TRADE DESK INC/THE -CLASS A (TTD)
US88339J1051 - Common Stock
Overall TTD gets a fundamental rating of 7 out of 10. We evaluated TTD against 91 industry peers in the Media industry. TTD scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TTD is valued quite expensive, but it does show an excellent growth. This makes TTD very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year TTD was profitable.
TTD had a positive operating cash flow in the past year.
In the past 5 years TTD has always been profitable.
TTD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.60%, TTD belongs to the top of the industry, outperforming 87.78% of the companies in the same industry.
Looking at the Return On Equity, with a value of 11.74%, TTD belongs to the top of the industry, outperforming 81.11% of the companies in the same industry.
TTD's Return On Invested Capital of 10.29% is amongst the best of the industry. TTD outperforms 91.11% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TTD is in line with the industry average of 6.91%.
The 3 year average ROIC (5.35%) for TTD is below the current ROIC(10.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.6% | ||
| ROE | 11.74% | ||
| ROIC | 10.29% |
ROA(3y)2.91%
ROA(5y)4.76%
ROE(3y)6.61%
ROE(5y)12.28%
ROIC(3y)5.35%
ROIC(5y)7.21%
1.3 Margins
The Profit Margin of TTD (13.34%) is better than 87.78% of its industry peers.
TTD's Profit Margin has declined in the last couple of years.
TTD has a Operating Margin of 16.29%. This is amongst the best in the industry. TTD outperforms 84.44% of its industry peers.
In the last couple of years the Operating Margin of TTD has declined.
TTD has a better Gross Margin (81.06%) than 92.22% of its industry peers.
In the last couple of years the Gross Margin of TTD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.29% | ||
| PM (TTM) | 13.34% | ||
| GM | 81.06% |
OM growth 3Y-15.79%
OM growth 5Y-14.45%
PM growth 3Y-31.8%
PM growth 5Y-13.01%
GM growth 3Y1.09%
GM growth 5Y1.31%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TTD is creating some value.
Compared to 1 year ago, TTD has less shares outstanding
TTD has more shares outstanding than it did 5 years ago.
TTD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 13.94 indicates that TTD is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 13.94, TTD belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
There is no outstanding debt for TTD. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 13.94 |
ROIC/WACC1.11
WACC9.23%
2.3 Liquidity
TTD has a Current Ratio of 1.85. This is a normal value and indicates that TTD is financially healthy and should not expect problems in meeting its short term obligations.
TTD has a Current ratio of 1.85. This is comparable to the rest of the industry: TTD outperforms 60.00% of its industry peers.
A Quick Ratio of 1.85 indicates that TTD should not have too much problems paying its short term obligations.
TTD has a Quick ratio (1.85) which is comparable to the rest of the industry.
The current and quick ratio evaluation for TTD is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.85 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.49% over the past year.
TTD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.07% yearly.
Looking at the last year, TTD shows a very strong growth in Revenue. The Revenue has grown by 26.13%.
TTD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 32.46% yearly.
EPS 1Y (TTM)20.49%
EPS 3Y22.5%
EPS 5Y36.07%
EPS Q2Q%24.24%
Revenue 1Y (TTM)26.13%
Revenue growth 3Y32.53%
Revenue growth 5Y32.46%
Sales Q2Q%27.32%
3.2 Future
TTD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.50% yearly.
Based on estimates for the next years, TTD will show a very strong growth in Revenue. The Revenue will grow by 22.26% on average per year.
EPS Next Y32.13%
EPS Next 2Y24.71%
EPS Next 3Y24.7%
EPS Next 5Y27.5%
Revenue Next Year28%
Revenue Next 2Y24.34%
Revenue Next 3Y23.51%
Revenue Next 5Y22.26%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 84.33, TTD can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of TTD is on the same level as its industry peers.
When comparing the Price/Earnings ratio of TTD to the average of the S&P500 Index (27.54), we can say TTD is valued expensively.
TTD is valuated quite expensively with a Price/Forward Earnings ratio of 63.77.
The rest of the industry has a similar Price/Forward Earnings ratio as TTD.
TTD is valuated expensively when we compare the Price/Forward Earnings ratio to 23.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 84.33 | ||
| Fwd PE | 63.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TTD is valued a bit more expensive than 76.67% of the companies in the same industry.
61.11% of the companies in the same industry are cheaper than TTD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 117.86 | ||
| EV/EBITDA | 128.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TTD does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of TTD may justify a higher PE ratio.
A more expensive valuation may be justified as TTD's earnings are expected to grow with 24.70% in the coming years.
PEG (NY)2.62
PEG (5Y)2.34
EPS Next 2Y24.71%
EPS Next 3Y24.7%
5. Dividend
5.1 Amount
TTD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TRADE DESK INC/THE -CLASS A
NASDAQ:TTD (12/24/2024, 7:42:33 PM)
After market: 123.95 -0.01 (-0.01%)123.96
+2.29 (+1.88%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners79.85%
Inst Owner Change2.84%
Ins Owners0.52%
Ins Owner Change-6.22%
Market Cap61.18B
Analysts81.5
Price Target133.64 (7.81%)
Short Float %2.45%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.35%
Min EPS beat(2)3.45%
Max EPS beat(2)9.24%
EPS beat(4)3
Avg EPS beat(4)6.84%
Min EPS beat(4)-5.25%
Max EPS beat(4)19.93%
EPS beat(8)7
Avg EPS beat(8)17.43%
EPS beat(12)10
Avg EPS beat(12)20.25%
EPS beat(16)14
Avg EPS beat(16)30.73%
Revenue beat(2)2
Avg Revenue beat(2)0.24%
Min Revenue beat(2)0.17%
Max Revenue beat(2)0.31%
Revenue beat(4)4
Avg Revenue beat(4)1.19%
Min Revenue beat(4)0.17%
Max Revenue beat(4)3.03%
Revenue beat(8)7
Avg Revenue beat(8)1.14%
Revenue beat(12)11
Avg Revenue beat(12)1.31%
Revenue beat(16)15
Avg Revenue beat(16)2.23%
PT rev (1m)12.12%
PT rev (3m)19.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.17%
EPS NY rev (1m)1.45%
EPS NY rev (3m)2.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.78%
Revenue NY rev (1m)0.44%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 84.33 | ||
| Fwd PE | 63.77 | ||
| P/S | 26.49 | ||
| P/FCF | 117.86 | ||
| P/OCF | 96.93 | ||
| P/B | 23.3 | ||
| P/tB | 23.3 | ||
| EV/EBITDA | 128.08 |
EPS(TTM)1.47
EY1.19%
EPS(NY)1.94
Fwd EY1.57%
FCF(TTM)1.05
FCFY0.85%
OCF(TTM)1.28
OCFY1.03%
SpS4.68
BVpS5.32
TBVpS5.32
PEG (NY)2.62
PEG (5Y)2.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.6% | ||
| ROE | 11.74% | ||
| ROCE | 13.02% | ||
| ROIC | 10.29% | ||
| ROICexc | 25.66% | ||
| ROICexgc | 25.66% | ||
| OM | 16.29% | ||
| PM (TTM) | 13.34% | ||
| GM | 81.06% | ||
| FCFM | 22.48% |
ROA(3y)2.91%
ROA(5y)4.76%
ROE(3y)6.61%
ROE(5y)12.28%
ROIC(3y)5.35%
ROIC(5y)7.21%
ROICexc(3y)12.63%
ROICexc(5y)14.32%
ROICexgc(3y)12.87%
ROICexgc(5y)14.58%
ROCE(3y)6.77%
ROCE(5y)9.13%
ROICexcg growth 3Y-3.02%
ROICexcg growth 5Y-18.51%
ROICexc growth 3Y-3%
ROICexc growth 5Y-18.1%
OM growth 3Y-15.79%
OM growth 5Y-14.45%
PM growth 3Y-31.8%
PM growth 5Y-13.01%
GM growth 3Y1.09%
GM growth 5Y1.31%
F-Score7
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 133.59% | ||
| Cap/Sales | 4.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 137.16% | ||
| Profit Quality | 168.45% | ||
| Current Ratio | 1.85 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z | 13.94 |
F-Score7
WACC9.23%
ROIC/WACC1.11
Cap/Depr(3y)126.51%
Cap/Depr(5y)169.34%
Cap/Sales(3y)4.56%
Cap/Sales(5y)5.88%
Profit Quality(3y)463.4%
Profit Quality(5y)308.48%
High Growth Momentum
Growth
EPS 1Y (TTM)20.49%
EPS 3Y22.5%
EPS 5Y36.07%
EPS Q2Q%24.24%
EPS Next Y32.13%
EPS Next 2Y24.71%
EPS Next 3Y24.7%
EPS Next 5Y27.5%
Revenue 1Y (TTM)26.13%
Revenue growth 3Y32.53%
Revenue growth 5Y32.46%
Sales Q2Q%27.32%
Revenue Next Year28%
Revenue Next 2Y24.34%
Revenue Next 3Y23.51%
Revenue Next 5Y22.26%
EBIT growth 1Y140.75%
EBIT growth 3Y11.61%
EBIT growth 5Y13.32%
EBIT Next Year488.87%
EBIT Next 3Y108.97%
EBIT Next 5Y70.67%
FCF growth 1Y7.01%
FCF growth 3Y18.68%
FCF growth 5Y54.66%
OCF growth 1Y17.17%
OCF growth 3Y13.88%
OCF growth 5Y47.19%