Taboola.com (NASDAQ:TBLA) Shares Gap Down After Earnings Miss

Taboola.com Ltd. (NASDAQ:TBLA)’s share price gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $3.14, but opened at $2.94. Taboola.com shares last traded at $2.9940, with a volume of 533,126 shares traded.

The company reported $0.17 EPS for the quarter, missing the consensus estimate of $0.18 by ($0.01). The firm had revenue of $522.31 million for the quarter, compared to analyst estimates of $537.80 million. Taboola.com had a return on equity of 11.84% and a net margin of 2.21%.The business’s revenue was up 6.4% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.10 earnings per share.

Key Headlines Impacting Taboola.com

Here are the key news stories impacting Taboola.com this week:

• Positive Sentiment: Full‑year revenue grew ~8% to $1.91B and ex‑TAC gross profit rose; Taboola reported GAAP net income for the year and improved free cash flow and an 18% reduction in share count — signs of improving profitability and shareholder value. Taboola (TBLA) 2025 Annual Revenue Grows 8% to $1.91B as Profitability Metrics Rise
• Positive Sentiment: Company highlights and investor deck emphasize AI product traction (Realize), improved advertiser outcomes and guidance implying FY‑2026 revenue near $2.0B — supports a longer‑term growth story beyond search/social. Taboola Reports Strong Fourth Quarter & Full Year 2025 Financial Results
• Positive Sentiment: Wall Street support: Rosenblatt raised its price target (to $7) and Needham reaffirmed a buy — analyst upgrades amplify upside potential and may help stabilize the stock after the report. Benzinga (coverage of analyst actions)
• Neutral Sentiment: Taboola issued Q1 2026 revenue guidance of $444–$462M and FY‑2026 revenue guidance of ~$1.99–2.05B; guidance largely in line with management’s view but the company declined to provide GAAP net‑income guidance due to variability in certain items. This reduces visibility on GAAP EPS near term. Taboola Q4 slides / guidance
• Neutral Sentiment: Earnings call transcript and presentation provide color on AI investments, advertiser metrics and cash flow; useful for investors wanting management’s cadence on product traction and cost discipline. Taboola Q4 2025 Earnings Call Transcript
• Negative Sentiment: The quarter missed Street revenue expectations (~$522.3M vs. ~$538M est.) and reported EPS that was essentially flat to modestly below consensus — triggering short‑term selling pressure despite the profitability beat narratives. Taboola (NASDAQ:TBLA) Misses Q4 CY2025 Sales Expectations
• Negative Sentiment: Some market coverage flagged a sharp intraday drop after the results/guidance update (investor uncertainty over near‑term revenue cadence and lack of GAAP EPS guidance drove volatility). Taboola.com (TBLA) Is Down 10.6% After Return To Profit And 2026 Guidance Update

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on TBLA shares. Weiss Ratings restated a “hold (c)” rating on shares of Taboola.com in a report on Thursday, January 22nd. Rosenblatt Securities upped their target price on Taboola.com from $6.00 to $7.00 and gave the stock a “buy” rating in a research report on Thursday. Wall Street Zen upgraded Taboola.com from a “hold” rating to a “strong-buy” rating in a research note on Saturday, November 8th. Finally, Needham & Company LLC reissued a “buy” rating and set a $4.50 price target on shares of Taboola.com in a research report on Wednesday. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $5.00.

Institutional Trading of Taboola.com

A number of institutional investors and hedge funds have recently modified their holdings of TBLA. Arrowstreet Capital Limited Partnership lifted its holdings in Taboola.com by 412.1% in the second quarter. Arrowstreet Capital Limited Partnership now owns 3,113,200 shares of the company’s stock worth $11,394,000 after acquiring an additional 2,505,249 shares during the last quarter. Acadian Asset Management LLC lifted its holdings in shares of Taboola.com by 1.8% in the 2nd quarter. Acadian Asset Management LLC now owns 2,928,713 shares of the company’s stock worth $10,712,000 after purchasing an additional 52,791 shares during the last quarter. LSV Asset Management lifted its holdings in shares of Taboola.com by 31.5% in the 4th quarter. LSV Asset Management now owns 2,608,389 shares of the company’s stock worth $12,025,000 after purchasing an additional 624,831 shares during the last quarter. Bridgeway Capital Management LLC boosted its position in Taboola.com by 6.9% during the 3rd quarter. Bridgeway Capital Management LLC now owns 2,289,068 shares of the company’s stock valued at $7,806,000 after purchasing an additional 147,920 shares during the period. Finally, Bank of America Corp DE boosted its position in Taboola.com by 8.2% during the 3rd quarter. Bank of America Corp DE now owns 2,149,621 shares of the company’s stock valued at $7,330,000 after purchasing an additional 163,605 shares during the period. 42.89% of the stock is owned by institutional investors and hedge funds.

Taboola.com Stock Performance

The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.06 and a current ratio of 1.06. The stock has a 50 day moving average of $3.94 and a 200 day moving average of $3.70. The stock has a market capitalization of $881.95 million, a P/E ratio of 20.40 and a beta of 1.29.

Taboola.com Company Profile

Taboola.com (NASDAQ: TBLA) operates a leading content discovery platform that connects advertisers with premium publishers through native advertising and personalized recommendations. The company’s technology analyzes user behavior and contextual information to deliver promoted content, video, and product recommendations to audiences across a network of thousands of websites and mobile apps. By leveraging machine learning and big data, Taboola helps publishers generate incremental revenue while enabling advertisers to reach engaged users at scale.

Taboola’s suite of products includes feed placements, video recommendations, and sponsored content units designed to blend seamlessly with editorial pages.