TTD

Trade Desk, Inc.

Technology • CIK: 0001671933

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Market Cap
$18.54B
P/E (TTM)
41.7x
Rev Growth (TTM)
+18.5%
Net Margin (TTM)
15.3%
FCF Yield (TTM)
4.3%
FCF Margin (TTM)
27.5%

Filing Intelligence

5.0/10
10-K filed Feb 27, 2026 • FY

Executive Summary

Substantial share repurchases totaling $1.4 billion were completed in 2025, reflecting a commitment to shareholder returns and offsetting dilution.. The company has significant non-cancelable...

Key Concerns

  • ●Management expresses confidence in meeting short-term liquidity needs through existing cash, operating cash flow, and credit facilities,...
  • ●Company reports revenue net of supplier costs, requiring significant judgment in principal vs. agent assessment.
  • ●Increase in accounts receivable suggests potential cash collection timing issues or aggressive revenue recognition.

Key Strengths

  • ●The company generated strong operating cash flow in 2025, exceeding net income, but experienced a significant increase in accounts...
  • ●Capital expenditures are focused on growth, particularly in expanding hosting capabilities and developing platform enhancements, indicating...
View Full Quarterly Insights →

LATEST EARNINGS

•
Q4 FY2025
•
about 1 month ago
•View source
Revenue
$846.79M
+14.0%
Net Income
$186.95M
+2.6%
EPS
$0.39
+8.3%
Operating
30.3%↑ +3.9%
Net
22.1%↓ -2.5%
  • •Full year 2025 revenue reached $2.9 billion, an 18% increase year-over-year.
  • •Fourth quarter 2025 revenue was $847 million, up 14% year-over-year.
  • •Customer retention remained over 95% for the twelfth consecutive year.
  • •Announced an additional $350 million share repurchase authorization, bringing the total available for future repurchases to $500 million.
View Full Earnings →

Cash Flow Health

Free Cash Flow8/8 positive
TTM$796M
Q4 '25
$285M+80%
Q3 '25
$158M+32%
FCF Margin
TTM27.5%
Q4 '2533.7%+57%
Sector: 9.1%Top 25%
OCF Margin34.3%
OCF/NI2.24x
CapEx Coverage5.0x
FCF Yield4.3%
FCF Growth (2Y)+20%
Cash Conversion Cycle
-1158 days
DSO: 420+DIO: 0−DPO: 1578
View Insights from Latest Filing →View Full Cash Flow Statement →

Capital Allocation & Returns

Shareholder Friendly
Total Shareholder YieldTTM
TTM7.4%
Div Yield0.0%
+
Buyback (TTM)7.4%

Strong capital returns to shareholders

Dividend & Payout Metrics
Dividend Yield (TTM)0.0%
Free Cash Flow (TTM)$795.7M
Stock Repurchases (TTM)$1.4B
Capital Return / FCF173.5%
Est. Dividends Paid (TTM)$0
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
14.5%
Moderate
+0.0% YoY+12.5%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
13.7%
8Q: 12.5%
Asset Turnover
0.49x
8Q: 0.48x
Leverage (1+D/E)
1.00x
D/E: 0.00x
DuPont: 6.7% ≈ 14.5% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
9.76x
8Q:11.65x
-471.6%
Invested Cap Turn
1.06x
8Q:1.02x
+21.9%
CapEx Intensity
7.2%
8Q:5.3%
CapEx/Depreciation
1.70x
Depreciation Rate Trend
⚠ Declining -4.5%
Asset-based ROIC formula
Full Analysis

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
Revenue
$2.9B
$846.8M↑14.5%
$739.4M↑6.5%
$694.0M↑12.7%
$616.0M↓16.9%
$741.0M↑18.0%
$628.0M↑7.4%
$584.5M↑19.0%
$491.3M
Operating Income
$589.3M
$256.9M↑59.3%
$161.2M↑38.1%
$116.8M↑114.5%
$54.5M↓72.1%
$195.3M↑80.0%
$108.5M↑14.5%
$94.7M↑230.5%
$28.7M
Net Income
$443.3M
$186.9M↑61.8%
$115.5M↑28.2%
$90.1M↑77.8%
$50.7M↓72.2%
$182.2M↑93.5%
$94.2M↑10.7%
$85.0M↑168.6%
$31.7M
Operating Cash Flow
$992.7M
$311.6M↑38.7%
$224.7M↑36.2%
$165.0M↓43.4%
$291.4M↑46.2%
$199.4M↓27.0%
$273.3M↑236.4%
$81.3M↓56.2%
$185.5M
Free Cash Flow
$795.7M
$285.3M↑80.1%
$158.3M↑32.2%
$119.8M↓48.4%
$232.3M↑29.6%
$179.2M↓20.2%
$224.6M↑279.8%
$59.1M↓66.8%
$178.2M
Total Equity
N/A
Income StatementCash Flow StatementBalance Sheet

Valuation Analysis

Fair Value
Price-to-EarningsTTM
41.7x
Volatile
8Q: 473.6x-97260%
Valuation Lenses
Earnings
41.7x
vs – sector
Cash Flow
21.3x
EV/FCF vs –
Growth-Adj
3.0xPEG
Expensive for growth
Quality-Adj
2.9P/E per %ROIC
ROIC: 14.5%
Shareholder Returns
Dividend
–
Buyback
7.4%
Total Yield
7.4%
Market Cap$18.54B
EV$16.91B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
79/100
High Quality

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Above Avg
16.5%
8Q:–
Return on Invested Capital (ROIC)Top 25%
14.5%
8Q:–
+12.5%
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 13.7%
Asset Turnover: 0.49x

Earnings Quality

Cash Conversion

2.24x

OCF / Net Income ✓

FCF Consistency

–

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin78.6%

Capital Efficiency

Invested Capital Turnover1.06x

Working Capital

Cash Conversion Cycle-1158 days

Growth Quality & Momentum

Quality Growth
Growth Quality Score
78/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
18.5%
OpInc Growth YoY
31.5%
EPS Growth YoY
14.1%
FCF 3Y CAGR
19.6%

Growth Quality Analysis

✓Sustainability Index: 7.5/10 - Highly sustainable growth

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
78.6%
Operating
20.3%
Top 25% in sector
Net
15.3%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
—
FCF vs Net Gap
+12.2 pts
FCF: 27.5% | Net: 15.3%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Fortress
Net Debt / EBITDA
Net Cash
(0.0x)Net Cash: $1.30B
Interest Coverage
–
+Net cash position: $1.30B
Balance sheet risk & solvency analysis

Research

All research