May 5, 2022
The Trade Desk (TTD) and PubMatic (PUBM): Which of these two adtech growth stocks is the best pick for investors?
Why it matters: The advertising landscape is rapidly shifting from traditional mediums to digital formats. The Trade Desk works with advertisers and agencies to reach audiences, and PubMatic works with publishers and developers on the advertising supply chain side.
PubMatic has greater upside potential, with analysts forecasting more than 87% increase over the next 12 months. But given its size, there is risk that it may not have enough capital to compete. In 2021 it produced $226.9 million in revenue at year end.
The Trade Desk on the other hand reported $1.2 billion for FY 2021 and continues to show rapid growth. Analysts give it a forecast of over 54% increase in the next year.
Looking to capture some of the potential upside in advertising stocks? Check out option strategies on both PUBM and TTD.
Source: Markets Insider