake in Trade Desk by 1,112.2% during the 4th quarter. Bank of Nova Scotia now owns 84,989 shares of the technology company's stock worth $9,989,000 after purchasing an additional 77,978 shares during the last quarter. Bessemer Group Inc. grew its holdings in shares of Trade Desk by 3.2% during the fourth quarter. Bessemer Group Inc. now owns 8,119 shares of the technology company's stock worth $955,000 after buying an additional 251 shares in the last quarter. Finally, F M Investments LLC acquired a new stake in shares of Trade Desk in the fourth quarter valued at about $207,000. Hedge funds and other institutional investors own 67.77% of the company's stock.

Trade Desk Company Profile

The Trade Desk, Inc operates as a technology company in the United States and internationally. The company offers a self-service cloud-based platform that allows buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns across various ad formats and channels, including video, display, audio, digital-out-of-home, native, and social on various devices, such as computers, mobile devices, televisions, and streaming devices.