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The Trade Desk downgraded to Sell due to shrinking revenue and margin pressure amid AI competition.

Analyst Insights
10 Nov 2026, 21:00 WIB
Seeking Alpha
View Source
Bearish
The Trade Desk downgraded to Sell due to shrinking revenue and margin pressure amid AI competition.

The Trade Desk has been downgraded to a Sell rating as it faces declining revenue and shrinking profit margins. Despite beating Q3 revenue guidance, the company saw a 0.5% year-over-year revenue decline and a significant drop in operating margins by over 900 basis points to 12.6%. Increased competition from AI-driven platforms like META and YouTube is eroding its market share and advertiser appeal. Analysts warn that consensus estimates are too optimistic, predicting further double-digit revenue declines ahead, making the current valuation less attractive.

The Trade Desk (TTD) shares are trading at USD 15.70 on Pluang as of Nov 11, 2026 02:11 WIB, showing a 5.16% gain in the last day. Despite the recent downgrade and concerns over declining revenue, the stock remains well below its 52-week high of USD 44.20. Pluang investors typically hold TTD shares for about 75 days, with current order activity leaning 62% towards selling.

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