Trade Desk (NASDAQ:TTD) Trading Up 22.4% Following Better-Than-Expected Earnings

The Trade Desk, Inc. (NASDAQ:TTD)’s share price rose 22.4% during mid-day trading on Friday following a better than expected earnings announcement. The stock traded as high as $75.77 and last traded at $73.32. Approximately 25,507,605 shares were traded during mid-day trading, an increase of 349% from the average daily volume of 5,682,175 shares. The stock had previously closed at $59.90.

The technology company reported $0.33 earnings per share for the quarter, topping the consensus estimate of $0.26 by $0.07. Trade Desk had a net margin of 16.08% and a return on equity of 16.38%. The business had revenue of $616.02 million during the quarter, compared to analysts’ expectations of $575.62 million. During the same quarter in the previous year, the company earned $0.26 EPS. The business’s revenue was up 25.4% on a year-over-year basis.

Trade Desk announced that its board has authorized a share repurchase plan on Wednesday, February 12th that authorizes the company to buyback $564.00 million in shares. This buyback authorization authorizes the technology company to repurchase up to 0.9% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s board believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of research firms recently commented on TTD. Guggenheim dropped their price target on Trade Desk from $110.00 to $90.00 and set a “buy” rating for the company in a research note on Friday. JMP Securities reduced their price target on shares of Trade Desk from $115.00 to $100.00 and set a “market outperform” rating on the stock in a research report on Friday. Citigroup lifted their price objective on shares of Trade Desk from $63.00 to $82.00 and gave the company a “buy” rating in a research note on Friday. Citizens Jmp cut their target price on Trade Desk from $115.00 to $100.00 and set an “outperform” rating for the company in a research note on Friday. Finally, Wells Fargo & Company decreased their price target on Trade Desk from $101.00 to $72.00 and set an “overweight” rating on the stock in a research note on Monday, March 31st. Seven equities research analysts have rated the stock with a hold rating and twenty-six have assigned a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $98.88.

Institutional Trading of Trade Desk

Several hedge funds have recently modified their holdings of the stock. Investment Management Corp VA ADV bought a new stake in Trade Desk in the fourth quarter valued at $25,000. Rialto Wealth Management LLC acquired a new position in Trade Desk during the 4th quarter worth approximately $26,000. Harbor Investment Advisory LLC raised its stake in Trade Desk by 68.8% during the 4th quarter. Harbor Investment Advisory LLC now owns 287 shares of the technology company’s stock worth $34,000 after buying an additional 117 shares during the period. Midwest Capital Advisors LLC bought a new position in Trade Desk in the fourth quarter worth approximately $34,000. Finally, Zions Bancorporation N.A. grew its stake in Trade Desk by 148.3% in the fourth quarter. Zions Bancorporation N.A. now owns 293 shares of the technology company’s stock valued at $34,000 after acquiring an additional 175 shares during the period. Institutional investors own 67.77% of the company’s stock.

Trade Desk Stock Up 18.6 %

The business has a 50-day moving average price of $54.62 and a two-hundred day moving average price of $95.16. The company has a market capitalization of $35.24 billion, a price-to-earnings ratio of 91.08, a price-to-earnings-growth ratio of 3.11 and a beta of 1.29.

About Trade Desk

The Trade Desk, Inc operates as a technology company in the United States and internationally. The company offers a self-service cloud-based platform that allows buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns across various ad formats and channels, including video, display, audio, digital-out-of-home, native, and social on various devices, such as computers, mobile devices, televisions, and streaming devices.