Why The Trade Desk Inc. (TTD) Went Up On Tuesday?

We recently published a list of Pulse of The Market: Tuesday’s 10 Top Performers. In this article, we are going to take a look at where The Trade Desk Inc. (NASDAQ:TTD) stands against other Tuesday’s top performers.

A lackluster trading persisted on the stock market on Tuesday, with all major indices finishing in the green territory, but eked out only slight gains.

The tech-heavy Nasdaq rallied the most, up 0.46 percent, followed by the S&P 500 with 0.16 percent, and the Dow Jones with a marginal 0.01 percent.

Despite the muted trading, investors poured funds into several companies, pushing their prices to achieve modest gains. In this article, we listed the 10 top performers today and detailed the reasons behind their gains.

To come up with the list, we considered only the stocks with a $2 billion market capitalization and $5 million in trading volume.

A large array of computer screens and tech equipment representing the technology company’s self-service cloud-based platform.

The Trade Desk Inc. (NASDAQ:TTD)

The Trade Desk rallied for a fifth straight day on Tuesday, adding another 4.48 percent to close at $62 each after the Citi Group maintained its positive outlook for the company.

TTD, a multinational technology company, earned a Buy rating and a $70 price target from Citi. The new price target represented a 12.9-percent upside from its latest closing price.

According to Citi, despite Amazon’s heightened efforts to enhance its own demand-side platform, it does not pose a full-scale challenge to TTD’s market position.

According to Citi, TTD’s product quality, stronghold in the CTV market, and agency relationships remain solid, contributing to its positive performance.

It added that TTD’s continued growth and valuation hinges on the total addressable market development and its capability to capture incremental biddable programmatic budgets.

Overall, TTD ranks 5th on our list of Tuesday’s top performers. While we acknowledge the potential of TTD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as TTD but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.