Trade Desk (NASDAQ:TTD) Shares Down 5.9% - Here's Why

Key Points

• Trade Desk shares fell by 5.9%, trading at approximately $51.17 after a previous close of $54.36, with a notable increase in trading volume.
• The company's Q2 earnings report revealed earnings per share of $0.18, significantly missing the consensus estimate of $0.42, despite a year-over-year revenue increase of 18.7% to $694.04 million.
• Analyst ratings for Trade Desk are mixed, with 21 buy ratings, 12 hold ratings, and 3 sell ratings, while the average target price stands at $89.33.

The Trade Desk (NASDAQ:TTD - Get Free Report) dropped 5.9% on Thursday . The stock traded as low as $50.63 and last traded at $51.17. Approximately 14,901,486 shares traded hands during trading, an increase of 34% from the average daily volume of 11,132,073 shares. The stock had previously closed at $54.36.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. UBS Group reiterated a "buy" rating and issued a $105.00 price objective (up from $80.00) on shares of Trade Desk in a research note on Wednesday, July 16th. Arete Research upgraded Trade Desk to a "strong sell" rating in a research report on Monday, July 28th. Stifel Nicolaus dropped their price objective on Trade Desk from $95.00 to $90.00 and set a "buy" rating on the stock in a research note on Friday, August 8th. Rosenblatt Securities restated a "buy" rating on shares of Trade Desk in a report on Friday, August 8th. Finally, Citigroup restated a "neutral" rating and issued a $65.00 price objective (down previously from $90.00) on shares of Trade Desk in a report on Friday, August 8th. Three research analysts have rated the stock with a sell rating, twelve have issued a hold rating and twenty-one have assigned a buy rating to the stock. According to MarketBeat, Trade Desk currently has an average rating of "Moderate Buy" and an average target price of $89.33.

Trade Desk Stock Down 7.2%

The company's fifty day moving average price is $75.02 and its 200-day moving average price is $71.98. The stock has a market capitalization of $24.79 billion, a PE ratio of 60.79, a price-to-earnings-growth ratio of 2.73 and a beta of 1.37.

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

Insiders Place Their Bets

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

Institutional Investors Weigh In On Trade Desk

A number of hedge funds have recently modified their holdings of TTD. Cornerstone Wealth Group LLC raised its position in shares of Trade Desk by 2.8% during the 2nd quarter. Cornerstone Wealth Group LLC now owns 4,457 shares of the technology company's stock valued at $321,000 after buying an additional 122 shares in the last quarter. STF Management LP raised its position in shares of Trade Desk by 2.1% during the 2nd quarter. STF Management LP now owns 6,627 shares of the technology company's stock valued at $477,000 after buying an additional 136 shares in the last quarter. Mutual Advisors LLC raised its position in shares of Trade Desk by 3.5% during the 2nd quarter. Mutual Advisors LLC now owns 4,239 shares of the technology company's stock valued at $305,000 after buying an additional 142 shares in the last quarter. Ashton Thomas Securities LLC raised its position in shares of Trade Desk by 2.6% during the 1st quarter. Ashton Thomas Securities LLC now owns 5,760 shares of the technology company's stock valued at $315,000 after buying an additional 144 shares in the last quarter. Finally, Anchor Investment Management LLC raised its position in shares of Trade Desk by 17.2% during the 4th quarter. Anchor Investment Management LLC now owns 1,020 shares of the technology company's stock valued at $120,000 after buying an additional 150 shares in the last quarter. Institutional investors own 67.77% of the company's stock.

About Trade Desk

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.

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