December 31, 2024

Exciting Growth in Digital Advertising Stocks

Real Internet Sales

Real Internet Sales is a digital marketing agency located in Columbia, South Carolina. We specialize in website design and development, SEO, social media management, online advertising, AI integration, and workflow automation. Our services also include affiliate marketing and digital strategy.

Real Internet Sales also offer specialized programming for real estate firms, using IDX and RETS feeds to automatically populate MLS properties on their websites for improved property listings and sales. We also work with clients in the restaurant, tourism, and e-commerce industries to enhance their digital presence and streamline operations.

News Summary

The digital marketing industry is set to experience significant growth, projected to rise from $410.70 billion in 2024 to $1.19 trillion by 2033. Key players like Thryv Holdings, The Trade Desk, and HubSpot are showing impressive financial performance and innovative solutions, making them potential stocks to watch. As investments in this sector become increasingly appealing, it’s crucial for investors to consider these companies as they navigate the evolving landscape of digital advertising.

Exciting Growth in Digital Advertising Stocks

The world of digital marketing is buzzing with activity, and if you’ve been keeping your eye on the stock market, you’ll want to pay attention to a few key players in this space. The global digital marketing industry is on the upswing, expected to climb from $410.70 billion in 2024 to a whopping $1.19 trillion by 2033. That’s an impressive growth spurt, with a projected compound annual growth rate (CAGR) of 11.2%! So, which stocks should you watch as this landscape evolves? Let’s dive in!

Thryv Holdings, Inc. (THRY)

First up is Thryv Holdings, Inc. (THRY), a company that’s making waves in the digital marketing scene, especially for small-to-medium businesses. They offer a suite of cloud-based tools that include everything from customer relationship management (CRM) and search engine optimization (SEO) to digital advertising and appointment scheduling. It’s like a one-stop-shop for businesses trying to navigate the digital advertising space!

Just recently, on October 31, 2024, Thryv completed an $80 million cash acquisition of Infusion Software, Inc. (also known as Keap), which is sure to enhance their software as a service (SaaS) solutions. This growth is evident in their financials too; for the fiscal third quarter ending September 30, 2024, THRY reported revenue of $179.85 million and an adjusted gross profit of $116.84 million, showing a nice uptick of 5.6% compared to the previous year.

What’s even more remarkable is THRY’s adjusted EBITDA, which for the same quarter hit $19.62 million—a staggering increase of 167.7% year-over-year! Analysts are pretty optimistic too; they expect THRY’s earnings per share (EPS) and revenue for Q4 2024 to soar by 97.9% year-over-year, reaching around $183.02 million.

The Trade Desk, Inc. (TTD)

Next on the list is The Trade Desk, Inc. (TTD). They operate a cloud-based platform designed for managing digital advertising campaigns, making the process smoother and much more efficient for advertisers. Their stockholders recently voted for a reincorporation from Delaware to Nevada on November 14, 2024, signaling some major shifts ahead.

In Q3 of 2024, TTD reported a remarkable 27.3% increase in revenue year-over-year, bringing in $628.02 million. Their income from operations saw a fantastic rise of 187.9%, reaching $108.48 million. And expectations for Q4 look bright; with an anticipated revenue increase of 25.3% to $759.32 million and a growth in EPS of 38.6% to $0.57, TTD is certainly on the move!

The stock has performed impressively as well, showing a gain of 27.1% over the past six months and an impressive 65.3% gain in the last year, closing at $121.67.

HubSpot, Inc. (HUBS)

Last but certainly not least is HubSpot, Inc. (HUBS). HubSpot is a favorite among mid-market B2B companies, thanks to its cloud-based CRM platform. They provide tools for marketing, sales, customer service, and operations, all designed to streamline various business processes.

On October 30, 2024, HubSpot acquired Cacheflow to enhance its Commerce Hub offering, showcasing their dedication to innovation. During Q3 2024, HUBS revealed a revenue bump of 20.1% year-over-year to $669.72 million. Their non-GAAP operating income also surged, hitting $125.21 million— a 35.9% increase!

Looking ahead to Q4 2024, analysts predict HUBS will generate about $673.96 million in revenue, which is a 15.8% increase year-over-year. The expected EPS stands at $2.20, marking an increase of 24.8%.

With a notable growth trajectory and a recent 24.6% stock price increase over the past six months, HUBS represents a solid investment option, closing recently at $714.96.

Conclusion

As the digital marketing space continues to evolve, keeping an eye on these promising stocks could be a smart move. With their innovative solutions and impressive financial performance, Thryv, The Trade Desk, and HubSpot are proving they’re not just in the game—they’re leading it! So, whether you’re a seasoned investor or just dipping your toes into the stock market, consider adding these companies to your watchlist as we head into 2025 and beyond.