RE:RE:RE:RE:RE:RE:RE:RE:RE:Time to pounce for long termtruthis0utther3 wrote: The market is telling you that they are in negative growth. Google, TTD have all told you that ad spend is down signifcantly and have lowered guidance for Q4.
Last year, while AT was complaining about supply chains TTD found a way to grow like never before and even they are telling you - the ones that find growth no matter what - that they see a slowdown in ad spend.
My guess is that AT's ad revenue falls off a cliff in Q3 and Q4.
Torontojay wrote: truthis0utther3 wrote: So why would anyone want to own an ad stock that isn't growing and has proven to have poor leadership when they could buy a stock that is either growing fast, pays a dividend, or a fixed income certificate that pays 5%...
Seems like a very high hurdle for stocks like AT.. my guess is its dead money for years going forward.
Torontojay wrote: Sure, the stock never deserved to be trading that high. Markets can swing both ways. It could swing beyond euphoric levels when everyone's making money and also swing to complete capitulation when liquidity is drying up.
Nobody wants to own advertising stocks when the economy is potentially entering a recession!
It doesn't have to grow to be worth more than its trading at. It's priced for negative growth as we speak.
In 2021 it generated $14m in free cash and todays the business is valued at less than $30m! That's why.
I like value and I'm not willing to pay for frothy growth expectations like The Trade Desk to justify its share price.
Acuityads could remain stagnant for years and it will eventually trade higher than today.
Listen to the conference call. Tal reiterated that they will deliver growth in Q3 with over a months worth of visibility. I believe they will exceed last year but will undoubtedly mention a difficult advertising environment. They will also likely guide to lower than 20-25% y/y growth they talked about earlier in the year.