#8 - The Trade Desk (NASDAQ:TTD)
One stock that should be benefiting from the coronavirus but is not is The Trade Desk (NASDAQ:TTD). The company operates a cloud-based platform that delivers targeted, data-driven ads. It’s the opposite of traditional advertising. But unfortunately, new media is being judged by the same metrics as traditional advertising. And with the expectation that corporations will cut spending on ads while customers are quarantined, TTD stock has plummeted nearly 50% in 2020.
And this means that investors see the company’s projection of 30.5% growth in 2020 to be unattainable. And they’re probably right. But this is about looking for stocks that have a long-term gain. And right now, the Trade Desk looks to be a great value.
But The Trade Desk looks to be adding to its market share to prepare for the eventual rebound in spending. And even during this time when consumers are sheltering in place, there is still e-commerce happening. Businesses that are looking to take advantage of this will likely use The Trade Desk’s data-enhanced ads to optimize their spend.
About Trade Desk
The Trade Desk, Inc operates as a technology company in the United States and internationally. The company offers a self-service cloud-based platform that allows buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns across various ad formats and channels, including video, display, audio, digital-out-of-home, native, and social on various devices, such as computers, mobile devices, televisions, and streaming devices.
Read More - Current Price
- $123.10
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 24 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $127.07 (3.2% Upside)
In times like these, keeping some cash on the sidelines is a prudent thing to do. But that cash will only do its best work if you’re willing to put it to work when opportunity knocks. And right now, even in the chaos and uncertainty of the coronavirus, there are some buying opportunities. Many quality stocks have simply been oversold.
Looking for beaten-down stocks doesn’t mean shopping in the penny stock section of the market. Many stocks that are trading at less than $5 are doing so because of the risk they carry. A common definition is that a beaten-down stock is trading at a discount to the broader market. However with the current market volatility that can be too variable of a target.
What you want to look for are companies that display solid fundamentals with strong catalysts that look to provide revenue growth. Good companies don’t suddenly become bad. And that’s the case with the companies in this presentation. These are quality companies that are currently trading well below what can be considered a fair market price.
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