The Trade Desk (CHIX:TT8D) Interest Coverage: 178.48 (As of Mar. 2026) — 231% Above Median


CHIX:TT8D The Trade Desk Inc CHIX:TT8D
71 GF Score
Price €17.71
GF Value €123.28
Valuation Significantly Undervalued
! 2 Warning Signs
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What is The Trade Desk Interest Coverage?

The Trade Desk CHIX:TT8D 71 Interest Coverage is 178.48 as of Mar. 2026, which is 231% above its 10-year median of 53.98. GuruFocus rates CHIX:TT8D with a GF Score™ of 71/100 and a GF Value™ of €123.28 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 609 Media - Diversified companies, The Trade Desk ranks better than 90.15% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. The Trade Desk's Operating Income for the three months ended in Mar. 2026 was €58 Mil. The Trade Desk's Interest Expense for the three months ended in Mar. 2026 was €-0 Mil. The Trade Desk's interest coverage for the quarter that ended in Mar. 2026 was 178.48. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. The Trade Desk Inc has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for The Trade Desk's Interest Coverage or its related term are showing as below:

CHIX:TT8d' s Interest Coverage Range Over the Past 10 Years
Min: 18.71   Med: 53.98   Max: 1612.64
Current: 1612.64


CHIX:TT8d's Interest Coverage is ranked better than
90.15% of 609 companies
in the Media - Diversified industry
Industry Median: 11.88 vs CHIX:TT8d: 1612.64

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


The Trade Desk  (CHIX:TT8d) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


The Trade Desk Interest Coverage Related Terms


The Trade Desk Interest Coverage Historical Data

* Premium members only.

The historical data trend for The Trade Desk's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

The Trade Desk Interest Coverage Chart

The Trade Desk Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 121.12 N/A N/A N/A N/A

The Trade Desk Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 144.74 N/A N/A N/A 178.48

CHIX:TT8D vs MGNI, STGW, ZD: Interest Coverage Comparison

For the Advertising Agencies subindustry, The Trade Desk's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Trade Desk Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, The Trade Desk's Interest Coverage distribution charts can be found below:

* The bar in red indicates where The Trade Desk's Interest Coverage falls into.


CHIX:TT8D
71GF Score
The Trade Desk Inc CHIX:TT8D
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Trade Desk Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

The Trade Desk's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, The Trade Desk's Interest Expense was €0 Mil. Its Operating Income was €503 Mil. And its Long-Term Debt & Capital Lease Obligation was €307 Mil.

GuruFocus does not calculate The Trade Desk's interest coverage with the available data.

The Trade Desk's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, The Trade Desk's Interest Expense was €-0 Mil. Its Operating Income was €58 Mil. And its Long-Term Debt & Capital Lease Obligation was €299 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*57.65/-0.323
=178.48

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 178.48 mean?
The Trade Desk (CHIX:TT8D) has a Interest Coverage of 178.48 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Trade Desk and its competitors. This is 231% above median its historical median of 53.98. Over the past decade, The Trade Desk's Interest Coverage has ranged from 18.71 to 1,612.64. According to the industry distribution chart, The Trade Desk ranks #60 out of 609 companies in the Media - Diversified industry, placing it in the top 9.9%.
Is The Trade Desk's Interest Coverage too high?
The Trade Desk's current Interest Coverage of 178.48 is 231% above median its 10-year median of 53.98. Over the past 10 years, this metric has ranged from a low of 18.71 to a high of 1,612.64. The Media - Diversified industry median Interest Coverage is 11.88. The Trade Desk's value of 178.48 is 1402.4% above this industry median. Based on the distribution chart, The Trade Desk ranks #60 out of 609 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, The Trade Desk has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Trade Desk's Interest Coverage compare to MGNI and STGW?
According to the Media - Diversified industry distribution chart, The Trade Desk ranks #60 out of 609 companies for Interest Coverage. This places The Trade Desk in the top 10% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 11.88. The Trade Desk's value of 178.48 is 1402.4% above this benchmark. Historically, The Trade Desk's own Interest Coverage has ranged from 18.71 to 1,612.64 over the past decade. While the company's 10-year median is 53.98 vs. the industry median of 11.88, The Trade Desk has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.88, based on 609 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Trade Desk's current Interest Coverage of 178.48 is 1402.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Trade Desk and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Trade Desk's current Interest Coverage is 178.48, which is 231% above median its own 10-year median of 53.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Trade Desk stock overvalued right now?
Based on GuruFocus' analysis, The Trade Desk (CHIX:TT8D) is currently considered Significantly Undervalued. The stock's GF Value™ is €123.28, compared to a current price of €17.71 — trading 85.6% below its estimated fair value. The current Interest Coverage is 178.48, which is 231% above median its 10-year median of 53.98 and 1402.4% above the Media - Diversified industry median of 11.88. The Trade Desk's overall GF Score™ is 71/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For The Trade Desk (CHIX:TT8D), the current Interest Coverage is 178.48 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is The Trade Desk (CHIX:TT8D) Overvalued in 2026?

Based on GuruFocus' analysis, The Trade Desk stock appears to be undervalued. The current stock price of €17.71 is trading 85.6% below its estimated GF Value™ of €123.28. GuruFocus considers The Trade Desk to be Significantly Undervalued.

Key valuation signals for CHIX:TT8D:

  • Interest Coverage: 178.48 (231% above median its 10-year median of 53.98)
  • GF Value™: €123.28 vs. price of €17.71 (85.6% below fair value)
  • GF Score™: 71/100 with 2 warning signs
  • Industry Position: 1402.4% above the Media - Diversified median (#60 of 609)

No single metric tells the full story. See the CHIX:TT8D stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Trade Desk Business Description

Address 42 North Chestnut Street, Ventura, CA, USA, 93001
The Trade Desk provides a self-service platform that helps advertisers and ad agencies programmatically find and purchase digital ad inventory (display, video, audio, and social) on devices like computers, smartphones, and connected TVs. The firm's platform is referred to as a DSP in the digital ad industry, and it generates revenue from fees based on a percentage of what its clients spend on advertising, sometimes referred to as a "take rate."
71GF Score

Get the complete analysis for CHIX:TT8D

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€17.71
Price
€123.28
GF Value