Fundamental analysis · SEC EDGAR · TTM through 30/06/2026

Fundamental analysis of Trade Desk, Inc.

TTD · Nasdaq · Technology

Fundamental quality

ATTRACTIVE

83

out of 100

Trade Desk, Inc. grows profitably: it increases revenue at double digits (26.1% a year) without giving up profitability (net margin 13.6%). On fundamental quality it scores 83 out of 100, profiling it as a company with solid fundamentals. Its weakest area is its profitability (net margin 13.6%). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

The Trade Desk is the leading independent platform for buying digital advertising programmatically: agencies and advertisers use it to bid in real time for ads on the open web, connected TV and audio. It is the alternative to buying inside Google's or Meta's walled gardens.

What will shape its future

  • Connected TV: the migration of ad budgets from linear TV to streaming is its big tailwind.
  • Its independence: unlike Google, it doesn't compete with its clients for audience.
  • Privacy and the death of cookies, forcing a reinvention of how users are identified.

Breakdown by area

I.Growth
80

EPS growth: 10.3% · Revenue growth: 26.1%

II.Profitability
75

Net margin: 13.6% · ROE: 15.8% · ROIC: 26.3%

III.Financial health
95

Net debt/EBITDA: -1.58x · FCF: 28.9%

Source: SEC EDGAR · TTM through 30/06/2026

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its profitability drags it down the most.

Versus its sector

Percentile against the other 100 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 47%
ROEbeats 46%
Growthbeats 75%
Cash generationbeats 71%
Less debtbeats 91%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Trade Desk, Inc. strengths

  • Excellent free-cash-flow generation (FCF margin of 28.9%): profit turns into real cash.
  • Revenue growing strongly (26.1% annualized).
  • Revenue rising without interruption since 2020.
  • Net cash position: more cash than debt.

Trade Desk, Inc. risks and weaknesses

  • Shrinking margins: net margin has fallen from 29% to 15% in recent years.

Trade Desk, Inc. historical evolution

YearRevenueNet incomeFree cash flowNet debt
2020836242331-437
20211,196138324-754
20221,57853465-1,031
20231,946179552-895
20242,445393641-1,369
20252,896443796-658

Between 2020 and 2025, revenue went from $836M to $2,896M (+246%) and net income went from $242M to $443M (+83%). Meanwhile, its margins have narrowed (from 29% to 15%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended June 30, 2026, versus the half-year ended June 30, 2025 (SEC filings):

  • Revenue+7.2%
  • Net income-25.9%

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score8583
  • Net margin14.6%13.6%
  • ROE17.6%15.8%
  • Revenue growth27.3%26.1%
  • Net debt/EBITDA-1.21×-1.58×

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

This company doesn't pay a dividend: it reinvests all its earnings back into the business.

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Is Trade Desk, Inc. cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Trade Desk, Inc. a good company to invest in?

In terms of business quality, Trade Desk, Inc. scores 83 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Trade Desk, Inc. a profitable company?

Yes. Trade Desk, Inc. shows a net margin of 13.6% and an ROE of 15.8%, a sign of a profitable business.

Does Trade Desk, Inc. have a lot of debt?

No. Trade Desk, Inc. has a net cash position: more cash than debt.

Is Trade Desk, Inc. growing?

Its revenue has grown 26.1% annualized in recent years and its earnings per share 10.3%, and without interruption since 2020.

Does Trade Desk, Inc. generate cash?

Yes. It converts about 28.9% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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