Needham Reiterates Buy Rating for Trade Desk (TTD)

The Trade Desk Inc. (NASDAQ:TTD) is one of the 15 large cap stocks under $30 with huge upside potential.

On March 20, Needham maintained its Buy rating on The Trade Desk Inc. (NASDAQ:TTD). The firm set a price target of $32 for the stock, resulting in an upside potential of more than 33% at the prevailing level. The rating came at the back of an advertising tech conference.

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Needham noted that the ongoing dispute with Publicis (PUBGY) is a short-term power struggle over revenue splits and unlikely to last. It added that strong client relationships and transparency should support contract renewals, while the stock’s recent selloff already reflects concerns around these tensions. Commenting on the update, the firm stated:

“Negotiating skills are a key media industry valuation driver, and the only thing that is unusual here is the ‘airing of dirty laundry’ in the press, which is very rare for Publicis.”

Back on February 26, Alec Brondolo of Wells Fargo reduced the target price for The Trade Desk Inc. (NASDAQ:TTD) from $42 to $25. The analyst reiterated an Equal Weight rating on the stock.

Brondolo noted that while the fourth-quarter results remained in line with the pre-announcement figures, the first-quarter revenue and EBITDA were guided at 2% and 12% below forecasts, respectively. Although management claimed that the macro downturn in the auto and CPG industries is the issue, the firm added that this explanation is unlikely to allay investor concerns, given the pre-existing competition and take-rate issues.

The Trade Desk Inc. (NASDAQ:TTD) is the largest independent technology company offering cloud-based ad-purchasing solutions. It helps brands and advertising agencies to optimize their campaigns through data-driven digital content. Such content is compatible with different formats such as audio, video, display, and connected TV. It covers several media, including mobile & streaming devices, televisions, and PCs.

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