Trade Desk (NASDAQ:TTD) Lowered to "Strong Sell" Rating by Zacks Research

Key Points

• Zacks Research downgraded Trade Desk to “strong sell” from “hold,” adding to a broadly cautious analyst outlook. MarketBeat data shows 4 Buy, 25 Hold and 10 Sell ratings, with an average rating of “Reduce” and a $19.33 price target.
• Trade Desk shares opened at $13.49, near their 52-week low of $12.83 and well below the 52-week high of $56.39. The stock’s 50-day and 200-day moving averages were $18.33 and $22.23, respectively.
• Institutional investors own 67.77% of the company, while an insider recently sold 53,681 shares for about $1.13 million, reducing her ownership by 80.38%.

Trade Desk (NASDAQ:TTD - Get Free Report) was downgraded by equities researchers at Zacks Research from a "hold" rating to a "strong sell" rating in a report released on Tuesday,Zacks.com reports.

A number of other equities research analysts have also recently commented on the company. Benchmark reissued a "buy" rating and set a $20.00 price target (down from $30.00) on shares of Trade Desk in a report on Monday, August 3rd. Piper Sandler reiterated a "neutral" rating and set a $24.00 target price on shares of Trade Desk in a research report on Friday, May 8th. Rosenblatt Securities decreased their target price on Trade Desk from $24.00 to $12.00 and set a "neutral" rating on the stock in a research note on Friday, August 7th. Guggenheim cut Trade Desk from a "buy" rating to a "neutral" rating and lowered their price target for the stock from $25.00 to $12.00 in a report on Friday, August 7th. Finally, Wolfe Research restated an "outperform" rating and issued a $16.00 price target on shares of Trade Desk in a research note on Friday, August 7th. Four investment analysts have rated the stock with a Buy rating, twenty-five have assigned a Hold rating and ten have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Trade Desk presently has an average rating of "Reduce" and an average price target of $19.33.

Trade Desk Stock Performance

TTD opened at $13.49 on Tuesday. The stock has a market cap of $6.34 billion, a price-to-earnings ratio of 16.06, a price-to-earnings-growth ratio of 0.69 and a beta of 1.04. The firm's fifty day moving average is $18.33 and its 200 day moving average is $22.23. Trade Desk has a fifty-two week low of $12.83 and a fifty-two week high of $56.39.

Insider Activity at Trade Desk

In other news, Director Samantha Jacobson sold 53,681 shares of the firm's stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $21.14, for a total transaction of $1,134,816.34. Following the completion of the transaction, the director owned 13,099 shares in the company, valued at $276,912.86. This trade represents a 80.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 11.41% of the stock is owned by company insiders.

Hedge Funds Weigh In On Trade Desk

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TTD. State Street Corp raised its holdings in shares of Trade Desk by 271.1% during the 3rd quarter. State Street Corp now owns 36,354,274 shares of the technology company's stock worth $1,781,723,000 after acquiring an additional 26,559,005 shares in the last quarter. Invesco Ltd. lifted its position in Trade Desk by 101.0% during the third quarter. Invesco Ltd. now owns 6,807,971 shares of the technology company's stock valued at $333,659,000 after purchasing an additional 3,421,074 shares during the last quarter. Renaissance Technologies LLC lifted its position in Trade Desk by 59.0% during the first quarter. Renaissance Technologies LLC now owns 5,440,541 shares of the technology company's stock valued at $123,446,000 after purchasing an additional 2,018,525 shares during the last quarter. Norges Bank purchased a new position in shares of Trade Desk in the 4th quarter worth $197,550,000. Finally, Federated Hermes Inc. grew its stake in shares of Trade Desk by 1,041.1% in the 4th quarter. Federated Hermes Inc. now owns 4,710,847 shares of the technology company's stock worth $178,824,000 after buying an additional 4,298,009 shares in the last quarter. 67.77% of the stock is owned by institutional investors.

Trade Desk News Summary

Here are the key news stories impacting Trade Desk this week:

• Positive Sentiment: TTD’s valuation has fallen to roughly five-year lows, which could attract investors if management can stabilize growth. Longer-term opportunities in connected TV and retail media remain potential catalysts. Is TTD Worth Buying as Cheap Valuation Clashes With Execution Risk?
• Neutral Sentiment: Unusually large options activity indicates elevated investor interest and potentially higher volatility, but it does not establish a clear directional signal. Trade Desk Target of Unusually Large Options Trading
• Neutral Sentiment: DA Davidson maintained a “Neutral” rating, while Morgan Stanley issued a “Hold,” suggesting analysts see limited near-term upside pending evidence of an operating recovery. DA Davidson Reaffirms Neutral Rating Trade Desk Receives a Hold from Morgan Stanley
• Negative Sentiment: Second-quarter revenue rose only 3% year over year to $715.1 million and missed Wall Street expectations. Adjusted earnings of $0.34 per share were also 15.1% below consensus. TTD Q2 Deep Dive: Macro Headwinds and Execution Shortfalls Shape Outlook
• Negative Sentiment: Third-quarter revenue guidance of $650 million was approximately 19% below analysts’ estimates, intensifying concerns about advertiser demand, macroeconomic pressure, weaker margins and execution gaps. Why The Trade Desk Shares Are Plunging Today
• Negative Sentiment: BNP Paribas Exane downgraded TTD to “Underperform,” adding to the negative analyst backdrop and contributing to the recent sell-off. Trade Desk Rating Lowered to Underperform
• Negative Sentiment: Commentary increasingly characterizes TTD as a turnaround story rather than a predictable high-growth company. Competition from AWS-backed advertising technology partnerships, including AWS and Warner Bros. Discovery, could add further strategic pressure. Can The Trade Desk Fend Off A New Digital Media Push?

About Trade Desk

The Trade Desk, Inc NASDAQ: TTD is a technology company that provides a demand-side platform (DSP) for programmatic digital advertising. Its platform enables advertisers, agencies and other buyers to plan, purchase and measure ad inventory across digital channels, including display, video, mobile, audio, native and connected TV. By centralizing real‑time bidding, audience targeting and inventory access, the company aims to help clients optimize media spend and reach audiences at scale across publishers and ad exchanges.

Founded in 2009 by Jeff Green and Dave Pickles, The Trade Desk grew from a focus on programmatic display into a global ad‑tech provider.

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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