The Trade Desk’s Stock Volatility
The Trade Desk (NASDAQ: TTD) experienced significant stock movement in July, rising 21% over the month due to the announcement of its inclusion in the S&P 500, which occurred on July 18. The stock jumped 7% on July 15 following the news that it would replace Ansys in the index.
However, the stock tumbled on August 8 after the company reported a 19% rise in revenue to $694 million, slightly exceeding expectations, as well as adjusted earnings per share matching forecasts at $0.41. Despite this, the company’s guidance for future revenue growth—a projected deceleration to 14% in Q3—raised concerns among analysts regarding competition and execution, leading to a number of downgrades.
