Trade Desk (TT8) AI Stock Analysis

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Trade Desk

(BX Swiss:TT8)

Rating:―N/A

Action:N/A

Date:―

No summary available

Positive Factors

Strong profitability and cash generationHigh gross margins and healthy operating profitability indicate a scalable software model, while substantial free cash flow provides resources for product investment, customer development, and strategic flexibility. These characteristics support durable earnings quality beyond a single reporting period.

Negative Factors

Slowing growth and execution challengesA sharp slowdown in revenue growth, combined with acknowledged execution shortcomings, raises questions about the company’s ability to convert product strength and market opportunity into consistent expansion. Corrective actions may take several quarters to produce durable improvement.

Trade Desk (TT8) vs. iShares MSCI Switzerland ETF (EWL)

Market Cap: CHF 6.06B
Dividend Yield: ―
Average Volume (3M): 287
Price to Earnings (P/E): 15.3
Beta (1Y): 0.69
Revenue Growth: 11.61%
EPS Growth: 0.19%
Country: Switzerland
Employees: 3,843
Sector: Communication Services
Sector Strength: 60
Industry: Advertising Agencies

Trade Desk Business Overview & Revenue Model

Company Description

The Trade Desk, Inc. is a global technology company that provides a self-service, cloud-based platform. This platform enables advertising buyers to efficiently create, manage, and optimize data-driven digital ad campaigns across diverse formats and c...

Trade Desk Earnings Call Summary

Earnings Call Date:Aug 05, 2026(Q2-2026)|% Change Since:-30.00%|Next Earnings Date:Nov 08, 2026

Earnings Call SentimentNeutral

The call presented a balanced picture: meaningful strengths (solid cash generation, JBPs accelerating revenue under strategic partnerships, strong regional and CTV/audio growth, promising early results from Audience Unlimited, and a robust product/measurement roadmap plus experienced new leadership) are offset by clear near‑term challenges (Q2 revenue growth only 3% YoY, admitted execution shortcomings, rising operating expenses from infrastructure and AI investments, concentration in pressured categories like CPG and autos, and cautious Q3 guidance). Management emphasized disciplined prioritization and product initiatives to drive longer‑term recovery, but near‑term visibility remains limited.

Positive Updates

Q2 Revenue and Profitability

Reported revenue of $715 million in Q2, up 3% year‑over‑year. Adjusted EBITDA was $241 million representing a 34% margin. Adjusted net income was $158 million ($0.34 per diluted share).

Negative Updates

Revenue Growth Below Expectations

Company stated revenue growth is below its expectations; Q2 revenue only grew 3% year‑over‑year and management acknowledged underperformance driven by macro pressures and execution issues.

Company Guidance

The Trade Desk guided Q3 revenue of at least $650 million and adjusted EBITDA of about $160 million (vs. Q2 revenue $715M and Q2 adjusted EBITDA $241M, a 34% margin); Q2 net income was $64M ($0.14 diluted, ~9% of revenue) and adjusted net income $158M ($0.34), with net cash from operations $154M, free cash flow $136M and ~ $1.5B in cash/cash equivalents/short‑term investments. Q2 operating expenses were $613M (up 6% YoY) and $504M ex‑stock‑based comp (up 12% YoY); the company repurchased $78M of stock in Q2 with $269M remaining authorization. Key mix and growth metrics cited: video/CTV ~low‑50s% of revenue, mobile ~high‑20s%, display ~low‑double‑digits, audio ~7% (fastest‑growing channel); U.S. ~83% of revenue, international ~17%; EMEA and APAC ~30% YTD growth, China >100% YTD; JBPs totaled 217 clients (38% YoY) with revenue under JBPs growing ~6x the overall rate. Management said visibility is limited, is not assuming meaningful near‑term improvement, and will invest with discipline in measurement, Audience Unlimited and platform usability to drive durable growth.

Trade Desk Risk Analysis

Trade Desk disclosed 48 risk factors in its most recent earnings report. Trade Desk reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Trade Desk Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

CH:TT8 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MGNI	82Outperform	$3.27B	21.67	19.35%	―	9.14%	207.92%
OMC	67Neutral	$23.88B	34.84	6.82%	3.67%	54.10%	-73.30%
CRTO	66Neutral	$766.32M	10.91	6.34%	―	-7.49%	-54.94%
Sector *	60Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
STGW	59Neutral	$2.73B	280.57	1.28%	―	7.71%	-50.25%
WPP	49Neutral	$6.08B	-18.84	-9.33%	3.58%	-2.97%	-165.26%

* Communication Services Sector Average

Performance Comparison

CH:TT8 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
CH:TT8	Trade Desk	10.50	-4.48	-29.92%
STGW	Stagwell Inc.	10.83	6.06	127.04%
OMC	Omnicom Group Inc	87.09	17.25	24.69%
WPP	Wpp Plc	27.94	9.69	53.09%
CRTO	Criteo S.A.	15.38	-6.82	-30.72%
MGNI	Magnite, Inc.	27.52	12.96	89.01%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Trade Desk AI Stock Analysis