Why The Trade Desk Stock Is Plummeting Today

Source The Motley Fool

Key Points

  • A senior executive is leaving The Trade Desk, effective immediately.

  • Investors dislike uncertainty, and this move came with a double dose.

  • 10 stocks we like better than The Trade Desk ›

Shares of The Trade Desk (NASDAQ: TTD) slumped on Monday, falling as much as 8.5%. As of 3:13 p.m. ET, the stock was still down 7.1%.

The abrupt departure of a high-ranking executive normally raises eyebrows anyway, but this move was doubly perplexing.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Professionally-dressed executives having a meeting around a table in a glass-walled conference room.

Image source: Getty Images.

A revolving door

In a press release that dropped early Monday, The Trade Desk announced that chief financial officer (CFO) Alex Kayyal would depart his position effective immediately. The company didn't provide any reason for the departure. Kayyal joined The Trade Desk's Board of Directors early last year and assumed the role of CFO in August, so his short tenure ended rather abruptly.

When a C-suite executive departs, especially on such short notice, there are inevitable questions about what precipitated the move and the potential impact on ongoing operations.

In the meantime, The Trade Desk appointed Tahnil Davis as Interim CFO, while it "conducts a search for a permanent successor." Davis currently serves as the company's chief accounting officer and has been with the company for 11 years.

CEO Jeff Green sought to calm concerned investors and affirmed The Trade Desk's fourth-quarter financial guidance.

Volatility continues

The Trade Desk has been in the midst of a turnaround. Early last year, after meeting or exceeding its own guidance for 33 consecutive quarters, the company stumbled and has been trying to regain its footing ever since. The adtech industry is becoming increasingly competitive, and some investors fear The Trade Desk may be losing ground to well-heeled competitors, including Amazon.

Green said the miss was the result of "a series of small execution missteps," and is confident The Trade Desk will regain its mojo, but investors have adopted a "wait and see" attitude.

Since the start of 2025, The Trade Desk stock has fallen roughly 75% and the company has lost several key executives. Investors are left wondering if this is the end of an era or just a run of bad luck.

Only time will tell.

Should you buy stock in The Trade Desk right now?

Before you buy stock in The Trade Desk, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and The Trade Desk wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $464,439!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,150,455!*

Now, it’s worth noting Stock Advisor’s total average return is 949% — a market-crushing outperformance compared to 195% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

See the 10 stocks »

*Stock Advisor returns as of January 26, 2026.

Danny Vena, CPA has positions in Amazon and The Trade Desk. The Motley Fool has positions in and recommends Amazon and The Trade Desk. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Fed Rate Decision Looms as Apple, Microsoft, Meta and Tesla Q4 Earnings Draw Attention: Week AheadLast week, U.S. stocks experienced volatility triggered by Donald Trump's remarks on imposing tariffs on Europe. The Dow fell 0.53% for the week, the S&P 500 slipped 0.35%, and the Nasdaq
Author  TradingKey
11 hours ago
Last week, U.S. stocks experienced volatility triggered by Donald Trump's remarks on imposing tariffs on Europe. The Dow fell 0.53% for the week, the S&P 500 slipped 0.35%, and the Nasdaq
placeholder
Cardano Price Forecast: ADA Selling Pressure Builds, Putting $0.27 Back in FocusCardano trades near $0.34 after three weeks of declines, with Binance futures open interest down to $108.55M and bearish RSI/MACD signals keeping risks tilted toward $0.32 and potentially $0.27.
Author  Mitrade
16 hours ago
Cardano trades near $0.34 after three weeks of declines, with Binance futures open interest down to $108.55M and bearish RSI/MACD signals keeping risks tilted toward $0.32 and potentially $0.27.
placeholder
Bitcoin Slides Into Weekly Close as Bulls Confront $86K Price TestBitcoin has started to lose momentum as U.S. futures prepare for opening, with markets bracing for anticipated volatility catalysts. The cryptocurrency witnessed multi-day lows leading up to the end of the week, as investors face a looming period of macroeconomic uncertainty.
Author  Mitrade
19 hours ago
Bitcoin has started to lose momentum as U.S. futures prepare for opening, with markets bracing for anticipated volatility catalysts. The cryptocurrency witnessed multi-day lows leading up to the end of the week, as investors face a looming period of macroeconomic uncertainty.
placeholder
Yen Exchange Rate’s Shock Jump. Dropping 200 Pips Near 160 Level, BOJ’s Inaction Hides a Mystery, Buy the Dip or Seek Safety?The 'rollercoaster' Yen has once again become the focus of the foreign exchange market! On January 23, USD/JPY experienced a series of 'rollercoaster' short-term movements, plunging nearl
Author  TradingKey
Jan 23, Fri
The 'rollercoaster' Yen has once again become the focus of the foreign exchange market! On January 23, USD/JPY experienced a series of 'rollercoaster' short-term movements, plunging nearl
placeholder
AUD/JPY retreats from 109.00 as "rate check" by Japan's Finance Ministry lifts JPYThe AUD/JPY cross retreats nearly 130 pips from the highest level since July 2024, around the 109.00 mark touched earlier this Friday, though the pullback lacks follow-through.
Author  FXStreet
Jan 23, Fri
The AUD/JPY cross retreats nearly 130 pips from the highest level since July 2024, around the 109.00 mark touched earlier this Friday, though the pullback lacks follow-through.
goTop
quote