New York, Feb 27, 2026, 07:32 EST — Premarket
- The Trade Desk slid in premarket trading, following a steep drop triggered by its near-term guidance.
- Wall Street has been scrambling to adjust its models following the company’s Q1 outlook and a flurry of target cuts.
- Broader risk sentiment is in focus for investors heading into U.S. inflation data.
The Trade Desk (TTD) dropped 0.7% ahead of the bell, last trading at $23.78 before the open on Friday.
The stock closed Thursday at $23.95, off 4.81%, after a volatile session that saw it range from $21.08 to $24.33. Volume jumped, topping 50 million shares.
Shares dropped roughly 16% after hours on the earnings release, as a new analyst downgrade and a tepid first-quarter outlook weighed on the stock.
Broader markets offered little support. U.S. stock futures edged lower on Friday, tech names still showing nerves. Investors are holding out for U.S. producer price figures set for release ahead of the open.
The ad-tech firm logged $847 million in revenue for the fourth quarter and wrapped up the year with $2.896 billion, according to a filing. Non-GAAP earnings landed at 59 cents per share for the quarter. CEO Jeff Green pointed to “executed against a backdrop of macro uncertainty.” The board boosted its buyback pool by $350 million, bringing total remaining authorization to $500 million. Looking ahead, the company put out a first-quarter revenue target of at least $678 million and sees adjusted EBITDA — which leaves out things like stock-based compensation — coming in around $195 million. SEC
Loop Capital downgraded Trade Desk to Hold from Buy and took a hatchet to its price target, chopping it down to $25 from $75. Rosenblatt’s Barton Crockett is sticking with his Buy rating, though he trimmed his own target to $36, according to Benzinga.
Dan Salmon at New Street cut the rating to Sell, putting a $17 target on the stock, according to Barron’s. Michael Nathanson of MoffettNathanson kept his Neutral stance, describing the Q1 revenue outlook as “not great, but not a train wreck.” Barron’s
Trade Desk operates a demand-side platform (DSP), the core software advertisers rely on to purchase digital ad inventory across multiple channels like streaming TV. Now, traders are debating whether the recent dip reflects broad macro pressures or points to ad dollars moving more quickly toward the bigger players.
The downside’s straightforward: should major brand categories remain sluggish and margins continue to shrink, investors could keep delaying hopes for any “re-acceleration,” buyback plans notwithstanding.
Now, attention shifts to the March quarter for a clearer sense of demand. Some calendars peg May 13 for the next earnings report, while investors are also watching for fresh cues from the ad market as March gets underway.
