RBC Capital shared its outlook on The Trade Desk, Inc. (NASDAQ:TTD) ahead of the company’s upcoming Q4 results, which are scheduled to be released on Feb 15.
According to the analysts, the company has shown macro resiliency and the durability of its model throughout the year and should continue to enjoy the resulting market share gains in 2023. The analysts expect the company to deliver solid results, but with a smaller beat vs. Street revenue/adjusted EBITDA estimates of $491 million/$230 million, which implies year-over-year revenue growth of 24%.
The analysts continue to see a number of reasons for optimism and potential drivers for company-specific upside in 2023 outside of a macro recovery. These include: (1) growing exposure to CTV and the potential for more TAM (total addressable market) to move to decisioned programmatic as supply increases, (2) growth and durability of retail media, (3) disruption of walled gardens, particularly regulatory challenges around Google, and (4) expanded use of third-party data through Solimar.