The latest earnings round shows public markets aren't for the faint-hearted
Briefly

The ad tech sector's earnings results for Q4 2024 showed remarkable revenue growth, particularly for AppLovin and The Trade Desk. Despite double-digit annual increases in revenue, the market responded negatively, leading to significant stock price declines. 2025 is expected to bring stronger mergers and acquisitions, but concerns over earnings forecasts and allegations of unethical practices, especially against AppLovin, cloud the sector's future. Additionally, Taboola faced similar challenges following their earnings announcement due to underwhelming future projections, showcasing a turbulent landscape for ad tech.
In recent weeks, the ad tech sector's leading lights have issued financial results for Q4 2024, showing growth but facing negative market reactions.
2025 could be a key year for mergers and acquisitions in ad tech, yet the recent earnings calls negatively impacted valuations across the sector.
AppLovin and The Trade Desk reported impressive revenue growth, but market reactions caused significant declines in their stock prices afterward.
Despite a strong performance, AppLovin's stock fell due to allegations of unethical practices, prompting concerns in the investment community.
Read at Digiday
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