The Trade Desk, Inc. (TTD): a likely value trap?

Avoid — growth has collapsed to near-zero and next quarter's guidance implies an outright revenue decline, the first in company history.

⚠ TRAP Fundamentals59/100

Down 90% from its all-time high of $139.11 — now $13.97

Why TTD dropped

TTD's crash isn't a one-time event: it fell 68% in 2025 on slowing growth and Amazon/Google competition fears, then in Q2 2026 revenue grew just 3% and management guided Q3 revenue down about 12% (a 19% guidance cut), citing macro weakness in CPG/auto plus internal execution missteps; the company just announced a 15% workforce cut.

Fwd P/E 13.9Op margin 14.2%Rev growth 3.0%Debt/equity 16.9%Analyst upside -2.9%

How this scored 59/100

✅ Passes all 4 hard checks — profitable, cash-generative, and financially survivable.

✅ Makes money Net profit margin 13.6%

✅ Generates cash Free cash flow $583M

✅ Not drowning in debt Debt/equity 16.9% (limit 200%)

✅ Can pay its bills Current ratio 1.7 (needs 1+)

Bar length shows how much each metric is worth — a 10-point metric is twice as wide as a 5-point one. Hover any row for what it means.

Profitability Does it actually make money? 15/25

Operating margin 14.2% 5/9

Net profit margin 13.6% 5/8

Return on equity 15.4% 4/8

Growth Is it getting bigger, or dying? 8/25

Revenue growth 3.0% 2/9

Earnings growth -23.6% 0/8

Expected profit change 20.0% 6/8

Value Is it cheap right now? 15/25

Forward P/E 13.9 8/10

PEG ratio 1.0 6/8

Analyst target upside -2.9% 0/7

Balance sheet Will it survive? 21/25

Debt / equity 16.9% 10/10

Current ratio 1.7 4/8

Free cash flow $583M 7/7

🔒 Read the full AI analysis

Create a free account to unlock the bull case and the risks for TTD — plus today's other picks.

Analysis generated by SmartStonks's AI from public fundamentals and news, first flagged 2026-09-11. Research only — not financial advice.