Latest news with #UID2
Yahoo
23-07-2025
- Business
- Yahoo
The Trade Desk vs. Alphabet: Which Ad-Tech Stock is the Smarter Buy?
Both The Trade Desk, Inc TTD and Alphabet Inc GOOGL play pivotal roles in the programmatic advertising ecosystem. TTD operates a leading demand-side platform (DSP), which helps advertisers focus on data-driven ads. Alphabet, on the other hand, dominates the digital ad space through its massive ecosystem comprising Google Search, YouTube and more. Since both firms have a massive exposure to the booming connected TV (CTV) and retail media trends, this makes for an intriguing comparison for investors. So, which stock makes a better investment pick at present? Let's deep dive into the pros and cons for each company. The Case for TTD TTD is confident in its ability to outpace the market and seize future opportunities owing to solid execution across key initiatives, CTV, retail media, international expansion, Kokai, UID2 and OpenPath. The Kokai platform is now being used by two-thirds of the clients, much ahead of schedule. The platform is delivering on lower funnel KPIs, including 24% lower cost per conversion and 20% lower cost per acquisition, per TTD. 100% adoption by clients is expected to be completed by this year's end. The integration of Koa AI tools was highlighted by management as a 'game changer' for the Kokai platform. It recently introduced Deal Desk, an innovation within its Kokai platform designed to enhance how advertisers and publishers manage one-to-one deals and upfront commitments. The acquisition of Sincera, a leading digital advertising data company, will aid in enhancing its programmatic advertising platform by integrating Sincera's actionable insights on data quality. It recently unveiled the OpenSincera application to offer Sincera's rich advertising metadata to the ad tech ecosystem. First-quarter revenues jumped 25% year over year while adjusted EBITDA was $208 million (34% margin). Video, which includes connected TV or CTV, represented a high 40 percent share of digital spend, while mobile had a mid-30 percent share. It expects at least $682 million in revenues for the second quarter of 2025, implying approximately 17% year-over-year growth. The stock's recent addition to the S&P 500 index has increased its visibility and potentially aided in attracting more institutional ownership. Nonetheless, increasing macroeconomic uncertainty and escalating trade tensions do not augur well for TTD, as these could squeeze ad budgets. The company highlighted the impact of the volatile macro backdrop, particularly on the large global brands. If macro headwinds worsen or persist into the second half of 2025, revenue growth may face further pressure due to reduced programmatic demand. The intensely competitive nature of the digital advertising industry, dominated by industry giants like Alphabet and Amazon, continues to put pressure on TTD's market position. While CTV remains a strong revenue driver, the market is increasingly fragmented and competitive. Heavy reliance on CTV for growth is a concern, as any adverse impact on this segment could weigh heavily on the company's overall performance. Moreover, TTD derived 88% of its revenues from North America, while only 12% came from international markets. A weak international footprint limits TTD's total addressable market expansion potential. The Case for GOOGL Alphabet dominates digital ad space with its online ad platform. The main sources of its ad revenues are Google Search, YouTube ads, Google Network, Google AdSense and Google Ad Manager. The company's ginormous ad technology infrastructure integrates both DSP and supply-side platforms, aids advertisers in reaching their target across the web, mobile apps, and CTV. Alphabet's efforts to infuse AI in Search are driving top-line growth. Circle to Search now features AI Mode. AI Mode is also accessible through Lens within the Google app on both Android and iOS devices. Circle to Search is now available on 300 million-plus Android devices. Earlier, Alphabet announced the launch of Offerwall. It is a flexible tool designed to aid publishers earn revenue while offering their audience choices. Offerwall is now available in Ad Manager. The company also rolled out new features, which include Optimize. Optimize utilizes AI to decide the best time to display the Offerwall for each visitor, thereby maximizing engagement and revenues. In 2024, Google advertising revenues increased 11.2% over 2023 to $264.59 billion, driven by a 13.2% increase in Google Search & other revenues and a 14.7% increase in YouTube ads. In 2024, ad revenues accounted for 75.6% of the total revenues. In the first quarter of 2025, Google advertising revenues rose 8.5% year over year to $66.885 billion and accounted for 74.1% of total revenues. Search and other revenues were up 9.8% and YouTube's advertising revenues improved 10.3% year over year. Alphabet's ad business faces several headwinds. Regulatory scrutiny is intensifying, particularly in the United States and Europe. The landscape has become increasingly competitive with both small and established players aggressively vying for ad dollars. Privacy changes such as the depreciation of third-party cookies and Apple's iOS tracking restrictions are also reforming the digital ad landscape. Nonetheless, business diversification, especially cloud and AI, with stupendous financial resources, gives it an edge and reduces reliance on one segment. Alphabet generated $36.15 billion of cash from operations in the first quarter of 2025. Cash equivalents and marketable securities were $95.328 billion at the quarter-end. Share Performance for TTD & GOOGL Over the past month, TTD and GOOGL have gained 13.7% and 14.8%, respectively. Image Source: Zacks Investment Research Valuation for TTD & GOOGL Valuation-wise, TTD is overvalued, as suggested by the Value Score of F, while GOOGL has a Value Score of C. In terms of the forward 12-month price/earnings ratio, TTD shares are trading at 41.06X, higher than GOOGL's 19.35X. Image Source: Zacks Investment Research How Do Zacks Estimates Compare for TTD & GOOGL? Analysts have made no revisions for TTD's bottom line for the current year in the past 60 days. Image Source: Zacks Investment Research For GOOGL, there is a marginal upward revision. Image Source: Zacks Investment Research TTD or GOOGL: Which Is a Better Pick? TTD and GOOGL currently carry a Zacks Rank #3 (Hold) each. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. While both The Trade Desk and Alphabet are benefiting from the rise in CTV and retail media, Alphabet stands out due to its broader ad ecosystem, stronger financials, and diversified revenue streams. Its massive scale, robust AI integration, and better valuation make it a more resilient long-term investment. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alphabet Inc. (GOOGL) : Free Stock Analysis Report The Trade Desk (TTD) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
05-07-2025
- Business
- Yahoo
The Trade Desk, HOY Expand Partnership to Boost Programmatic CTV Advertising in Hong Kong
The Trade Desk Inc. (NASDAQ:TTD) is one of the best NASDAQ growth stocks to buy for the next 3 years. On June 18, The Trade Desk announced an expanded partnership with HOY. The collaboration will enable programmatic trading of HOY's connected TV/CTV advertising inventory via The Trade Desk's platform. HOY will adopt advanced identity and access technologies, specifically Unified ID 2.0 (UID2) and OpenPath, to enhance targeting precision. The partnership comes as audiences are shifting towards on-demand and streaming content. Statista reported that the global CTV ad spending is projected to reach more than $38 billion by 2027. A large array of computer screens and tech equipment representing the technology company's self-service cloud-based platform. HOY's proactive integration of UID2 and readiness for OpenPath deployment positions it to create a transparent and high-performance advertising ecosystem. UID2 was originally developed by The Trade Desk, a next-gen identity solution. The Trade Desk Inc. (NASDAQ:TTD) is a technology company with a self-service cloud-based ad-buying platform for buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns. HOY is a media platform operated by i-CABLE Communications Limited in Hong Kong. While we acknowledge the potential of TTD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the . READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-06-2025
- Business
- Yahoo
The Trade Desk's CTV Business Driving Growth: Can the Momentum Hold?
The Trade Desk (TTD) is benefiting from higher Connected TV ('CTV') adoption amid the convergence of internet and television programming. This particular growth driver is fast becoming the focus of the company's growth strategy. In the last reported quarter, video advertising, which includes CTV, represented a high-40s percentage share of total business. TTD is looking to capitalize on the shift from linear to programmatic CTV. On the last earnings call, TTD referred to CTV as the 'kingpin of the open internet.' The company also highlighted that supply is outpacing demand in the current ad landscape, especially in CTV, therefore making it a buyer's market. Major CTV players are not only 'plugging directly' into TTD's demand, but they are also adopting key innovations like UID2 and OpenPath. Earlier in the year, TTD introduced its Ventura Operating System for CTV, designed to drive greater efficiency and transparency in advertising. This operating system enables better data management, allowing TTD to enhance its targeting capabilities, which are crucial as the CTV market expands. TTD is also executing its international expansion led by CTV. Nonetheless, increasing macroeconomic uncertainty and escalating trade tensions do not augur well for TTD as well as other players in this intensely competitive landscape, as these could squeeze ad budgets. TTD highlighted the impact of the volatile macro backdrop, particularly on the large global brands. If macro headwinds worsen or persist into the second half of 2025, revenue growth may face further pressure due to reduced programmatic demand. Like The Trade Desk, PubMatic, Inc PUBM is gaining from growth in the CTV business, which bolsters its strategic positioning in the high-growth programmatic video. PUBM is expected to gain from the continuing shift of ad dollars from linear TV to streaming, especially in a market favoring programmatic spot buys with flexibility over heavy upfront commitments. PubMatic has already secured more than 80% penetration among the top 30 streamers. In the last reported quarter, CTV revenues surged more than 50% year over year, while omni-channel video revenues grew 20% and represented 40% of total revenues. PubMatic is also heavily investing in Activate for SPO, Convert for commerce media and Connect for curation to drive growth and create sticky customer engagement. Magnite, Inc MGNI is gaining from robust growth in CTV, with overall contributions excluding Traffic Acquisition Costs (ex-TAC) increasing 12% year over year in the first quarter of 2025. CTV's contribution ex-TAC was up 15%, representing 43% of Magnite's total contribution ex-TAC mix. The growth is being driven by increased ad spend and programmatic adoption by leading giants like Fox, Vizio, Roku, LG, Warner Bros. Discovery, Walmart and Netflix. Netflix continues expanding its programmatic strategy globally and Magnite remains a core partner of its programmatic ad stack. Momentum with the agency marketplaces and growth in live sports augurs well. The company recently debuted the next generation of SpringServe, integrating the ad server and advanced programmatic capabilities of its streaming SSP into one unified platform. It is set for general availability in July 2025. Shares of TTD have plummeted 40.6% year to date compared with the Internet – Services industry's decline of 9.3%. Image Source: Zacks Investment Research In terms of forward price/earnings, TTD's shares are trading at 35.58X, up from the Internet Services industry's ratio of 17.8X. Image Source: Zacks Investment Research The Zacks Consensus Estimate for TTD's earnings for 2025 has been unchanged over the past 30 days. Image Source: Zacks Investment Research TTD currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Trade Desk (TTD) : Free Stock Analysis Report Magnite, Inc. (MGNI) : Free Stock Analysis Report PubMatic, Inc. (PUBM) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
06-06-2025
- Business
- Yahoo
Trade Desk (NasdaqGM:TTD) Integrates Bell Media's First-Party Data Into Kokai Platform
In June 2025, the integration of Bell Media's marketing tools into The Trade Desk's (NasdaqGM:TTD) Kokai platform offered advertisers advanced data and audience-building features, with support for privacy-conscious targeting using UID2. This collaboration likely contributed positively to the firm's 28% price increase over the past month. Along with the robust integration news, The Trade Desk's positive first-quarter earnings and forward guidance announcements provided additional fundamental strength. The broader market also showed resilience, as evidenced by the S&P 500 reaching 6,000, indicating a supportive environment for the stock's upward trajectory. Buy, Hold or Sell Trade Desk? View our complete analysis and fair value estimate and you decide. The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 25 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement. The integration of Bell Media's tools into The Trade Desk's Kokai platform not only contributed to a recent 28% share price increase, it also underscores the company's strategic push toward AI and privacy-conscious advertising solutions. This initiative aligns with its broader goals of improving operational efficiency and deepening client relationships. Over the last five years, The Trade Desk delivered an impressive total return of 104.61%, highlighting its potential for long-term growth, although it recently underperformed the US media industry by showing 104.7% earnings growth compared to the industry's negative returns. The company's focus on AI and structural reorganization suggests a promising outlook for revenue and earnings enhancement. With analysts forecasting revenue growth of 17.8% annually and a profit margin increase from 16.1% to 20.4% over the next three years, the recent platform upgrades could act as a catalyst for achieving these targets. However, the company's current share price of US$55.63 remains at a 21.4% discount to the consensus price target of US$86.32, reflecting mixed analyst confidence and potential future uncertainties. Investors should weigh these forecasts against current market conditions to assess if the recent developments can sustain the company's favorable growth trajectory. Navigate through the intricacies of Trade Desk with our comprehensive balance sheet health report here. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NasdaqGM:TTD. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Yahoo
06-06-2025
- Business
- Yahoo
Trade Desk (NasdaqGM:TTD) Integrates Bell Media's First-Party Data Into Kokai Platform
In June 2025, the integration of Bell Media's marketing tools into The Trade Desk's (NasdaqGM:TTD) Kokai platform offered advertisers advanced data and audience-building features, with support for privacy-conscious targeting using UID2. This collaboration likely contributed positively to the firm's 28% price increase over the past month. Along with the robust integration news, The Trade Desk's positive first-quarter earnings and forward guidance announcements provided additional fundamental strength. The broader market also showed resilience, as evidenced by the S&P 500 reaching 6,000, indicating a supportive environment for the stock's upward trajectory. Buy, Hold or Sell Trade Desk? View our complete analysis and fair value estimate and you decide. The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 25 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement. The integration of Bell Media's tools into The Trade Desk's Kokai platform not only contributed to a recent 28% share price increase, it also underscores the company's strategic push toward AI and privacy-conscious advertising solutions. This initiative aligns with its broader goals of improving operational efficiency and deepening client relationships. Over the last five years, The Trade Desk delivered an impressive total return of 104.61%, highlighting its potential for long-term growth, although it recently underperformed the US media industry by showing 104.7% earnings growth compared to the industry's negative returns. The company's focus on AI and structural reorganization suggests a promising outlook for revenue and earnings enhancement. With analysts forecasting revenue growth of 17.8% annually and a profit margin increase from 16.1% to 20.4% over the next three years, the recent platform upgrades could act as a catalyst for achieving these targets. However, the company's current share price of US$55.63 remains at a 21.4% discount to the consensus price target of US$86.32, reflecting mixed analyst confidence and potential future uncertainties. Investors should weigh these forecasts against current market conditions to assess if the recent developments can sustain the company's favorable growth trajectory. Navigate through the intricacies of Trade Desk with our comprehensive balance sheet health report here. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NasdaqGM:TTD. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio
