Head-To-Head Analysis: Trade Desk (NASDAQ:TTD) versus CyberAgent (OTCMKTS:CYGIY)

CyberAgent (OTCMKTS:CYGIY) and Trade Desk (NASDAQ:TTD) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, earnings, dividends and risk.

Insider and Institutional Ownership

67.8% of Trade Desk shares are owned by institutional investors. 10.0% of Trade Desk shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility and Risk

CyberAgent has a beta of 0.6, indicating that its stock price is 40% less volatile than the S&P 500. Comparatively, Trade Desk has a beta of 1.11, indicating that its stock price is 11% more volatile than the S&P 500.

Profitability

This table compares CyberAgent and Trade Desk’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CyberAgent	3.62%	14.04%	7.00%
Trade Desk	15.72%	16.00%	7.40%

Analyst Ratings

This is a summary of current ratings and target prices for CyberAgent and Trade Desk, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CyberAgent	0	0	0	0	0.00
Trade Desk	3	18	19	1	2.44

Trade Desk has a consensus price target of $65.53, indicating a potential upside of 105.61%. Given Trade Desk’s stronger consensus rating and higher possible upside, analysts plainly believe Trade Desk is more favorable than CyberAgent.

Earnings & Valuation

This table compares CyberAgent and Trade Desk”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CyberAgent	$5.86 billion	0.73	$212.18 million	$0.20	21.00
Trade Desk	$2.44 billion	6.30	$393.08 million	$0.87	36.63

Trade Desk has lower revenue, but higher earnings than CyberAgent. CyberAgent is trading at a lower price-to-earnings ratio than Trade Desk, indicating that it is currently the more affordable of the two stocks.

Summary

Trade Desk beats CyberAgent on 14 of the 15 factors compared between the two stocks.

About CyberAgent

CyberAgent, Inc. engages in the media, internet advertising, game, and investment development businesses primarily in Japan. The company operates Ameba, a blog service; Tapple for online dating; AWA, a music streaming service; and WinTicket for online betting. It also offers internet advertising agency and ad technology services; and smartphone games. In addition, the company operates a programming school for kids and provides application and reward points exchange platform services; artificial intelligence services; and digital transformation services. CyberAgent, Inc. was incorporated in 1998 and is headquartered in Tokyo, Japan.

About Trade Desk

The Trade Desk, Inc. operates as a technology company in the United States and internationally. The company offers a self-service cloud-based platform that allows buyers to plan, manage, optimize, and measure data-driven digital advertising campaigns across various ad formats and channels, including video, display, audio, digital-out-of-home, native, and social on various devices, such as computers, mobile devices, televisions, and streaming devices. It provides data and other value-added services. The company serves advertising agencies, brands, and other service providers for advertisers. The Trade Desk, Inc. was incorporated in 2009 and is headquartered in Ventura, California.