As fourth-quarter earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the ad software industry, including LiveRamp ( NYSE:RAMP ) and its peers.
The digital advertising market is large, growing and becoming increasingly diverse, both in terms of audience and media. As a result, there is a growing need for software that allows advertisers to use data to automate and optimize ad placements.
The six ad software stocks we track reported a satisfying fourth quarter. As a group, revenues exceeded analyst consensus expectations by 1.9%, while revenue expectations for the next quarter were in line.
Fortunately, advertising software stocks have done well, with share prices up an average of 18.3% since the last earnings results.
LiveRamp (NYSE:RAMP) serves as a digital intermediary in an increasingly privacy-conscious world, providing technology that allows companies to securely share and connect their customer data with trusted partners while maintaining privacy compliance.
LiveRamp reported revenue of $212.2 million, up 8.6% year over year. This print was in line with analyst expectations, but overall it was a slower quarter for the company, with next quarter revenue expectations slightly behind analyst expectations and full-year revenue expectations slightly behind analyst expectations.
LiveRamp achieved the highest full-year indication increase of the entire group. The company added 8 enterprise customers paying more than $1 million annually, bringing the total to 140. Unsurprisingly, the stock is up 32.5% since reporting and is currently trading at $29.71.
Read our full report on LiveRamp here, it’s free.
PubMatic (NASDAQ:PUBM) powers billions of daily ad impressions across the open internet and operates a technology platform that helps publishers maximize revenue from their digital ad inventory while giving advertisers greater control and transparency.
PubMatic reported revenue of $80.05 million, down 6.4% year over year, and beat analyst expectations by 6.2%. The company had an exceptional quarter with EBITDA guidance for next quarter exceeding analyst expectations and an impressive improvement in analyst EBITDA estimates.
PubMatic achieved the highest analyst expectations among its competitors. The market seems pleased with the results, as the stock is up 26.4% since reporting. It is currently trading at $8.94.
Is Now the Time to Buy PubMatic? See our full analysis of earnings results here. It’s free.
Built as an alternative to walled garden advertising ecosystems, The Trade Desk (NASDAQ:TTD) offers a cloud-based platform that helps advertisers and agencies plan, manage and optimize digital advertising campaigns across multiple channels and devices.
