The Trade Desk Faces Valuation Pressure as Netflix Partners with Amazon for Ad Tech
The Trade Desk (TTD) shares fell sharply after Netflix announced advertisers WOULD soon buy ads programmatically through Amazon's demand-side platform. This move places a deep-pocketed competitor directly alongside The Trade Desk on a major streaming service, challenging its position in the digital ad market.
Second-quarter revenue growth of 19% to $694 million showed resilience, but deceleration is evident—down from 25% in Q1 and 26% for full-year 2024. Connected TV remains the fastest-growing channel, yet investors question whether premium valuation is sustainable amid rising competition.