Tech Stocks This Week: The Trade Desk, Intuit, and Roku Jump

FAN Editor

Three of the biggest stories this week surfaced in the past few days, when three companies — The Trade Desk (NASDAQ: TTD), Roku (NASDAQ: ROKU), and Intuit (NASDAQ: INTU) — reported earnings and saw their shares jump. Two of these stocks surged 25% or more.

Here’s a look at some key takeaways from each of these companies’ earnings releases.

Continue Reading Below

The Trade Desk

Shares of programmatic ad-buying platform The Trade Desk surged on Friday, rising more than 31% by the time the market closed. The stock’s gain followed a stellar fourth-quarter report in which management’s revenue crushed both analysts’ estimates and management’s guidance for the period.

The Trade Desk reported revenue of $160.5 million, ahead of the company’s outlook for fourth-quarter revenue of $147 million. The quarter highlighted strong business growth, with revenue up 56% year over year and earnings per share rising 121% to $0.84.

The results capped off a strong year in which The Trade Desk saw its full-year revenue growth rate accelerate to 55%, up from 52% growth in 2017.

Roku

Roku shares jumped 25% on Friday, following the company’s fourth-quarter results Thursday afternoon. The streaming-TV platform’s fourth-quarter revenue and earnings per share both easily beat consensus analyst forecasts for the two metrics. Revenue increased 46% year over year to $275.7 million, coming in ahead of analysts’ average estimate for revenue of $262 million. Earnings per share for the quarter were $0.05, down from $0.06 in the year-ago quarter but beating analysts’ consensus forecast for $0.03.

“Q4 results exceeded our outlook for revenue, gross profit, and adjusted EBITDA, driven by strong operational execution and robust active account growth,” management said in the company’s fourth-quarter shareholder letter.

Active accounts increased by 3.3 million in Q4, bringing total active accounts to 27.1 million. Streaming hours surged 69% year over year.

Intuit

Shares of financial software company Intuit rose nearly 7% on Friday. The stock’s gain was prompted by the company’s better-than-expected fiscal second-quarter results. Revenue for the period increased 12% year over year to $1.502 billion. That beat a consensus analyst estimate for revenue of $1.48 billion. Non-GAAP earnings per share rose 19% year over year to $1.00, coming in ahead of a consensus forecast for $0.86.

The quarter was driven by a 38% year-over-year increase in its small business online ecosystem revenue, or revenue from the company’s online small-business and self-employed group offerings.

The company’s QuickBooks Online subscriber number notably increased 38% year over year to 3.9 million.

10 stocks we like better than IntuitWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has quadrupled the market.*

David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now… and Intuit wasn’t one of them! That’s right — they think these 10 stocks are even better buys.

See the 10 stocks

*Stock Advisor returns as of January 31, 2019

Daniel Sparks owns shares of The Trade Desk. The Motley Fool owns shares of and recommends Intuit and The Trade Desk. The Motley Fool has a disclosure policy.

Free America Network Articles

Leave a Reply

Next Post

Prosecutor outlines sexual abuse allegations against R. Kelly

Last Updated Feb 23, 2019 7:14 PM EST Warning: The details of the allegations in this story are graphic.  R. Kelly remains in custody after surrendering to police on charges of criminal sexual abuse. Prosecutors on Saturday described the disturbing allegations against him involving multiple underage girls. A judge set […]