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TTD

S&P 500
Favorable · 64/100

Trade Desk (The)

Communication Services
Advertising

$18.02

2.6%

Updated Today 7:15 PM ET

Price — Past Year

▼ Down 73.0% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$8.70B

P/E

20.11x

Forward P/E (est.)

18.53x

ROE

16.9%

Revenue Growth

15.6%

EPS Growth

8.5%

Profit Margin

14.6%

FCF Yield

2.4%

Debt / Equity

0x

ROIC

19.0%

Interest Coverage

380.21x

Current Ratio

1.68x

Dividend Yield

Implied Growth (rev. DCF)

-0.1%

Rating Score

64/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what TTD's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. TTD trades near $18.02, below its 50-day average ($21.67) and 200-day average ($33.72). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 34 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. TTD's is $1.24 (~6.9% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month TTD found buyers near $17.77 (support) and sellers near $23.57 (resistance); its 52-week range is $17.77–$91.45. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 2.2× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Trade Desk (The) (TTD) is a mid-cap company in the Advertising industry, part of the Communication Services sector of the S&P 500, with a market value around $8.70B.

In its latest reported year it generated about $2.90B in revenue and $443.30M in net profit.

Our model rates TTD Favorable (64/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

24.7%

Revenue moved from $1.20B in 2021 to $2.90B in 2025, a 24.7% compound annual growth rate. The most recent year grew a strong 15.6% year over year. Consistent top-line growth is one sign of healthy demand.

Profitability
Research

Gross Margin

77.8%

Operating Margin

20.3%

Net Margin

15.3%

ROE

16.9%

Trade Desk (The) keeps about 14.6% of each sales dollar as net profit, with a 77.8% gross margin and 20.3% operating margin. Return on equity is 16.9% and return on invested capital about 19.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

Net Debt

Net Debt / EBITDA

Debt / Equity

0x

Leverage: debt-to-equity is 0.0x, and operating profit covers interest about 380.2x, with a current ratio of 1.7x. That is a conservative balance sheet — a cushion in downturns.

Cash Flow Analysis
Research

Operating CF

$992.72M

Free Cash Flow

$795.71M

FCF Margin

27.5%

In the latest year Trade Desk (The) produced about $992.72M of operating cash flow and $795.71M of free cash flow after capital spending. That is a free-cash-flow yield of about 2.4% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research

P/E

20.11x

P/S

3.08x

P/B

7.21x

EV / EBITDA

11.4x

TTD trades at 20.1x trailing earnings (about 18.5x on estimated forward earnings), 3.1x sales, and 7.2x book value. Reverse-engineering today's price implies the market expects roughly -0.1% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
20.1xFair
Forward P/E
18.5xFair
P/S ratio
3.1xExpensive
Revenue growth
15.6%Strong
EPS growth
8.5%Average
Gross margin
77.8%Strong
Net margin
14.6%Strong
ROE
16.9%Average

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How TTD stacks up against its Communication Services peers — valuation, profitability, and growth versus the sector median.

In the Communication Services sector (23 S&P 500 companies), TTD ranks #5 of 23 by our overall rating. It trades at a premium versus the sector on earnings (20.1x P/E vs. 17.4x median) with a higher return on equity (16.9% vs. 14.9%) and faster revenue growth (15.6% vs. 2.9%).

P/E vs sector

20.1x

median 17.4x

ROE vs sector

16.9%

median 14.9%

Growth vs sector

15.6%

median 2.9%

Sector rank

#5

of 23 by rating

CompanyP/ERev Gr.Rating
TTDThis stock20.1x15.6%Favorable· 64
OMC25.9%Neutral· 44
PSKY1.1%Weak· 14
NWS12.7x-6.4%Neutral· 57
NWSA12.7x-6.4%Favorable· 58
CHTR3.5x-0.9%Weak· 41
FOX12x0.6%Neutral· 48
FOXA12.2x0.6%Neutral· 48
Communication Services median17.4x2.9%49/100

Valuation vs. quality map

sector medianNWSNWSACHTRFOXFOXATTDP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Communication Services companies by sub-industry and size. Sector median is across all 23 S&P 500 names in the sector. Educational, not a recommendation.

Bull Case

The case for TTD:

  • Revenue is growing 15.6% a year, a sign of real demand.
  • Strong return on equity (16.9%) shows capital is put to work well.
  • A conservative balance sheet (debt/equity 0.0x) lowers risk.
  • Our model's overall read is Favorable (64/100).
Bear Case

The case against TTD:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: Trade Desk (The) is a mid-cap communication services business still growing nicely, with solid profitability, and a sound balance sheet. It trades at 20.1x earnings, which our model scores Favorable (64/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.