The Trade Desk (TTD) Stock Moves -0.85%: What You Should Know

In the latest trading session, The Trade Desk (TTD) closed at $72.58, marking a -0.85% move from the previous day. This change was narrower than the S&P 500's daily loss of 0.91%.

Heading into today, shares of the digital-advertising platform operator had lost 3.42% over the past month, lagging the Computer and Technology sector's gain of 2.86% and the S&P 500's gain of 0.01% in that time.

Wall Street will be looking for positivity from TTD as it approaches its next earnings report date. In that report, analysts expect TTD to post earnings of $0.16 per share. This would mark year-over-year growth of 23.08%. Our most recent consensus estimate is calling for quarterly revenue of $283.6 million, up 31.23% from the year-ago period.

TTD's full-year Zacks Consensus Estimates are calling for earnings of $0.78 per share and revenue of $1.17 billion. These results would represent year-over-year changes of +13.04% and +40.36%, respectively.

Any recent changes to analyst estimates for TTD should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. TTD currently has a Zacks Rank of #2 (Buy).

Looking at its valuation, TTD is holding a Forward P/E ratio of 94.45. For comparison, its industry has an average Forward P/E of 28.35, which means TTD is trading at a premium to the group.

Meanwhile, TTD's PEG ratio is currently 4.11. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Services stocks are, on average, holding a PEG ratio of 3.87 based on yesterday's closing prices.

The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 156, putting it in the bottom 39% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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