Why did The Trade Desk stock tumble in February? Check out the key factors behind this market darling's dramatic price cut.Shares of The Trade Desk (TTD -2.83%) plunged 40.8% lower in February 2025, according to data from S&P Global Market Intelligence. The digital advertising expert's fourth-quarter report fell short of Wall Street's revenue targets on Feb. 12, raising questions about the company's growth prospects.Q4 results, by the numbersThe Trade Desk was no slouch in Q4 2024. Revenues rose 22% year ov ...

Core Insights - The individual has retired after over 43 years in investment research, now operating independently to provide actionable investment insights [1] - The focus is on rules and factor-based equity investing strategies, emphasizing the use of numbers to inspire human intelligence-driven investment narratives [1] - A combination of quantitative analysis and classic fundamental analysis is employed to understand the true story of companies and their stocks, with an emphasis on future potential rather than past performance [1] Investment Strategy - The individual has extensive experience covering a wide range of stocks, including large cap, small cap, micro cap, value, growth, and income [1] - Development and application of various quantitative models have been part of the career, alongside managing a high-yield fixed-income fund [1] - The individual has also engaged in research related to quantitative asset allocation strategies, which are foundational to modern Robo Advising [1] Educational Contributions - A passion for investor education has led to numerous seminars on stock selection and analysis, as well as the authorship of two books: "Screening The Market" and "The Value Connection" [1] - The individual has previously edited and written stock newsletters, notably the Forbes Low Priced Stock Report, and served as an assistant research director at Value Line [1]

SAN DIEGO, March 5, 2025 /PRNewswire/ -- Robbins Geller Rudman & Dowd LLP announces that purchasers of The Trade Desk, Inc. (NASDAQ: TTD) Class A common stock between May 9, 2024 and February 12, 2025, all dates inclusive (the "Class Period"), have until April 21, 2025 to seek appointment as lead plaintiff of the Trade Desk class action lawsuit.  Captioned United Union of Roofers, Waterproofers & Allied Workers Local Union No. 8 WBPA Fund v. The Trade Desk, Inc., No. 25-cv-01396 (C.D. Cal.), the Trade Desk ...

RADNOR, Pa., March 05, 2025 (GLOBE NEWSWIRE) -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed in the United States District Court for the Central District of California against The Trade Desk, Inc. (“Trade Desk”) (NASDAQ: TTD) on behalf of those who purchased or otherwise acquired Trade Desk Class A common stock between May 9, 2024, and February 12, 2025, inclusive (the “Class Period”). The lead plaintiff deadline is ...

Core Viewpoint - A class action lawsuit has been filed against The Trade Desk, Inc. for allegedly misleading investors about its business prospects during a specific period, particularly regarding the rollout of its new platform, Kokai [1][2]. Group 1: Allegations and Challenges - The lawsuit claims that The Trade Desk failed to disclose significant execution challenges related to the Kokai rollout, which included difficulties in transitioning clients from the older platform, Solimar [2]. - These execution challenges reportedly delayed the Kokai rollout and negatively impacted the company's business operations and revenue growth [2]. - The positive statements made by the company regarding its business and prospects were deemed materially false and misleading due to these undisclosed challenges [2]. Group 2: Financial Performance - On February 12, 2025, The Trade Desk reported fourth quarter revenue of $741 million, which was below its guidance of $756 million and analysts' estimates of $759.8 million [3]. - The company's revenue guidance for the first quarter of 2025 was at least $575 million, missing analysts' expectations of $581.5 million [3]. - Following the announcement of these results and the acknowledgment of the slower Kokai rollout, the stock price dropped by $40.31, or over 32%, from $122.23 to $81.92 per share [3].

Core Viewpoint - The Trade Desk, Inc. is facing a class action securities lawsuit due to alleged securities fraud that negatively impacted investors between May 9, 2024, and February 12, 2025 [1][2] Group 1: Lawsuit Details - The lawsuit claims that The Trade Desk faced significant execution challenges in rolling out its AI forecasting tool, Kokai, which included transitioning clients from the older platform, Solimar [2] - These execution challenges delayed the Kokai rollout, adversely affecting the company's business operations and revenue growth [2] - Positive statements made by the defendants regarding the company's business and prospects were allegedly materially false and misleading due to the aforementioned issues [2] Group 2: Next Steps for Investors - Investors who suffered losses during the specified timeframe have until April 21, 2025, to request appointment as lead plaintiff, although participation in any recovery does not require serving as a lead plaintiff [3] - Class members may be entitled to compensation without any out-of-pocket costs or fees [3] Group 3: Firm Background - Levi & Korsinsky, LLP has a strong track record in securities litigation, having secured hundreds of millions of dollars for shareholders over the past 20 years [4] - The firm has been recognized in ISS Securities Class Action Services' Top 50 Report for seven consecutive years as one of the leading securities litigation firms in the United States [4]

Core Viewpoint - A lawsuit has been filed against The Trade Desk, Inc. and its senior executives for potential violations of federal securities laws, alleging misleading statements regarding the performance of its new platform, Kokai [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Central District of California, with claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Trade Desk common stock [2]. - Investors have until April 21, 2025, to request to be appointed to lead the case [2]. Group 2: Company Performance and Allegations - Trade Desk is accused of stating it was experiencing "massive benefits" from the launch of its Kokai platform, while in reality, it faced execution challenges that delayed the rollout and negatively impacted business operations and revenue growth [3]. - On February 12, 2025, Trade Desk reported disappointing fourth-quarter 2024 revenue of $741 million, which was below its guidance of "at least" $756 million, leading to a stock price decline of over 30% on February 13, 2025 [4].

NEW YORK, March 4, 2025 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in The Trade Desk, Inc. ("The Trade Desk" or the "Company") (NASDAQ: TTD) of a class action securities lawsuit.CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of The Trade Desk investors who were adversely affected by alleged securities fraud between May 9, 2024 and February 12, 2025. Follow the link below to get more information and be contacted by a member of our team:https://zlk.com/pslra-1/the-trade-desk-inc ...

When a proven, top-performing company sees its stock fall by a large amount, it could be an opportunity. After all, Warren Buffett once said, "The best thing that happens to us is when a great company gets into temporary trouble. [...] We want to buy them when they're on the operating table."In that light, The Trade Desk (TTD -4.48%) may offer such as opportunity today. The company missed expectations for the first time in its eight years as a public company on its Q4 2024 earnings report. Having grown accu ...

Core Insights - The Trade Desk reported a 22% year-over-year revenue increase in Q4, totaling $741 million, which fell short of analyst expectations of $758 million, leading to a significant stock decline [1][10] - Despite the revenue miss, The Trade Desk's long-term growth prospects remain strong, particularly in the connected TV advertising market, which is expected to grow substantially [3][7] Financial Performance - For 2024, The Trade Desk's revenue is projected to grow 26% to $2.4 billion, an acceleration from the previous year's 23% growth [4] - Adjusted earnings per share increased by 44% year-over-year in Q4, with annual adjusted earnings growing 32% to $1.66 per share [4] Market Position - The Trade Desk holds a strong competitive position in the programmatic advertising space, with its demand-side platform accounting for 90% of digital ad spending [6] - The company's Unified ID 2.0 technology is widely adopted by leading streaming services, enhancing audience targeting capabilities [6] Industry Context - Digital ad spending grew 13% last year, positioning The Trade Desk's performance favorably against industry growth [5] - The connected TV ad market is projected to grow 20% to reach $38 billion in 2024, representing a significant opportunity for The Trade Desk [7] Valuation Concerns - The Trade Desk's price-to-earnings (P/E) ratio stands at 92, indicating a high valuation despite strong growth, with a more reasonable price-to-free-cash-flow multiple of 57 [8] - A substantial portion of the free cash flow, $494 million, is attributed to stock-based compensation, raising concerns about the sustainability of this figure [9] Investor Sentiment - The company's failure to meet expectations for the first time in 33 quarters led to a sharp stock reaction, attributed to operational missteps during the quarter [10] - The current high valuation relative to the S&P 500's 29 times earnings suggests that investors may want to consider other growth stocks with more favorable earnings multiples [11]