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Why The Trade Desk Stock Tumbled Nearly 40% Friday

1. TTD shares fell nearly 40%, reaching around $54 per share. 2. CEO warns tariffs are limiting advertising spending among major companies. 3. Second-quarter revenue rose 18.7% year-over-year to $694 million. 4. Adjusted EPS of $0.41 fell short of analyst forecasts. 5. New CFO Alex Kayyal replaces Laura Schenkein amid company transition.

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FAQ

Why Very Bearish?

The revenue decline due to tariffs raises concerns about TTD's growth potential, similar to past tariff impacts on tech companies.

How important is it?

Tariffs directly affect ad spending levels, which is crucial for TTD's business model and future earnings.

Why Short Term?

Immediate market reactions to tariff impact on ad spending likely affect TTD's short-term stock performance; historical volatility in stock prices supports this.

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