Raiffeisen Bank International AG has reduced its stake in The Trade Desk (NASDAQ: TTD) by approximately 0.6%, as revealed in its latest filing with the Securities and Exchange Commission. The institutional investor now holds a total of 439,949 shares after divesting 2,837 shares during the second quarter. This stake is valued at around $30.7 million, representing about 0.09% of The Trade Desk’s total shares.
This adjustment comes at a time when several other institutional investors are also recalibrating their positions in The Trade Desk. Notably, LaFleur & Godfrey LLC established a new stake valued at $5.03 million during the same period. Congress Park Capital LLC increased its holdings by 13.2% and now owns 53,781 shares, worth approximately $3.87 million after acquiring an additional 6,257 shares. Swedbank AB expanded its position by 32.2%, bringing its total to 552,260 shares, valued at $39.76 million after a purchase of 134,620 shares. First Bank & Trust also significantly increased its holdings by 137.6%, now owning 23,166 shares valued at $1.67 million. Overall, hedge funds and institutional investors hold about 67.77% of the company’s stock.
Analyst Ratings and Market Performance
Recent commentary from equities analysts indicates a mixed outlook for The Trade Desk. Wall Street Zen upgraded the stock from a “sell” to a “hold” rating on November 1, while Guggenheim set a price target of $55.00 and issued a “buy” rating on September 29. The consensus among analysts reflects a balance of optimism and caution; 21 analysts have rated the stock as a “buy,” 13 as a “hold,” and 3 as a “sell.” MarketBeat currently lists the average rating as “hold” with a consensus target price of $78.33.
As of November 6, 2023, The Trade Desk’s stock opened at $41.93. The company has a market capitalization of $20.28 billion, with a price-to-earnings (P/E) ratio of 48.20. Over the past year, shares have fluctuated between a low of $41.50 and a high of $141.53.
The Trade Desk reported its quarterly earnings on November 6, revealing earnings per share of $0.45, which outperformed analysts’ expectations of $0.44. The company generated $739.43 million in revenue during the quarter, surpassing the consensus estimate of $719.11 million. Compared to the same quarter last year, revenue increased by 17.7%, showcasing robust growth despite the competitive landscape.
Stock Buyback and Insider Activity
In a strategic move, The Trade Desk’s Board of Directors announced a stock buyback program on November 6, with an authorization to repurchase up to $500 million in outstanding shares. This initiative allows the company to buy back approximately 2.1% of its shares through open market purchases, suggesting that the leadership views the stock as undervalued.
In related news, Director Andrea Lee Cunningham sold 1,403 shares on September 10 at an average price of $48.20, totaling $67,624.60. Following this transaction, Cunningham retains 5,035 shares valued at approximately $242,687, marking a 21.79% reduction in her position. Company insiders collectively own about 10% of The Trade Desk’s stock.
The Trade Desk operates as a technology company, providing a self-service cloud-based platform for managing data-driven digital advertising campaigns across various channels and formats. The company continues to navigate a rapidly evolving market landscape while maintaining a focus on innovative advertising solutions.
