The Trade Desk stock surge, Digi Mart USA News: Shares of The Trade Desk (NASDAQ:TTD) rose sharply on Monday, climbing as much as 16.6%. As of 11:38 a.m.
ET, the stock was still up 15.2%.
The move was driven by anticipation surrounding the company’s upcoming financial report and the return of one of its founders. Last week, The Trade Desk announced that former chief technology officer (CTO) and co-founder Dave Pickles was returning after stepping down in 2023.
Pickles will establish and lead the company’s newly formed CTO council to help shape the next generation of The Trade Desk platform. He will focus on aligning technology strategy, architectural direction, operational excellence, and key engineering investments, including agentic capabilities and advanced AI-powered advertising workflows.
Pickles is returning at a critical time for the company, which has struggled over the past year as slowing growth and increasing competition have weighed on its results. In the second quarter, The Trade Desk reported revenue growth of just 3% year over year to $715 million, while adjusted earnings per share of $0.34 fell 17%.
The company’s outlook was also a concern. It called for revenue to decline 12% year over year to $650 million, while adjusted EBITDA of $160 million is expected to plunge 50%.
The return of Pickles has given investors hope that The Trade Desk can regain its former strength, though some may be getting ahead of themselves. The stock is trading at just 18 times earnings, near an all-time low set last month.
Given the pessimism reflected in the share price, it would not take much to push the stock higher, as today’s movement shows.
The Trade Desk is scheduled to report its third-quarter results after the market close on Monday, and investors will have more information soon.
