Overview
- Management set a third‑quarter revenue floor of $650 million and projected adjusted EBITDA near $160 million, a guidance reset that implies about a 10‑percentage‑point drop in EBITDA margin from Q2.
- The stock fell roughly 21.9% in a single session to a new 52‑week low and saw heavy trading, prompting multiple broker downgrades and price‑target cuts.
- Second‑quarter results showed revenue of $715 million, up about 3% year‑over‑year, GAAP net income down to $64 million, and adjusted EBITDA of $241 million, missing prior internal targets.
- CEO Jeff Green highlighted customer retention above 95% and a cash and short‑term investment position of about $1.485 billion plus remaining buyback authorization as buffers against near‑term risk.
- Investors will track upcoming advertising‑spend data, next‑quarter results, and The Trade Desk’s pricing, product execution and connected‑TV gains to determine whether the slowdown is cyclical or structural versus Amazon, Google and Meta.