The Trade Desk, Inc.’s stock price was at $88.33 on August 7th, with trailing P/E at 107.72 and forward P/E at 83.33. They were recently added to the S&P 500 in July 2025. Following a disappointing Q2 earnings call, TTD experienced a 30% stock decline in after-hours trading. Revenue and EBITDA slightly exceeded expectations, but soft Q3 guidance led to investor concerns.

Despite recent volatility, TTD presents a compelling growth opportunity with expected annual revenue growth of 15-20%. The company has a narrow moat in programmatic advertising and strong customer retention. CEO Jeff Green’s significant ownership aligns him with shareholders. While not a deep value play, TTD’s fundamentals suggest a strong potential for investment.

61 hedge fund portfolios held TTD at the end of the first quarter, down from 63 in the previous quarter. While TTD shows potential, other AI stocks may offer greater upside with less downside risk. For those seeking an undervalued AI stock with potential benefits from Trump-era tariffs, consider exploring our free report on the best short-term AI stock.

Read more at Yahoo Finance: The Trade Desk, Inc. (TTD): A Bull Case Theory