Q4 Rundown: LiveRamp (NYSE:RAMP) Vs Other Advertising Software Stocks

Q4 Rundown: LiveRamp (NYSE:RAMP) Vs Other Advertising Software Stocks

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at LiveRamp (NYSE:RAMP) and the best and worst performers in the advertising software industry.

The digital advertising market is large, growing, and becoming more diverse, both in terms of audiences and media. As a result, there is a growing need for software that enables advertisers to use data to automate and optimize ad placements.

The 7 advertising software stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.6% while next quarter’s revenue guidance was in line.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 29.9% since the latest earnings results.

LiveRamp (NYSE:RAMP)

Started in 2011 as a spin-out of RapLeaf, LiveRamp (NYSE:RAMP) is a software-as-a-service provider that helps companies better target their marketing by merging offline and online data about their customers.

LiveRamp reported revenues of $195.4 million, up 12.4% year on year. This print exceeded analysts’ expectations by 1.7%. Despite the top-line beat, it was still a mixed quarter for the company with an impressive beat of analysts’ EBITDA estimates but decelerating customer growth.

Q4 Rundown: LiveRamp (NYSE:RAMP) Vs Other Advertising Software Stocks

LiveRamp delivered the weakest full-year guidance update of the whole group. The company kept the number of enterprise customers paying more than $1 million annually flat at a total of 125. Unsurprisingly, the stock is down 26.1% since reporting and currently trades at $25.52.

Is now the time to buy LiveRamp? Access our full analysis of the earnings results here, it’s free .

Best Q4: Zeta (NYSE:ZETA)

Co-founded by former Apple CEO John Sculley, Zeta Global (NYSE:ZETA) provides software and data analytics tools that help companies market their products to billions of customers.

Zeta reported revenues of $314.7 million, up 49.6% year on year, outperforming analysts’ expectations by 6.7%. The business had an exceptional quarter with an impressive beat of analysts’ billings estimates and EBITDA guidance for the next quarter, exceeding analysts’ expectations.

Q4 Rundown: LiveRamp (NYSE:RAMP) Vs Other Advertising Software Stocks

Zeta achieved the fastest revenue growth and highest full-year guidance raise among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 32.5% since reporting. It currently trades at $13.90.

Is now the time to buy Zeta? Access our full analysis of the earnings results here, it’s free .

Weakest Q4: The Trade Desk (NASDAQ:TTD)

Founded by former Microsoft engineers Jeff Green and Dave Pickles, The Trade Desk (NASDAQ:TTD) offers cloud-based software that uses data to help advertisers better plan, place, and target their online ads.

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