The Trade Desk (TTD - Free Report) closed at $248.16 in the latest trading session, marking a +1.68% move from the prior day. This move outpaced the S&P 500's daily gain of 0.02%. Meanwhile, the Dow gained 0.1%, and the Nasdaq, a tech-heavy index, added 0.17%.
Heading into today, shares of the digital-advertising platform operator had lost 1.15% over the past month, lagging the Computer and Technology sector's gain of 6.42% and the S&P 500's gain of 4.82% in that time.
Investors will be hoping for strength from TTD as it approaches its next earnings release. The company is expected to report EPS of $0.68, up 13.33% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $155.09 million, up 38.06% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.93 per share and revenue of $649.96 million, which would represent changes of +8.52% and +36.18%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for TTD. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 remained stagnant. TTD is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, TTD is holding a Forward P/E ratio of 83.38. For comparison, its industry has an average Forward P/E of 29.97, which means TTD is trading at a premium to the group.
We can also see that TTD currently has a PEG ratio of 4.17. 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. TTD's industry had an average PEG ratio of 2.88 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 111, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow TTD in the coming trading sessions, be sure to utilize Zacks.com.