The Trade Desk, Inc. ranks near the peer group median, with strong profitability and valuation offset by weak stability. The market setup has weakened, with clear trend damage and relative performance under pressure.
Discounted for Peer-Lagging Quality, Not Growth
52w drawdown -84.4% · 21d vs sector -27.8%
Peer-relative scores, weakest to strongest
The Trade Desk operates a programmatic digital advertising platform that enables automated ad buying across channels. Its technology serves agencies and brands seeking data-driven campaign management.
The market prices The Trade Desk on declining margin and stability quality relative to peers, not on a robust growth profile. With an operating margin of 13.2% and revenue growth at 15.1%—both trailing sector leaders in FY25—the business is losing ground where durable scale is critical. Because The Trade Desk has underperformed key ad tech peers in both margins and growth over the past two years, the market consistently prices the stock at a discount, reflecting heightened sensitivity to its weaker margin and stability profile rather than rewarding it for quality. In programmatic advertising, peer-relative weakness in growth and stability distinguishes TTD from merely cyclical underperformers. Only a sustained return to peer-level margins and growth rates for at least two quarters could change the current valuation framing.
Break down TTD's position across all dimensions with the full interactive tool.
This analysis is rule-based and descriptive. Peer-relative scores are derived from functional peer group comparisons using publicly available financial data. Scores reflect structural positioning only and do not constitute investment advice, a buy or sell recommendation, or a forecast of future performance. AssetNext peer scores are recalculated periodically as new data becomes available.
AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.
Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.
Because scores are peer-relative, the same company can have slightly different scores in different index universes. On comparison pages, both companies are shown within their shared peer universe wherever possible — so the scores are directly comparable. The peer basis is stated on each score card.
Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.