Trade Desk (NASDAQ: TTD) continued to trend lower in trading on Thursday, even as the advertising technology company delivered strong Q2 results and guidance. Even Wall Street analysts are of the opinion that the company is gaining market share looking at its Q2 results.
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Top-rated Wells Fargo analyst Brian Fitzgerald remained bullish about TTD following its earnings with a Buy rating. The analyst stated that Trade Desk “bucked the lackluster trends” seen among its peers as its revenues accelerated in Q2, with robust incremental margins and higher-than-expected adjusted EBITDA.
The analyst also approved of the improving visibility regarding TTD’s next quarter (Q3) as spending has increased among advertisers. Moreover, the company is also scaling back on its expenses as operating expenses declined by 22% year-over-year in Q2. In addition, the rise of connected TV boosted Trade Desk’s Q2 results “by a wide margin,” according to Fitzgerald.
The analyst has a price target of $100 on the stock, implying an upside potential of 26.01% at current levels.
Analysts are cautiously optimistic about TTD stock with a Moderate Buy consensus rating based on 14 Buys, two Holds, and three Sells.
