TTD

Trade Desk Inc - Ordinary Shares - Class A

TMT


Presented:07/10/2023
Price:$75.91
Cap:$37.11B
Current Price:$117.68
Cap:$58.01B

Presented

Date07/10/2023
Price$75.91
Market Cap$37.11B
Ent Value$29.37B
P/E Ratio494.85x
Book Value$3.98
Div Yield0%
Shares O/S488.85M
Ave Daily Vol3,565,845
Short Int3.98%

Current

Price$117.68
Market Cap$58.01B
The Trade Desk, Inc. engages in the provision of a technology platform for advertising buyers. It operates through the United States and International geographical segments. The firm's products include audio advertising, mobile advertising, native advertising, data management platform, cross-device targeting, and inventory and marketplaces. The company was founded by Jeffrey Terry Green and David Pickles in November 2009 and is headquartered in Ventura, CA.

Publicly traded companies mentioned herein: Alphabet Inc (GOOGL), Amazon.com Inc (AMZN), Netflix Inc (NFLX), Trade Desk Inc/The (TTD), Vizio Holding Corp (VZIO)

Highlights

The presenter is short shares of The Trade Desk Inc (TTD), noting a mismatch between the current valuation and its pre-COVID valuation when the company was growing faster. TTD is trading at 38x consensus 2024 EBITDA with low-20% revenue growth, whereas its pre-COVID peak was 49x forward EBITDA in 2019 when the company was growing ~40%. He feels more comfortable shorting the stock now that the timing of Google Chrome’s third-party cookie deprecation is clear, allowing him to more accurately forecast the impact to TTD’s business. Additionally, he thinks out year estimates on the CTV business are too high despite secular tailwinds, as the market is underappreciating AMZN’s and NFLX’s CTV budget share gains. He ultimately models share price downside to $32 and upside to $100, creating an attractive risk/reward setup for the short position at the current $75 price.

  • Signing up and creating account with us unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

  • Signing up and creating account with us unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Request access to DeMatteo Research for full access

Request Access

Already have an account?

Idea Discussion

Commentor 1 - 2 weeks ago

Signing up and creating account with us, unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Commentor 1 - 2 weeks ago

Signing up and creating account with us, unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Idea Discussions display submitted commentary from our investor community.

To read and participate in the discussion with the presenter and investor base, request access to DeMatteo

Request Access

Already have an account?

An error occurred loading this content. Try again later or contact us.