"Though its stock price is down about 74% from all-time highs, its underlying business is growing at double-digit rates. Typically reporting its fourth-quarter results in the first few weeks of February, The Trade Desk is due for a quarterly update soon. Shareholders of the advertising technology company are likely hoping the report can bail them out of dismal performance recently."
"While performance like this may scare many investors away, this is actually a good time to look at the stock. After all, even though the stock has been crushed, The Trade Desk's revenue and earnings have performed well over the last five years. Could this be a classic opportunity to "be greedy when others are fearful," as famed investor Warren Buffett is known for saying?"
The Trade Desk's stock is down about 74% from its all-time high and roughly 55% over the past five years, despite underlying business growth. Revenue and earnings have grown at double-digit rates, with third-quarter revenue of $739 million, up 18% year over year. Growth decelerated slightly from prior quarters but remained healthy, and momentum is stronger when adjusted to exclude heavy political ad spending in 2024. When excluding political spend, third-quarter 2025 revenue rose 22% year over year as customers ramp up ad spend on an AI-powered programmatic ad-buying platform. Customer retention has stayed above 95% for 11 consecutive years, indicating stable client relationships and durable demand.
Read at The Motley Fool
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