Trade Desk (NASDAQ:TTD) Stock Price Down 3.1% After Analyst Downgrade

Key Points

• Trade Desk's stock (NASDAQ:TTD) fell by 3.1% following a downgrade from Wall Street Zen, which changed its rating from hold to sell.
• Despite the downgrade, Trade Desk maintains a consensus rating of "Moderate Buy" with an average price target of $88.58 across 35 analysts.
• The company reported $0.18 EPS for the latest quarter, significantly missing the consensus estimate of $0.42, while its revenue of $694.04 million exceeded expectations.

The Trade Desk (NASDAQ:TTD - Get Free Report) was down 3.1% on Tuesday after Wall Street Zen downgraded the stock from a hold rating to a sell rating. The company traded as low as $52.91 and last traded at $52.98. Approximately 2,397,223 shares changed hands during trading, a decline of 79% from the average daily volume of 11,180,665 shares. The stock had previously closed at $54.66.

Other equities research analysts also recently issued research reports about the company. Wells Fargo & Company downgraded Trade Desk from an "overweight" rating to an "equal weight" rating and cut their price target for the stock from $74.00 to $68.00 in a report on Thursday, June 26th. Wedbush restated an "outperform" rating and set a $86.00 price target on shares of Trade Desk in a report on Tuesday, July 15th. Arete Research upgraded Trade Desk to a "strong sell" rating in a report on Monday, July 28th. Morgan Stanley raised their target price on Trade Desk from $60.00 to $80.00 and gave the stock an "overweight" rating in a research report on Friday, May 9th. Finally, JMP Securities reissued a "market outperform" rating and set a $100.00 target price on shares of Trade Desk in a research report on Tuesday, June 24th. Twenty-one research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, Trade Desk currently has a consensus rating of "Moderate Buy" and an average target price of $88.58.

Insider Transactions at Trade Desk

In related news, insider Jay R. Grant sold 51,290 shares of the business's stock in a transaction dated Thursday, August 7th. The stock was 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 in the company, valued at $19,899,670.28. The trade was a 19.03% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. 10.00% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Trade Desk

Several large investors have recently modified their holdings of the stock. GAMMA Investing LLC boosted its holdings in shares of Trade Desk by 3,876.8% in the 1st quarter. GAMMA Investing LLC now owns 91,984 shares of the technology company's stock worth $5,033,000 after acquiring an additional 89,671 shares in the last quarter. Dynamic Advisor Solutions LLC acquired a new position in shares of Trade Desk in the 1st quarter worth approximately $995,000. Panagora Asset Management Inc. boosted its holdings in shares of Trade Desk by 38.5% in the 1st quarter. Panagora Asset Management Inc. now owns 811,235 shares of the technology company's stock worth $44,391,000 after acquiring an additional 225,638 shares in the last quarter. Kestra Advisory Services LLC boosted its holdings in shares of Trade Desk by 38.0% in the 1st quarter. Kestra Advisory Services LLC now owns 27,165 shares of the technology company's stock worth $1,486,000 after acquiring an additional 7,481 shares in the last quarter. Finally, Summit Financial LLC boosted its holdings in shares of Trade Desk by 282.7% in the 1st quarter. Summit Financial LLC now owns 11,740 shares of the technology company's stock worth $642,000 after acquiring an additional 8,672 shares in the last quarter. 67.77% of the stock is currently owned by institutional investors.

Trade Desk Trading Down 3.1%

The firm has a market capitalization of $25.91 billion, a price-to-earnings ratio of 63.84, a P/E/G ratio of 2.81 and a beta of 1.36. The firm has a fifty day moving average price of $70.63 and a 200 day moving average price of $65.89.

Trade Desk (NASDAQ:TTD - Get Free Report) last announced its earnings results on Thursday, August 7th. The technology company reported $0.18 EPS for the quarter, missing the consensus estimate of $0.42 by ($0.24). The business had revenue of $694.04 million during the quarter, compared to analyst estimates of $686.00 million. Trade Desk had a return on equity of 15.19% and a net margin of 15.57%.The firm's revenue was up 18.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.39 earnings per share. Trade Desk has set its Q3 2025 guidance at EPS. As a group, equities analysts predict that The Trade Desk will post 1.06 EPS for the current fiscal year.

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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