Financial News

The Trade Desk (TTD) Q4 Earnings: What To Expect

TTD Cover Image

Advertising software maker The Trade Desk (NASDAQ:TTD) will be reporting results tomorrow after market hours. Here’s what to expect.

The Trade Desk beat analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $628 million, up 27.3% year on year. It was a slower quarter for the company, with a significant miss of analysts’ billings estimates and revenue guidance for next quarter meeting analysts’ expectations.

Is The Trade Desk a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting The Trade Desk’s revenue to grow 25.4% year on year to $759.5 million, improving from the 23.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.57 per share.

The Trade Desk Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. The Trade Desk has missed Wall Street’s revenue estimates three times over the last two years.

Looking at The Trade Desk’s peers in the sales and marketing software segment, some have already reported their Q4 results, giving us a hint as to what we can expect. LiveRamp delivered year-on-year revenue growth of 12.4%, beating analysts’ expectations by 1.7%, and Shopify reported revenues up 31.2%, topping estimates by 3%. LiveRamp traded up 2.7% following the results.

Read our full analysis of LiveRamp’s results here and Shopify’s results here.

There has been positive sentiment among investors in the sales and marketing software segment, with share prices up 11.4% on average over the last month. The Trade Desk is up 3.4% during the same time and is heading into earnings with an average analyst price target of $135.42 (compared to the current share price of $121.61).

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