TRADE DESK INC/THE -CLASS A (TT8.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:TT8 - US88339J1051 - Common Stock
30.88 EUR
+0.77 (+2.54%)
Overall TT8 gets a fundamental rating of 7 out of 10. We evaluated TT8 against 69 industry peers in the Media industry. TT8 gets an excellent profitability rating and is at the same time showing great financial health properties. TT8 is valued quite expensive, but it does show an excellent growth. These ratings could make TT8 a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
- In the past year TT8 was profitable.
- In the past year TT8 had a positive cash flow from operations.
- Each year in the past 5 years TT8 has been profitable.
- In the past 5 years TT8 always reported a positive cash flow from operatings.
1.2 Ratios
- TT8's Return On Assets of 7.38% is amongst the best of the industry. TT8 outperforms 88.24% of its industry peers.
- TT8 has a Return On Equity of 16.86%. This is amongst the best in the industry. TT8 outperforms 80.88% of its industry peers.
- TT8's Return On Invested Capital of 12.92% is amongst the best of the industry. TT8 outperforms 92.65% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for TT8 is in line with the industry average of 8.04%.
- The 3 year average ROIC (6.36%) for TT8 is below the current ROIC(12.92%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.38% | ||
| ROE | 16.86% | ||
| ROIC | 12.92% |
ROA(3y)3.77%
ROA(5y)4.79%
ROE(3y)8.04%
ROE(5y)11.41%
ROIC(3y)6.36%
ROIC(5y)6.46%
1.3 Margins
- Looking at the Profit Margin, with a value of 15.72%, TT8 belongs to the top of the industry, outperforming 97.06% of the companies in the same industry.
- In the last couple of years the Profit Margin of TT8 has remained more or less at the same level.
- TT8 has a better Operating Margin (18.91%) than 91.18% of its industry peers.
- TT8's Operating Margin has been stable in the last couple of years.
- The Gross Margin of TT8 (78.81%) is better than 77.94% of its industry peers.
- TT8's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.91% | ||
| PM (TTM) | 15.72% | ||
| GM | 78.81% |
OM growth 3Y18.76%
OM growth 5Y0.58%
PM growth 3Y11.76%
PM growth 5Y-0.37%
GM growth 3Y-0.32%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
- TT8 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- TT8 has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, TT8 has more shares outstanding
- TT8 has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- TT8 has an Altman-Z score of 4.25. This indicates that TT8 is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.25, TT8 belongs to the top of the industry, outperforming 98.53% of the companies in the same industry.
- TT8 has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.25 |
ROIC/WACC1.45
WACC8.9%
2.3 Liquidity
- TT8 has a Current Ratio of 1.71. This is a normal value and indicates that TT8 is financially healthy and should not expect problems in meeting its short term obligations.
- TT8's Current ratio of 1.71 is amongst the best of the industry. TT8 outperforms 85.29% of its industry peers.
- TT8 has a Quick Ratio of 1.71. This is a normal value and indicates that TT8 is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.71, TT8 belongs to the top of the industry, outperforming 89.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 21.09% over the past year.
- Measured over the past years, TT8 shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.00% on average per year.
- TT8 shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.82%.
- TT8 shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 29.90% yearly.
EPS 1Y (TTM)21.09%
EPS 3Y21.45%
EPS 5Y35%
EPS Q2Q%9.76%
Revenue 1Y (TTM)20.82%
Revenue growth 3Y26.9%
Revenue growth 5Y29.9%
Sales Q2Q%17.74%
3.2 Future
- Based on estimates for the next years, TT8 will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.92% on average per year.
- The Revenue is expected to grow by 15.93% on average over the next years. This is quite good.
EPS Next Y4.83%
EPS Next 2Y11.03%
EPS Next 3Y14.69%
EPS Next 5Y16.92%
Revenue Next Year17.36%
Revenue Next 2Y16.73%
Revenue Next 3Y16.37%
Revenue Next 5Y15.93%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 20.32, TT8 is valued on the expensive side.
- TT8's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 27.21. TT8 is valued slightly cheaper when compared to this.
- Based on the Price/Forward Earnings ratio of 17.77, the valuation of TT8 can be described as rather expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as TT8.
- TT8's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.32 | ||
| Fwd PE | 17.77 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TT8 is valued a bit more expensive than 72.06% of the companies in the same industry.
- 61.76% of the companies in the same industry are cheaper than TT8, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.77 | ||
| EV/EBITDA | 23.98 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of TT8 may justify a higher PE ratio.
- A more expensive valuation may be justified as TT8's earnings are expected to grow with 14.69% in the coming years.
PEG (NY)4.21
PEG (5Y)0.58
EPS Next 2Y11.03%
EPS Next 3Y14.69%
5. Dividend
5.1 Amount
- TT8 does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TRADE DESK INC/THE -CLASS A / TT8.DE FAQ
What is the fundamental rating for TT8 stock?
ChartMill assigns a fundamental rating of 7 / 10 to TT8.DE.
Can you provide the valuation status for TRADE DESK INC/THE -CLASS A?
ChartMill assigns a valuation rating of 3 / 10 to TRADE DESK INC/THE -CLASS A (TT8.DE). This can be considered as Overvalued.
Can you provide the profitability details for TRADE DESK INC/THE -CLASS A?
TRADE DESK INC/THE -CLASS A (TT8.DE) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for TT8 stock?
The Price/Earnings (PE) ratio for TRADE DESK INC/THE -CLASS A (TT8.DE) is 20.32 and the Price/Book (PB) ratio is 6.72.
How financially healthy is TRADE DESK INC/THE -CLASS A?
The financial health rating of TRADE DESK INC/THE -CLASS A (TT8.DE) is 8 / 10.