Is It Too Late to Buy The Trade Desk Stock?
The Trade Desk (NASDAQ: TTD) recently released its report for the first quarter of 2023, and its business has continued to show improvement. This has led to an increasing stock price, rising 65% from its 52-week low in November.
However, that recent surge has also made it a more expensive stock at a time when digital advertising spending has slowed. This calls into question whether investors can still buy the software-as-a-service (SaaS) stock at a reasonable price or if they should write it off as a missed opportunity.
In the first quarter, The Trade Desk reported $383 million in revenue, a 21% increase from the same quarter in 2022. As mentioned before, the ad industry has dealt with a slump in ad spending, and the drop-off from its 32% revenue growth rate in 2022 shows that slowdown. Still, the transition from traditional to connected televisions has moved much of the ad spend to the digital space, which mitigates the company's slowing revenue growth.
Source Fool.com
