I was able to go through TTD’s 10Q & transcript and put together a review. I wanted to post the link & offer a few highlights from Jeff Green to get the discussion rolling. Please let me know if you saw any negatives in the report as I tend to be very optimistic with this company.
- “No material supply chain impact”! With companies like Snap and Facebook claiming supply chain issues are presenting a real demand headwind, I found this encouraging. There was worry that supply chain issues would make advertisers more hesitant to advertise inventory they didn’t actually have in their grasp. This didn’t come to fruition as a challenge for TTD.
- “No material IDFA impact”! Jeff Green had been telling us this would be the case but it’s nice to hear that confirmed after ad-tech spent a quarter telling us how difficult the change has been for them. TTD’s first party data treasure chest thanks to its vast partner network & its channel diversification are both insulating them quite nicely.
“Dozens of other retailers are talking with TTD” about implementing a DSP similar to what Walmart recently debuted. “Walmart was just the first.”
Home Depot should be going love in the coming quarters. Thank you Solimar!
The company posted its higher Q3 growth rate since 2018! This is even without considering the impact of political spend in 2020 on this YoY comp. This meshes extremely well with its margin profile. 40X sales is far more palatable with a 40% EBITDA margin & 25% net income margin.