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TTD vs. ZS: A Head-to-Head Stock Comparison

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Here’s a clear look at TTD and ZS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolTTDZS
Company NameThe Trade Desk, Inc.Zscaler, Inc.
CountryUnited StatesUnited States
GICS SectorCommunication ServicesInformation Technology
GICS IndustryMediaSoftware
Market Capitalization26.44 billion USD49.69 billion USD
ExchangeNasdaqGMNasdaqGS
Listing DateSeptember 21, 2016March 16, 2018
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of TTD and ZS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

TTD vs. ZS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolTTDZS
5-Day Price Return6.27%2.05%
13-Week Price Return-28.51%-0.82%
26-Week Price Return10.17%63.31%
52-Week Price Return-51.64%82.36%
Month-to-Date Return10.32%4.75%
Year-to-Date Return-53.99%73.99%
10-Day Avg. Volume15.26M1.47M
3-Month Avg. Volume14.91M1.91M
3-Month Volatility89.05%32.62%
Beta1.071.04

Profitability

Return on Equity (TTM)

TTD

15.19%

Media Industry

Max
31.00%
Q3
15.18%
Median
10.91%
Q1
4.47%
Min
-5.88%

In the upper quartile for the Media industry, TTD’s Return on Equity of 15.19% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ZS

-2.50%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

ZS has a negative Return on Equity of -2.50%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

TTD vs. ZS: A comparison of their Return on Equity (TTM) against their respective Media and Software industry benchmarks.

Net Profit Margin (TTM)

TTD

15.57%

Media Industry

Max
20.69%
Q3
11.93%
Median
6.49%
Q1
2.47%
Min
-4.90%

A Net Profit Margin of 15.57% places TTD in the upper quartile for the Media industry, signifying strong profitability and more effective cost management than most of its peers.

ZS

-1.55%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

ZS has a negative Net Profit Margin of -1.55%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

TTD vs. ZS: A comparison of their Net Profit Margin (TTM) against their respective Media and Software industry benchmarks.

Operating Profit Margin (TTM)

TTD

17.73%

Media Industry

Max
24.30%
Q3
13.57%
Median
9.15%
Q1
4.63%
Min
-6.28%

An Operating Profit Margin of 17.73% places TTD in the upper quartile for the Media industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ZS

-4.81%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

ZS has a negative Operating Profit Margin of -4.81%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

TTD vs. ZS: A comparison of their Operating Profit Margin (TTM) against their respective Media and Software industry benchmarks.

Profitability at a Glance

SymbolTTDZS
Return on Equity (TTM)15.19%-2.50%
Return on Assets (TTM)7.17%-0.77%
Net Profit Margin (TTM)15.57%-1.55%
Operating Profit Margin (TTM)17.73%-4.81%
Gross Profit Margin (TTM)79.41%76.87%

Financial Strength

Current Ratio (MRQ)

TTD

1.71

Media Industry

Max
3.59
Q3
1.97
Median
1.28
Q1
0.86
Min
0.33

TTD’s Current Ratio of 1.71 aligns with the median group of the Media industry, indicating that its short-term liquidity is in line with its sector peers.

ZS

2.01

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

ZS’s Current Ratio of 2.01 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.

TTD vs. ZS: A comparison of their Current Ratio (MRQ) against their respective Media and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

TTD

0.03

Media Industry

Max
2.13
Q3
1.11
Median
0.55
Q1
0.25
Min
0.00

Falling into the lower quartile for the Media industry, TTD’s Debt-to-Equity Ratio of 0.03 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ZS

0.95

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

ZS’s leverage is in the upper quartile of the Software industry, with a Debt-to-Equity Ratio of 0.95. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

TTD vs. ZS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Media and Software industry benchmarks.

Interest Coverage Ratio (TTM)

TTD

44.57

Media Industry

Max
58.38
Q3
25.12
Median
4.52
Q1
2.14
Min
-10.82

TTD’s Interest Coverage Ratio of 44.57 is in the upper quartile for the Media industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

ZS

-6.38

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

ZS has a negative Interest Coverage Ratio of -6.38. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

TTD vs. ZS: A comparison of their Interest Coverage Ratio (TTM) against their respective Media and Software industry benchmarks.

Financial Strength at a Glance

SymbolTTDZS
Current Ratio (MRQ)1.712.01
Quick Ratio (MRQ)1.681.96
Debt-to-Equity Ratio (MRQ)0.030.95
Interest Coverage Ratio (TTM)44.57-6.38

Growth

Revenue Growth

TTD vs. ZS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

TTD vs. ZS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

TTD

0.00%

Media Industry

Max
8.07%
Q3
3.69%
Median
1.37%
Q1
0.00%
Min
0.00%

TTD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ZS

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

ZS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

TTD vs. ZS: A comparison of their Dividend Yield (TTM) against their respective Media and Software industry benchmarks.

Dividend Payout Ratio (TTM)

TTD

0.00%

Media Industry

Max
199.37%
Q3
102.15%
Median
47.09%
Q1
12.24%
Min
0.00%

TTD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ZS

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

ZS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

TTD vs. ZS: A comparison of their Dividend Payout Ratio (TTM) against their respective Media and Software industry benchmarks.

Dividend at a Glance

SymbolTTDZS
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

TTD

64.13

Media Industry

Max
73.10
Q3
36.19
Median
15.22
Q1
11.43
Min
5.11

A P/E Ratio of 64.13 places TTD in the upper quartile for the Media industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

ZS

--

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

P/E Ratio data for ZS is currently unavailable.

TTD vs. ZS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Media and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

TTD

9.99

Media Industry

Max
3.52
Q3
2.14
Median
1.10
Q1
0.85
Min
0.21

With a P/S Ratio of 9.99, TTD trades at a valuation that eclipses even the highest in the Media industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ZS

18.21

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

ZS’s P/S Ratio of 18.21 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

TTD vs. ZS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Media and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

TTD

13.12

Media Industry

Max
4.43
Q3
2.53
Median
1.71
Q1
1.21
Min
0.56

At 13.12, TTD’s P/B Ratio is at an extreme premium to the Media industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ZS

24.71

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

ZS’s P/B Ratio of 24.71 is in the upper tier for the Software industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

TTD vs. ZS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Media and Software industry benchmarks.

Valuation at a Glance

SymbolTTDZS
Price-to-Earnings Ratio (TTM)64.13--
Price-to-Sales Ratio (TTM)9.9918.21
Price-to-Book Ratio (MRQ)13.1224.71
Price-to-Free Cash Flow Ratio (TTM)35.8867.00