Why NASDAQ:TTD Is a Promising High-Growth Stock in the Midst of Consolidation.

In this article, we'll take a closer look at TRADE DESK INC/THE -CLASS A (NASDAQ:TTD) as a potential candidate for growth investing. While it's important for investors to conduct their own research, TRADE DESK INC/THE -CLASS A has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

Growth Examination for NASDAQ:TTD

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NASDAQ:TTD, the assigned 9 reflects its growth potential:

• TTD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.87%, which is quite impressive.
• The Earnings Per Share has been growing by 36.07% on average over the past years. This is a very strong growth
• The Revenue has grown by 25.53% in the past year. This is a very strong growth!
• Measured over the past years, TTD shows a very strong growth in Revenue. The Revenue has been growing by 32.46% on average per year.
• The Earnings Per Share is expected to grow by 27.32% on average over the next years. This is a very strong growth
• Based on estimates for the next years, TTD will show a very strong growth in Revenue. The Revenue will grow by 21.42% on average per year.

Understanding NASDAQ:TTD's Health

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:TTD has earned a 8 out of 10:

• TTD has an Altman-Z score of 13.83. This indicates that TTD is financially healthy and has little risk of bankruptcy at the moment.
• TTD's Altman-Z score of 13.83 is amongst the best of the industry. TTD outperforms 100.00% of its industry peers.
• TTD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
• The Current ratio of TTD (1.80) is better than 66.29% of its industry peers.
• With a decent Quick ratio value of 1.80, TTD is doing good in the industry, outperforming 66.29% of the companies in the same industry.

Evaluating Profitability: NASDAQ:TTD

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:TTD scores a 7 out of 10:

• Looking at the Return On Assets, with a value of 4.91%, TTD is in the better half of the industry, outperforming 78.65% of the companies in the same industry.
• TTD's Return On Equity of 10.54% is fine compared to the rest of the industry. TTD outperforms 78.65% of its industry peers.
• Looking at the Return On Invested Capital, with a value of 9.14%, TTD is in the better half of the industry, outperforming 79.78% of the companies in the same industry.
• The 3 year average ROIC (5.35%) for TTD is below the current ROIC(9.14%), indicating increased profibility in the last year.
• With an excellent Profit Margin value of 11.65%, TTD belongs to the best of the industry, outperforming 86.52% of the companies in the same industry.
• TTD has a Operating Margin of 14.05%. This is in the better half of the industry: TTD outperforms 77.53% of its industry peers.
• The Gross Margin of TTD (81.23%) is better than 94.38% of its industry peers.

How does the Setup look for NASDAQ:TTD

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NASDAQ:TTD scores a 8 out of 10:

TTD has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 118.47. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 118.20, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of TTD

For an up to date full technical analysis you can check the technical report of TTD

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.