3 Reasons to Buy the Trade Desk Now
In a quarter when several ad tech-related companies (including Meta Platforms, Snap, and Twitter) reported a weak demand environment, The Trade Desk (NASDAQ: TTD) was a standout exception.
The Trade Desk's second-quarter earnings came out earlier this month and it reported a revenue jump of 34.6% year over year to $377 million, ahead of analysts' consensus estimate of $364.9 million. The company reported non-GAAP (generally accepted accounting principles) earnings per share (EPS) of $0.20, in line with the analysts' expectations. The Trade Desk has also guided for revenue of at least $385 million for the third quarter, implying a healthy 28% year-over-year growth rate.
Since that earnings release on Aug. 9, the stock price is up about 20%. There are a couple obvious reasons this stock is worth consideration. There is the price rally of late, as well as the company's long-term growth potential and its general dominance in the ad tech industry. But there are also at least three less-obvious reasons why this stock can prove to be a good buy even now. Let me explain.
Source Fool.com
