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The Trade Desk (TTD) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, The Trade Desk (TTD - Free Report) closed at $53.71, marking a -0.09% move from the previous day. This change lagged the S&P 500's daily gain of 2.46%. Meanwhile, the Dow gained 2.59%, and the Nasdaq, a tech-heavy index, lost 0.2%.
Prior to today's trading, shares of the digital-advertising platform operator had lost 11.58% over the past month. This has lagged the Computer and Technology sector's loss of 1.56% and the S&P 500's gain of 4.56% in that time.
The Trade Desk will be looking to display strength as it nears its next earnings release, which is expected to be November 9, 2022. The company is expected to report EPS of $0.24, up 33.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $385.83 million, up 28.14% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.02 per share and revenue of $1.58 billion, which would represent changes of +12.09% and +32.33%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for The Trade Desk. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 8.57% higher. The Trade Desk is currently a Zacks Rank #2 (Buy).
Investors should also note The Trade Desk's current valuation metrics, including its Forward P/E ratio of 52.79. This represents a premium compared to its industry's average Forward P/E of 20.13.
We can also see that TTD currently has a PEG ratio of 2.2. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 1.73 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 73, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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The Trade Desk (TTD) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, The Trade Desk (TTD - Free Report) closed at $53.71, marking a -0.09% move from the previous day. This change lagged the S&P 500's daily gain of 2.46%. Meanwhile, the Dow gained 2.59%, and the Nasdaq, a tech-heavy index, lost 0.2%.
Prior to today's trading, shares of the digital-advertising platform operator had lost 11.58% over the past month. This has lagged the Computer and Technology sector's loss of 1.56% and the S&P 500's gain of 4.56% in that time.
The Trade Desk will be looking to display strength as it nears its next earnings release, which is expected to be November 9, 2022. The company is expected to report EPS of $0.24, up 33.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $385.83 million, up 28.14% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.02 per share and revenue of $1.58 billion, which would represent changes of +12.09% and +32.33%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for The Trade Desk. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 8.57% higher. The Trade Desk is currently a Zacks Rank #2 (Buy).
Investors should also note The Trade Desk's current valuation metrics, including its Forward P/E ratio of 52.79. This represents a premium compared to its industry's average Forward P/E of 20.13.
We can also see that TTD currently has a PEG ratio of 2.2. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 1.73 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 73, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.