# Trade Desk (TTD.US)

Canonical: https://gigainvestors.com/s/TTD

Analysis as of: 2026-10-16T07:32:35.181Z. Financial observations: FY2014–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

A wonderful business

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $13.13 per share; close as of 2026-10-15.

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.31×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.23×

- FY2018: 0.22×

- FY2019: 0.17×

- FY2020: 0.17×

- FY2021: 0.10×

- FY2022: 0.07×

- FY2023: 0.10×

- FY2024: 0.17×

- FY2025: 0.20×

- LTM to Jun 2026: 0.20×

### moat: pass

- ROIC, median of available years: 22.8%

- ROIC, second-lowest year: 13.1%

- Typical minus recent gross margin: 0.9 pp

- Typical gross margin (annual median): 79.5%

- Recent gross margin (lower of latest and 3-year median): 78.6%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.1%

- ROIC including acquisitions, ten-year median: 27.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 65.8%

- FY2017: 47.5%

- FY2018: 47.8%

- FY2019: 19.1%

- FY2020: 21.2%

- FY2021: 14.6%

- FY2022: 7.9%

- FY2023: 13.1%

- FY2024: 24.7%

- FY2025: 24.5%

### economics: pass

- Owner earnings / net income, 5-yr: 1.02×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $1.2B

- Net income, five-year total: $1.2B

- Return on incremental invested capital: 34.6%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -2.8 pp

- Working capital / revenue, final three-year average: 29.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.00×

- FY2023: 1.14×

- FY2024: 1.00×

- FY2025: 1.00×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 47.8% vs 24.5%

- Per-share earnings: 0.11 to 0.78 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 11.4%

- Ordinary dilution, 5-year annual growth: 0.1%

- Market cap gain: $14B

- Cumulative retained earnings: -$576M

- Diluted shares, 10-year annual growth: 11.4%

- Diluted shares, 5-year annual growth: 0.1%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 27.5%

- Per-share value change: $0.67

- Per-share value, starting three-year median: $0.11

- Per-share value, ending three-year median: $0.78

- Buybacks concentrated in cheaper years (correlation): 0.78

- Average buyback yield: 1.1%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: $21M

- Cumulative net income, 10 years: $1.7B

- ROIC, first three-year median: 47.8%

- ROIC, last three-year median: 24.5%

Chart: Earnings per share; fiscal year observations.

- FY2016: $0.11

- FY2017: $0.12

- FY2018: $0.19

- FY2019: $0.23

- FY2020: $0.49

- FY2021: $0.28

- FY2022: $0.11

- FY2023: $0.36

- FY2024: $0.78

- FY2025: $0.90

### accounting: pass

- stock compensation exceeds 15% of operating cash flow

- Sloan accruals: -8.9%

- Receivables to sales index (DSRI): 1.00×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 49.4%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.24×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.01×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -10.1%

- FY2017: 2.5%

- FY2018: 0.1%

- FY2019: 2.8%

- FY2020: -5.9%

- FY2021: -6.7%

- FY2022: -11.3%

- FY2023: -8.6%

- FY2024: -5.7%

- FY2025: -8.9%

## Holders

## Price story

Down 90% since Nov 2024 · "Trade Desk shares sink on Q2 revenue miss and weak guidance" (finance.yahoo.com, Aug 2026) · sales +3.2%

Story as of 2026-10-16T09:59:44.165Z; price observation 2026-10-15.

- 2025-07-07: The Trade Desk's SWOT analysis: stock rebounds on strong Q1, CTV growth ([investing.com](https://www.investing.com/news/swot-analysis/the-trade-desks-swot-analysis-stock-rebounds-on-strong-q1-ctv-growth-93CH-4124298))

- 2025-08-08: Trade Desk tumbles after CEO warns of tariff impact on large brand advertisers ([investing.com](https://www.investing.com/news/stock-market-news/trade-desk-tumbles-after-ceo-warns-of-tariff-impact-on-large-brand-advertisers-4180177))

- 2026-02-26: Trade Desk falls on weak outlook, Loop downgrades on ad recovery uncertainity ([finance.yahoo.com](https://finance.yahoo.com/news/trade-desk-falls-weak-outlook-160853720.html))

- 2026-05-08: Trade Desk Q1 Earnings Miss Estimates, Revenues Up Y/Y, Stock Down ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/trade-desk-q1-earnings-miss-142900557.html))

- 2026-08-06: Trade Desk Stock Slumps After Revenue Misses Forecasts ([finance.yahoo.com](https://finance.yahoo.com/m/0fdb83ad-e67a-3086-a7ac-a20e44357b60/trade-desk-stock-slumps-after.html))

- 2026-09-04: Trade Desk Falls 4% on 15% Workforce Cut; AppLovin Ascends 3%, Magnite Pulls Back ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/trade-desk-falls-4-15-165110555.html))

### Sales · FY2025–2026

sales +3.2%; source https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm; observed 2026-02-27.

- FY2017: $308M 

- FY2018: $477M 

- FY2019: $661M 

- FY2020: $836M 

- FY2021: $1.2B 

- FY2022: $1.6B 

- FY2023: $1.9B 

- FY2024: $2.4B 

- FY2025: $2.9B 

- FY2026: $3.0B 

### Gross margin · FY2025

gross margin 78.6%; source https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm; observed 2026-02-27.

- FY2016: 80.3% 

- FY2017: 78.5% 

- FY2018: 76.1% 

- FY2019: 76.4% 

- FY2020: 78.6% 

- FY2021: 81.5% 

- FY2022: 82.2% 

- FY2023: 81.2% 

- FY2024: 80.7% 

- FY2025: 78.6% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in advertising agencies; annual sales are USD 2.9 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm (filed 2026-02-27); FY2025: revenue 2896284000; grossProfit 2277217000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); TTD.US: The Trade Desk, Inc. operates as a technology company in the United States and internationally. The company creates, manages, and optimizes digital advertising campaigns across ad formats, channels and devices, including CTV and other video, display, audio, and native, on a multitude of devices, such televisions, streaming devices, mobile devices, computers and digital-out-of-home devices. It provides data and other value-added services. It serves advertising agencies, advertisers, and other service providers for agencies or advertisers. The Trade Desk, Inc. was incorporated in 2009 and is headquartered in Ventura, California.

### Why customers stay

Margins ranged from 78.6% to 81.2% during 2023–25; it earns 22.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: grossProfit / revenue = 81.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: grossProfit / revenue = 80.7%.

- Source: https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm (filed 2026-02-27); FY2025: grossProfit / revenue = 78.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); 10-year return on capital observations [[2016,0.6579038133281715],[2017,0.47476796777128916],[2018,0.47755120054036476],[2019,0.19117296781223883],[2020,0.2115923273424627],[2021,0.14630564102564103],[2022,0.07946036936248937],[2023,0.13125823708673104],[2024,0.24702713457938769],[2025,0.24515531988828443]]; median 0.22837382361537356. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 82% gross margin through 2022 cost inflation.

- Source: https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm (filed 2026-02-27); Gross margin observations: [[2021,0.814826484976184],[2022,0.8218253955678653],[2023,0.8121400530285903]]; range within 2 percentage points.

### Where the cash goes

Reinvests 19.3% of cash earnings; earns 34.6% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2016: growth capex 5423000; upkeep 3798000; owner earnings 20482000. Growth capex / owner earnings = 0.2647690655209452.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2017: growth capex 5855000; upkeep 7209000; owner earnings 50798000. Growth capex / owner earnings = 0.11526044332454034.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2018: growth capex 10487387.777424334; upkeep 14703612.222575666; owner earnings 85258387.77742434. Growth capex / owner earnings = 0.1230071087527801.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2019: growth capex 18942000; upkeep 21662000; owner earnings 108318000. Growth capex / owner earnings = 0.17487398216362932.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2020: growth capex 34755139.5001975; upkeep 45358860.4998025; owner earnings 225590139.5001975. Growth capex / owner earnings = 0.15406320319318334.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2021: growth capex 17754000; upkeep 42219000; owner earnings 137762000. Growth capex / owner earnings = 0.12887443562085335.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2022: growth capex 37460000; upkeep 54425000; owner earnings 53385000. Growth capex / owner earnings = 0.7016952327432799.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: growth capex 0; upkeep 55020000; cash acquisitions 0; owner earnings 204338000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: growth capex 19572000; upkeep 87490000; cash acquisitions 0; owner earnings 393076000. Growth capex plus acquisitions / owner earnings = 0.049791897750053424.

- Source: https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm (filed 2026-02-27); FY2025: growth capex 81227000; upkeep 115784000; cash acquisitions 4350000; owner earnings 443304000. Growth capex plus acquisitions / owner earnings = 0.19304359987728512.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Incremental return on capital 0.34550534721092674, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Dividend observations: [[2016,140559000],[2017,0],[2018,0],[2019,0],[2020,44679000],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm (filed 2026-02-27); FY2025: cash repurchases 1380422000 USD.

### Are managers owners

Insiders own 2.6% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); TTD.US SharesStats.PercentInsiders = 2.601 percentage points; cache date 2026-10-16.

### What the price says

The price is 2.2 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Closing price 13.13 USD; reporting-to-trading FX 1; FY2025 annual sales per share 5.8682567758955; price multiple 2.237461737177708. FY2025 cash earnings/share 0.898192891919984. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $25.18 per share

- 2016-11: $26.58 per share

- 2016-12: $27.67 per share

- 2017-01: $29.66 per share

- 2017-02: $42.21 per share

- 2017-03: $37.25 per share

- 2017-04: $37.35 per share

- 2017-05: $55.00 per share

- 2017-06: $50.11 per share

- 2017-07: $53.31 per share

- 2017-08: $52.97 per share

- 2017-09: $61.51 per share

- 2017-10: $65.92 per share

- 2017-11: $49.14 per share

- 2017-12: $45.73 per share

- 2018-01: $48.48 per share

- 2018-02: $56.26 per share

- 2018-03: $49.62 per share

- 2018-04: $51.17 per share

- 2018-05: $85.53 per share

- 2018-06: $93.80 per share

- 2018-07: $84.32 per share

- 2018-08: $141.88 per share

- 2018-09: $150.91 per share

- 2018-10: $123.55 per share

- 2018-11: $142.45 per share

- 2018-12: $116.06 per share

- 2019-01: $142.68 per share

- 2019-02: $197.54 per share

- 2019-03: $197.95 per share

- 2019-04: $221.48 per share

- 2019-05: $198.81 per share

- 2019-06: $227.78 per share

- 2019-07: $263.31 per share

- 2019-08: $245.77 per share

- 2019-09: $187.55 per share

- 2019-10: $200.80 per share

- 2019-11: $263.34 per share

- 2019-12: $259.78 per share

- 2020-01: $269.18 per share

- 2020-02: $287.25 per share

- 2020-03: $193.00 per share

- 2020-04: $292.58 per share

- 2020-05: $311.56 per share

- 2020-06: $406.50 per share

- 2020-07: $451.32 per share

- 2020-08: $481.30 per share

- 2020-09: $518.78 per share

- 2020-10: $566.45 per share

- 2020-11: $901.07 per share

- 2020-12: $801.00 per share

- 2021-01: $765.99 per share

- 2021-02: $805.39 per share

- 2021-03: $651.66 per share

- 2021-04: $729.31 per share

- 2021-05: $588.14 per share

- 2021-06: $77.36 per share

- 2021-07: $81.91 per share

- 2021-08: $80.05 per share

- 2021-09: $70.30 per share

- 2021-10: $74.91 per share

- 2021-11: $103.42 per share

- 2021-12: $91.64 per share

- 2022-01: $69.54 per share

- 2022-02: $85.32 per share

- 2022-03: $69.25 per share

- 2022-04: $58.92 per share

- 2022-05: $52.05 per share

- 2022-06: $41.89 per share

- 2022-07: $45.00 per share

- 2022-08: $62.70 per share

- 2022-09: $59.75 per share

- 2022-10: $53.24 per share

- 2022-11: $52.14 per share

- 2022-12: $44.83 per share

- 2023-01: $50.70 per share

- 2023-02: $55.96 per share

- 2023-03: $60.91 per share

- 2023-04: $64.34 per share

- 2023-05: $70.08 per share

- 2023-06: $77.22 per share

- 2023-07: $91.26 per share

- 2023-08: $80.03 per share

- 2023-09: $78.15 per share

- 2023-10: $70.96 per share

- 2023-11: $70.46 per share

- 2023-12: $71.96 per share

- 2024-01: $68.43 per share

- 2024-02: $85.43 per share

- 2024-03: $87.42 per share

- 2024-04: $82.85 per share

- 2024-05: $92.78 per share

- 2024-06: $97.67 per share

- 2024-07: $89.88 per share

- 2024-08: $104.53 per share

- 2024-09: $109.65 per share

- 2024-10: $120.21 per share

- 2024-11: $128.55 per share

- 2024-12: $117.53 per share

- 2025-01: $118.68 per share

- 2025-02: $70.32 per share

- 2025-03: $54.72 per share

- 2025-04: $53.63 per share

- 2025-05: $75.22 per share

- 2025-06: $71.99 per share

- 2025-07: $86.96 per share

- 2025-08: $54.66 per share

- 2025-09: $49.01 per share

- 2025-10: $50.28 per share

- 2025-11: $39.56 per share

- 2025-12: $37.96 per share

- 2026-01: $30.33 per share

- 2026-02: $23.82 per share

- 2026-03: $22.69 per share

- 2026-04: $23.59 per share

- 2026-05: $21.56 per share

- 2026-06: $18.08 per share

- 2026-07: $18.04 per share

- 2026-08: $13.72 per share

- 2026-09: $12.17 per share

- 2026-10: $13.13 per share

## Annual estimated value (USD per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1671933/000167193326000014/ttd-20251231.htm); period 2025-12-31, filed 2026-02-27.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.