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TTD (The Trade Desk) Profitability Rank : 9 (As of Mar. 2025)


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What is The Trade Desk Profitability Rank?

The Trade Desk has the Profitability Rank of 9. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

The Trade Desk's Operating Margin % for the quarter that ended in Mar. 2025 was 8.84%. As of today, The Trade Desk's Piotroski F-Score is 6.


Competitive Comparison of The Trade Desk's Profitability Rank

For the Advertising Agencies subindustry, The Trade Desk's Profitability Rank, along with its competitors' market caps and Profitability Rank 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's Profitability Rank Distribution in the Media - Diversified Industry

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

* The bar in red indicates where The Trade Desk's Profitability Rank falls into.


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The Trade Desk Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

The Trade Desk has the Profitability Rank of 9. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

The Trade Desk's Operating Margin % for the quarter that ended in Mar. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=54.452 / 616.021
=8.84 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

The Trade Desk has an F-score of 6 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Warning Sign:

The Trade Desk Inc operating margin has been in a 5-year decline. The average rate of decline per year is -4.9%.

4. Consistency of the profitability

5. Predictability Rank


The Trade Desk Profitability Rank Related Terms

Thank you for viewing the detailed overview of The Trade Desk's Profitability Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


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. It uses data in an iterative manner to optimize the performance of ad impressions purchased. The firm's platform is referred to as a demand-side platform in the digital ad industry, and it generates revenue from fees based on a percentage of what its clients spend on advertising.
Executives
Laura Schenkein officer: Chief Financial Officer C/O THE TRADE DESK, INC., 42 NORTH CHESTNUT STREET, VENTURA CA 93001
David B Wells director C/O NETFLIX, INC., 100 WINCHESTER CIRCLE, LOS GATOS CA 95130
Jeffrey Terry Green director, 10 percent owner, officer: President and CEO 42 N. CHESTNUT STREET, VENTURA CA 93001
Jay R Grant officer: Chief Legal Officer 225 E. 79TH STREET, APT 12E, NEW YORK NY 10075
Gokul Rajaram director 301 CONGRESS AVENUE, SUITE 700, AUSTIN TX 78701
Andrea Lee Cunningham director C/O TRADE DESK, INC., 42 N. CHESTNUT STREET, VENTURA CA 93001
Kathryn E Falberg director C/O AXOVANT SCIENCES, INC., 320 WEST 37TH STREET, 5TH FLOOR, NEW YORK NY 10018
Lise J Buyer director 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
David Randall Pickles officer: Chief Technology Officer 42 N. CHESTNUT STREET, VENTURA CA 93001
Blake Jeffrey Grayson officer: Chief Financial Officer 2212 EVERETT AVENUE E, SEATTLE WA 98102
Eric B Paley director, 10 percent owner C/O THE TRADE DESK, INC., 42 N. CHESTNUT ST., VENTURA CA 93001
Susan Vobejda officer: Chief Marketing Officer 130 EAST RANDOLPH STREET, 7TH FLOOR, CHICAGO IL 60601
Michelle Hulst officer: Chief Operating Officer 130 MERCHANT STREET, HONOLULU HI 96813
Brian John Stempeck officer: Chief Client Officer 42 N. CHESTNUT STREET, VENTURA CA 93001
Vivian Yang officer: Chief Legal Officer C/O VIANT TECHNOLOGY INC., 2722 MICHELSON DRIVE, SUITE 100, IRVINE CA 92612