As the Q1 earnings season wraps, let’s dig into this quarter’s best and worst performers in the advertising software industry, including AppLovin (NASDAQ:APP) and its peers.
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 5 advertising software stocks we track reported a strong Q1. As a group, revenues beat analysts’ consensus estimates by 3.4% 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 6.9% since the latest earnings results.
AppLovin (NASDAQ:APP)
Sitting at the crossroads of the mobile advertising ecosystem with over 200 free-to-play games in its portfolio, AppLovin (NASDAQ:APP) provides software solutions that help mobile app developers market, monetize, and grow their apps through AI-powered advertising and analytics tools.
AppLovin reported revenues of $1.84 billion, up 59% year on year. This print exceeded analysts’ expectations by 3.9%. Overall, it was a very strong quarter for the company with a solid beat of analysts’ EBITDA estimates and EBITDA guidance for next quarter topping analysts’ expectations.
AppLovin Total Revenue
AppLovin scored the fastest revenue growth of the whole group. Unsurprisingly, the stock is up 6.2% since reporting and currently trades at $497.75.
Powering billions of daily ad impressions across the open internet, PubMatic (NASDAQ:PUBM) operates a technology platform that helps publishers maximize revenue from their digital advertising inventory while giving advertisers more control and transparency.
PubMatic reported revenues of $62.57 million, down 2% year on year, outperforming analysts’ expectations by 4.4%. The business had an exceptional quarter with EBITDA guidance for next quarter exceeding analysts’ expectations.
PubMatic Total Revenue
Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 5% since reporting. It currently trades at $9.73.
Built as an alternative to “walled garden” advertising ecosystems, The Trade Desk (NASDAQ:TTD) provides a cloud-based platform that helps advertisers and agencies plan, manage, and optimize digital advertising campaigns across multiple channels and devices.
The Trade Desk reported revenues of $688.9 million, up 11.8% year on year, exceeding analysts’ expectations by 1.4%. Still, it was a slower quarter as it posted revenue and EBITDA guidance for next quarter missing analysts’ expectations.
As expected, the stock is down 10.2% since the results and currently trades at $21.10.
Using advanced analytics to evaluate over 17 billion digital ad transactions daily, DoubleVerify (NYSE:DV) provides AI-powered technology that verifies digital ads are viewable, fraud-free, brand-suitable, and displayed in the intended geographic location.
DoubleVerify reported revenues of $180.8 million, up 9.6% year on year. This result met analysts’ expectations. More broadly, it was a satisfactory quarter as it also produced an impressive beat of analysts’ EBITDA estimates but revenue guidance for next quarter meeting analysts’ expectations.
DoubleVerify pulled off the highest full-year guidance raise but had the weakest performance against analyst estimates among its peers. The stock is down 18.7% since reporting and currently trades at $9.07.
Powered by an AI engine that processes over one trillion consumer signals monthly, Zeta Global (NYSE:ZETA) operates a data-driven cloud platform that helps companies target, connect, and engage with consumers through personalized marketing across channels like email, social media, and video.
Zeta Global reported revenues of $396.3 million, up 49.9% year on year. This print beat analysts’ expectations by 7%. Overall, it was a very strong quarter as it also logged a solid beat of analysts’ billings estimates and an impressive beat of analysts’ EBITDA estimates.
Zeta Global achieved the biggest analyst estimates beat but had the weakest full-year guidance update among its peers. The stock is down 6.9% since reporting and currently trades at $17.15.
Late in 2025 into early 2026, there was hand wringing around artificial intelligence. For software companies, the fear was that AI would erode pricing power and compress margins as new tools made it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same anxiety: if AI agents could trade, allocate capital, and manage wallets autonomously, what exactly was the long-term value of today’s crypto infrastructure?
These concerns triggered a noticeable rotation away from these sectors and into safer havens. But markets rarely dwell on one narrative for long. Spring 2026 came, and the focus shifted abruptly from technological disruption to geopolitical risk. The US’ conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script changes quickly. Investors stop debating growth rates and start worrying about oil supply, inflation, and global stability.
Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
StockStory’s analyst team — all seasoned professional investors — uses quantitative analysis and automation to deliver market-beating insights faster and with higher quality.
