MGNI

Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE. Magnite stock has delivered a very strong 209.1% return over the past three years, yet current valuation checks suggest the shares trade at a premium to the company’s intrinsic value estimate and to more traditional market multiples. Over the last three years, Magnite has returned 209.1%, which puts extra focus on whether the current price still reflects a reasonable long term payoff for new buyers. Growth in connected TV advertising can support higher revenue and cash flow expectations, while ongoing questions about the sustainability of Magnite’s competitive position may limit how much investors are willing to pay for that growth. Magnite scores 2 out of 6 on the broader valuation checks, which leans more toward expensive than a clear bargain. The issue now is whether Magnite’s recent share price strength leaves enough valuation headroom against its intrinsic value estimate and earnings based benchmarks to justify taking or adding to a position. Magnite delivered 4.3% returns over the last year. See how this stacks up to the rest of the Media industry. The Discounted Cash Flow (DCF) model values Magnite based on the cash it is expected to generate for shareholders. Magnite currently produces last twelve month free cash flow of about $216.7 million, and the cash flow projections used here assume the business keeps growing from this starting point rather than shrinking or relying on a sharp one off improvement. On these assumptions, the DCF framework points to an intrinsic value of about $19.94 per share. This sits below the current share price, which implies the stock trades roughly 24.0% above this cash flow based estimate and therefore screens as overvalued on this method. Magnite’s raised 2026 guidance, helped by connected TV growth, helps explain why the market is willing to pay above what the cash flow model suggests. Overall, the DCF workup indicates Magnite stock currently looks overvalued relative to its modeled cash generation. Our Discounted Cash Flow (DCF) analysis suggests Magnite may be overvalued by 24.0%. Discover 50 high quality undervalued stocks or create your own screener to find better value opportunities. Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Magnite. P/E is a useful check for Magnite because the company is now generating positive earnings, so you can compare what you pay per dollar of profit with peers in the media sector. Magnite trades on a P/E of about 21.3x, which sits slightly below the wider media industry average of 23.1x and well below the peer group average of 49.5x. On the surface that might look reasonable, but the tailored fair P/E ratio that blends factors like Magnite’s risk profile, margin structure and size sits closer to 14.7x. That means the current 21.3x multiple is higher than what this framework suggests for Magnite’s earnings power, so the stock screens as expensive relative to this earnings based benchmark. Overall, Magnite appears overvalued on its P/E multiple compared with the fair ratio implied by its fundamentals. See what the numbers say about this price — find out in our valuation breakdown. Simply Wall St Narratives for Magnite pick up where the valuation work leaves off by spelling out which paths for Magnite's growth, margins and earnings would need to play out for the stock to be worth materially more or materially less than today's price. Each idea links its number back to a clear view on how Magnite's growth, profitability and risks could evolve, which you can revisit on the Community page as new information comes through. Community views on Magnite sit wide apart, with one side focused on connected TV upside and the other on structural headwinds in digital advertising. Bull case: 7% undervalued Read the full Bull Case to see why Magnite could be undervalued Bear case: 45% overvalued Read the full Bear Case to see why Magnite could be overvalued Do you think there's more to the story for Magnite? Head over to our Community to see what others are saying! Magnite looks overvalued on both the Discounted Cash Flow (DCF) intrinsic value estimate and its earnings multiple, so the current price builds in a fair amount of optimism already. The DCF workup sits below the market price and the tailored fair P/E comes in under where the stock trades, which is consistent with the low broader valuation score. From here the key question is whether Magnite can deliver the growth and margin resilience that bullish investors expect, particularly in connected TV, or whether competitive and structural pressures in digital advertising keep the current premium under strain. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include MGNI. Have feedback on this article? Concerned about the content? 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Douglas S. Knopper, a director at Magnite, Inc. (NASDAQ:MGNI), sold 37,337 shares of common stock on August 6 at $22.72 per share, according to an SEC Form 4 filing. Transaction value based on SEC Form 4 weighted average sale price ($22.72); post-transaction value based on the August 6 market close ($24.32). What was the catalyst for this transaction?The sale was pre-arranged under a Rule 10b5-1 trading plan established in December 2025, a mechanism frequently used by corporate insiders to execute trades according to predetermined parameters to avoid potential conflicts. What is the extent of the insider's remaining exposure?Following this transaction, Knopper retains direct ownership of 88,473 shares, representing a 0.06% insider interest in the company. What financial context surrounds the company?Magnite operates in the communication services sector as an advertising agency platform provider, with a market capitalization of $3.5 billion and trailing-twelve-month revenue of $742.0 million as of the August 6 market close. How has the stock performed leading up to this filing?As of the transaction date, the company has delivered an 8% one-year total return, while reporting trailing-12-month net income of $166.9 million. Magnite operates a global digital advertising marketplace platform that provides publishers—including connected TV channels, mobile applications, and websites—with comprehensive tools and applications to manage and monetize their advertising inventory. The company generates revenue through a two-sided marketplace model, offering services and technology solutions to both supply-side participants (publishers) and demand-side participants (advertisers, agencies, agency trading desks, and demand-side platforms), facilitating programmatic advertising transactions. Magnite's primary customers include digital publishers seeking to optimize ad revenue, advertising agencies and brands requiring efficient media buying solutions, and demand-side platforms that leverage the company's infrastructure to execute targeted advertising campaigns at scale. Magnite is a leading independent platform in the digital advertising technology sector, with a market capitalization of $3.5 billion and TTM revenues of $742.0 million. The company maintains a competitive advantage through its sophisticated, independent marketplace infrastructure that connects a diverse ecosystem of publishers and advertisers globally. With a demonstrated ability to generate substantial net income of $166.9 million TTM, Magnite is positioned as a critical infrastructure provider in the programmatic advertising landscape. Unlike executives who cashed in options on the same day, Knopper simply sold shares he already held, under a plan set back in December. Still, a director trimming a stake on a preset schedule is about the quietest signal in the insider-filing world, and he kept 88,473 shares.What all five sales have in common is the strong quarter they followed. Connected TV, the piece of Magnite that matters most, grew contribution ex-TAC 36% to $97 million and now makes up more than half the total, while adjusted EBITDA rose 30%. Management raised full-year guidance across its main measures on the strength of that momentum.Five insiders selling in one day sounds like a stampede until you notice every sale ran on a plan set months earlier. There are a number of other things long-term investors should focus on instead: The firm is positioning its new agentic products as a "great future tailwind," and it's now projecting higher adjusted EBITDA, stronger margins, and greater free cash flow. The upcoming quarters will show just how those projections hold up, but so far, shares are rallying post-earnings. Before you buy stock in Magnite, 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 Magnite 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 $399,832!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,374,595!* Now, it’s worth noting Stock Advisor’s total average return is 968% — a market-crushing outperformance compared to 215% 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 August 9, 2026. Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool recommends Magnite. The Motley Fool has a disclosure policy. What to Know When a Magnite Director Sells Into a 36% Growth Quarter was originally published by The Motley Fool

Trade Desk stock crashed 28% after Q2 revenue of $715M missed estimates and Q3 guidance of at least $650M fell $155M short of the $805M consensus. MoffettNathanson slashed its Trade Desk stock price target to $6 from $23, leading a wave of downgrades as Truist and Wells Fargo warn a turnaround could take several quarters. AppLovin's steady trading and Magnite's raised full-year outlook confirm that Trade Desk stock's collapse today is company-specific, not a signal of a broken ad-tech market. It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) The Trade Desk (NASDAQ:TTD) stock is plunging 28% to $12.76 in Friday morning trading after the advertising-technology company delivered a disappointing second-quarter report and offered a sharply weaker outlook for the third quarter. The collapse comes one day after The Trade Desk stock fell 6.8% to $17.67 without any obvious company-specific news, making Friday's selloff a much clearer signal about the company's own business. The contrast with other ad-tech stocks is striking. AppLovin (NASDAQ:APP) stock is up 1% to $340.55, while Magnite (NASDAQ:MGNI) stock is down just 1% to $24.15, and the Invesco QQQ Trust (NASDAQ:QQQ) is up 0.82% to $720.61 as investors digest a weaker-than-expected July jobs report. The Trade Desk reported second-quarter revenue of $715 million, below expectations of $751 million, while adjusted earnings per share came in at $0.34 versus the $0.40 consensus estimate. The Trade Desk's third-quarter outlook was even more concerning, with revenue expected to reach at least $650 million compared with expectations of roughly $805 million. Management pointed to macroeconomic pressure affecting consumer packaged goods and automotive advertisers, along with execution problems and a shift toward lower-cost programmatic fixed-price media. The Trade Desk also faces competition from cheaper alternatives, creating a difficult combination of weaker demand, pricing pressure and potential market-share losses. SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now. (Sponsor) Wall Street responded with an unusually broad wave of downgrades and price-target cuts. BMO Capital downgraded The Trade Desk stock to Market Perform with a $15 target from $38, while Citi moved to Sell with an $11 target from $21 and Evercore ISI cut its target to $13 from $27. Guggenheim downgraded The Trade Desk to Neutral and reduced its target to $12 from $25, while RBC Capital moved to Sector Perform with a $15 target from $33. MoffettNathanson went further by cutting its target to $6 from $23, underscoring how dramatically expectations have changed. AppLovin stock is holding up despite the broader market uncertainty, while Magnite stock is also showing relative strength after Magnite delivered a better-than-expected second quarter and raised its full-year outlook. Yesterday's ad-tech split therefore appears even more significant today, with investors increasingly distinguishing between companies facing company-specific problems and those showing stronger operating momentum. AppLovin and Magnite also provide an important counterpoint to the argument that Friday's Trade Desk collapse simply reflects a weak advertising market. Trade Desk's pricing pressure, execution issues and advertiser losses appear to be more specific problems, although softer economic conditions could still create headwinds across the broader industry. The bullish case for Trade Desk stock is that the 28% plunge could eventually price in a significant portion of the company's near-term deterioration. UBS remains constructive with a $16 price target and believes improved sales execution, product updates and growing joint-business-plan momentum could provide early signs of a recovery. However, the bearish case currently has more immediate evidence behind it. Raymond James downgraded Trade Desk to Underperform, while Truist argued that fixing the company's problems could take several quarters, and Wells Fargo warned that trends could continue deteriorating unless Trade Desk aligns pricing with the broader industry. Investors can watch for whether Trade Desk can stabilize advertiser relationships, reverse share losses and turn product improvements into renewed spending growth. Given the magnitude of the earnings-driven reset and the wide range of reduced price targets, investors choosing to own Trade Desk stock may want to keep their position sizes moderate, even if the sharp decline makes the shares appear increasingly tempting to contrarian buyers. Looking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open a new Active Invest account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock. From $0 commission trading3 to fractional shares4 and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(Sponsor) Contact [email protected] for any questions or corrections.

Interested in Magnite, Inc.? Here are five stocks we like better. Magnite exceeded Q2 expectations, with revenue rising 11% to $193 million and Contribution ex-TAC increasing 17% to $190 million. CTV led growth, up 36% year over year, while Adjusted EBITDA rose 30% to $71 million, producing a 37% margin. The company raised its full-year outlook, now expecting Contribution ex-TAC growth of 13%–14%, Adjusted EBITDA growth above 20%, a margin of at least 37%, and free-cash-flow growth in the high-40% range. Magnite is expanding its CTV and commerce-media businesses through partnerships with major media owners and retailers, while developing AI-enabled advertising tools. Management said agentic advertising remains early but could eventually broaden the programmatic market. As Digital Ad Spend Hits a High, These Firms Could Reap Rewards Magnite (NASDAQ:MGNI) reported second-quarter results that exceeded its expectations, driven by continued growth in connected television and a return to growth in its DV+ business. The company raised its full-year outlook for Contribution ex-TAC, Adjusted EBITDA growth, margin expansion and free cash flow. Chief Executive Officer Michael Barrett said total Contribution ex-TAC exceeded consensus expectations by approximately $10 million, with CTV contributing about $6 million of the outperformance and DV+ adding roughly $4 million. Adjusted EBITDA exceeded consensus by $8 million, producing a 37% margin. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control 3 Stocks Offering Strong Value and Stability “We significantly exceeded expectations across the business,” Barrett said, citing broad-based CTV strength and improving trends in DV+. He said the company expects its momentum to continue. Total revenue in the second quarter was $193 million, up 11% from the same quarter of 2025, according to CFO David Day. Contribution ex-TAC rose 17% to $190 million, exceeding the high end of the company’s guidance range. CTV Contribution ex-TAC increased 36% year over year to $97 million. DV+ Contribution ex-TAC rose 2% to $93 million. CTV represented 51% of total Contribution ex-TAC, while mobile represented 35% and desktop accounted for 14%. Adjusted EBITDA increased 30% to $71 million, with a 37% margin, compared with 34% a year earlier. Net income was $19 million, compared with $11 million in the prior-year quarter. GAAP diluted earnings per share were $0.13, versus $0.08 a year earlier, while non-GAAP EPS was $0.26, compared with $0.20. → 3 Drone Stocks That Should Soar After the Summer Slump The Trade Desk: When Sell the News Turns Into Buy the Dip Day said health and fitness, technology and finance were the strongest advertising verticals during the quarter. Automotive, which had been the company’s largest declining category in the first quarter, returned to growth but remained depressed. Magnite ended the quarter with $333 million in cash, up from $185 million at the end of the first quarter. Operating cash flow, defined by the company as Adjusted EBITDA less capital expenditures, was $57 million. Net leverage stood at 0.1 times at quarter-end. → The Bitcoin Comeback May Already Be Underway—2 ETFs for Exposure The company repurchased or withheld more than 2.1 million shares for approximately $28 million during the quarter. Through the first half of 2026, it repurchased or withheld approximately 4.4 million shares for about $57 million. Magnite had $165 million remaining under its repurchase authorization, which runs through February 2028. Barrett said Magnite’s top 10 CTV accounts grew at a mid- to high-40% year-over-year rate. He attributed the growth primarily to greater adoption of programmatic advertising by premium streamers and buyers, as well as a greater willingness by publishers to use Magnite to bring in demand from DSPs and advertisers with whom they do not have direct relationships. Magnite reported strong growth across large media owners including Disney and ESPN, Netflix, Roku, VIZIO Walmart and Warner Bros. Discovery. Barrett also highlighted international expansion as a growth driver, saying major streamers rely heavily on programmatic channels to activate demand in markets where they may not have local direct-sales operations. Mobile in-app, meanwhile, grew 17% year over year. Barrett said Magnite views the market as an attractive long-term opportunity, supported by deeper DSP integrations, publisher onboarding and its SDK strategy. Day said the difference between CTV revenue growth and CTV Contribution ex-TAC growth was attributable to the declining managed-service business. Managed services represented about 9% of Magnite’s CTV business a year ago and approximately 2% in the second quarter, according to Day. He said the managed-service decline should begin to be lapped early next year. Barrett characterized SpringServe as Magnite’s operating system for CTV monetization, encompassing ad serving, mediation, monetization, demand facilitation and data enablement. During the quarter, Samsung selected SpringServe to power ad serving for premium smart-TV home-screen inventory and open that inventory to programmatic buying through Magnite’s DSP ecosystem. The company also cited an expansion with WPP, which added pause ads to its media supply hub enabled by SpringServe and integrated open audience segments through ClearLine. Magnite said 21 commerce-media partners are now deployed and actively ramping across DV+ and CTV. Those partners include Fanatics, CVS Media Exchange, Best Buy and PayPal Ads. Through its Walmart Connect partnership, Magnite is combining Walmart first-party commerce data with premium CTV inventory, including VIZIO supply, while supporting off-site execution and closed-loop measurement. The company also introduced Magnite Orchestration, which Barrett described as an infrastructure layer designed to enable agents from buyers, sellers, data providers and measurement firms to operate in a trusted environment. Disney Advertising, Spectrum Reach, Kepler, MiQ, Publicis Media Exchange, Dentsu and DirecTV are working with components of Magnite’s AI suite, he said. Barrett said agentic advertising remains in an early “crawl” phase. He said Magnite has transacted a handful of millions of dollars through agentic tools to date and does not expect that channel to represent a majority of company spend in the near term. Still, he said agentic tools could expand the programmatic addressable market by bringing direct insertion-order deals into the programmatic ecosystem. For the third quarter, Magnite expects total Contribution ex-TAC of $188 million to $192 million, representing year-over-year growth of 13% to 15%. CTV Contribution ex-TAC is projected at $98 million to $100 million, or growth of 29% to 32%, while DV+ is expected to range from $90 million to $92 million, representing a decline of 1% to growth of 1%. The company expects third-quarter Adjusted EBITDA operating expenses of $119 million to $121 million, implying an Adjusted EBITDA margin of 36% to 38%. For the full year, Magnite raised its forecast for total Contribution ex-TAC growth to 13% to 14%, from prior guidance of at least 11%. It now expects Adjusted EBITDA growth of more than 20%, compared with a prior expectation of mid-teens growth, and Adjusted EBITDA margin of at least 37%, up from at least 35.5%. Magnite also raised its expectation for free cash flow growth to the high-40% range from the mid-30% range, while reaffirming approximately $60 million in capital expenditures. Day said the company remains conservative in its outlook due to potential macroeconomic risks. Its forecasts do not include potential market-share gains from remedies that could emerge from the Google Ad Tech trial, for which Magnite said it had no update. Day, who plans to retire at the end of September after more than 13 years with the company, said Magnite expects continued margin expansion through revenue growth, technology-cost efficiencies and increased use of on-premises infrastructure. He said the company’s historical long-term Adjusted EBITDA margin range of 35% to 40% should not be viewed as a cap on its potential. Magnite, Inc (NASDAQ: MGNI) operates as an independent sell-side advertising platform that enables publishers and digital media owners to monetize their inventory through programmatic advertising. Formed in 2020 through the merger of Rubicon Project and Telaria, Magnite combines technologies for desktop, mobile, connected television (CTV) and digital out-of-home (DOOH) ad exchanges. The company provides an end-to-end solution designed to help media owners optimize yield across open marketplaces, private marketplaces and programmatic guaranteed deals. At the core of Magnite's offering is its supply-side platform (SSP), which connects publishers' ad impressions to demand-side platforms (DSPs) through real-time bidding (RTB). This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Magnite Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Magnite (MGNI) came out with quarterly earnings of $0.26 per share, beating the Zacks Consensus Estimate of $0.15 per share. This compares to earnings of $0.2 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +73.33%. A quarter ago, it was expected that this digital ad exchange operator would post earnings of $0.05 per share when it actually produced earnings of $0.13, delivering a surprise of +160%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Magnite, which belongs to the Zacks Internet - Software industry, posted revenues of $189.6 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 6.28%. This compares to year-ago revenues of $161.96 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Magnite shares have added about 28.5% since the beginning of the year versus the S&P 500's gain of 13%. While Magnite has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Magnite was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.16 on $186.2 million in revenues for the coming quarter and $0.95 on $745.6 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Salesforce (CRM), another stock in the same industry, has yet to report results for the quarter ended July 2026. This customer-management software developer is expected to post quarterly earnings of $3.27 per share in its upcoming report, which represents a year-over-year change of +12.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Salesforce's revenues are expected to be $11.3 billion, up 10.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Magnite, Inc. (MGNI) : Free Stock Analysis Report Salesforce, Inc. (CRM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Total Revenue: $193 million, up 11% year-over-year. Contribution ex-TAC: $190 million, up 17% year-over-year, exceeding the high end of guidance. CTV Contribution ex-TAC: $97 million, up 36% year-over-year. TV+ Contribution ex-TAC: $93 million, up 2% year-over-year. Adjusted EBITDA: $71 million, up 30% year-over-year, with a margin of 37%. Net Income: $19 million, compared to $11 million in Q2 2025. GAAP Earnings Per Share (Diluted): $0.13, compared to $0.08 in Q2 2025. Non-GAAP Earnings Per Share: $0.26, compared to $0.20 in Q2 2025. Operating Cash Flow: $57 million, defined as adjusted EBITDA less CapEx. Capital Expenditures: $13 million. Cash Balance: $333 million at end of Q2. Net Leverage: 0.1 times at quarter end. Share Repurchases: Over 2.1 million shares repurchased or withheld for approximately $28 million in Q2. Warning! GuruFocus has detected 6 Warning Signs with MGNI. Is MGNI fairly valued? Test your thesis with our free DCF calculator. Release Date: August 05, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Magnite Inc (NASDAQ:MGNI) significantly exceeded Q2 2026 expectations, with contribution ex-TAC of $190 million, up 17% year-over-year, and adjusted EBITDA of $71 million, up 30%, reflecting strong operating leverage. CTV contribution ex-TAC grew 36% year-over-year to $97 million, driven by broad-based strength across major media owners like Disney, Netflix, Roku, and Warner Bros. Discovery, with top 10 CTV accounts accelerating to mid-to-high 40% growth. The company raised its full-year 2026 guidance for contribution ex-TAC growth to 13%-14% (from at least 11%) and adjusted EBITDA margin to at least 37% (from at least 35.5%), signaling confidence in continued momentum. SpringServe continues to be a key differentiator, with new wins like Samsung selecting it to power ad serving for its smart TV home screen inventory, expanding Magnite's leadership among OEMs. Magnite is making early strides in AI with its Magnite Orchestration layer, attracting partnerships with major agencies and publishers (e.g., Publicis, Dentsu, DirecTV), positioning the company as a potential infrastructure layer for agentic advertising. The company's balance sheet remains strong with net leverage of 0.1x, and it continues to return capital to shareholders, repurchasing $28 million in Q2 2026. TV+ contribution ex-TAC growth was only 2% year-over-year in Q2 2026, indicating continued softness in the non-CTV segment, though it returned to growth. The company's guidance for Q3 2026 implies a deceleration in CTV growth to 29%-32% (from 36% in Q2), partly due to tougher comps and conservative assumptions around macro risks. The managed service business within CTV continues to decline, representing only 2% of CTV revenue (down from 9% a year ago), which is a drag on overall CTV revenue growth versus contribution ex-TAC growth. The company remains cautious about the second half of 2026, citing potential macro risks such as stubborn inflation, volatile energy prices, and geopolitical challenges, which could impact advertising spend. Agentic advertising is still in its early 'crawl' stage, with only a handful of millions of dollars transacted to date, and the company acknowledges it is difficult to predict when it will become a meaningful growth driver. The automotive vertical, while returning to growth, remains depressed, and the company noted that political advertising upside is uncertain and not fully embedded in guidance. Q: Can you discuss the sustainability of the strong CTV growth rate and the opportunities for further margin expansion?A: Michael Barrett (CEO) stated that while the current growth rate is 2.5 to 3 times the market, the company's stated goal is to outpace the market, and they believe a 25% CTV growth rate is achievable over the next several years. David Day (CFO) added that margin expansion will continue through high incremental flow-through from revenue growth, ongoing tech stack cost efficiencies (including moving workloads from cloud to on-prem), and a future shift in headcount strategy. He noted that while the long-term margin range was historically 35%-40%, 40% is not a cap on potential. Q: What drove the significant outperformance in Q2, and are there any one-time items or cyclical events, like the World Cup, that contributed?A: Michael Barrett (CEO) attributed the beat to broad-based strength, not one-timers. Growth was driven by greater adoption of programmatic by premium publishers and strong international expansion, where streamers rely on Magnite's programmatic channel. He clarified that the World Cup was mostly a linear TV event with minimal impact on Magnite's streaming business, so there are no difficult comps ahead. Q: Can you explain the disparity between CTV revenue growth (21%) and contribution ex-TAC growth (36%)?A: David Day (CFO) explained that the difference is 100% due to the decline of the managed service business, which fell from 9% of CTV business a year ago to 2% today. This is a drag on reported revenue growth but not on contribution ex-TAC. Michael Barrett (CEO) added that core take rates are stable and not under pressure. The company will lap this decline early next year, after which revenue and contribution ex-TAC growth rates will align more closely. Q: Regarding the new Magnite Orchestration layer, will it have a better take rate than SpringServe, and how does it expand the total addressable market?A: Michael Barrett (CEO) clarified that while SpringServe as a standalone ad server has a lower take rate, it is now embedded across all Magnite platforms and is not a low-take-rate product overall. Magnite intends to charge for Orchestration, and transactions conducted agentically so far carry take rates similar to their normal product suite. He confirmed that Agentic advertising brings TAM expansion by converting direct IO deals into the programmatic ecosystem. Q: How are you thinking about the political advertising environment for the 2026 midterms, and is there upside to your guidance?A: David Day (CFO) noted that Magnite generated about $11 million in contribution ex-TAC during the last midterms and $19 million during the last presidential cycle, with guidance targeting a level in between. He stated that primaries were stronger than anticipated, so there is cautious optimism for additional upside, though the volatility of races makes it hard to handicap. Q: Can you provide more detail on the customer conversations around Agentic advertising and when it might inflect the growth rate?A: Michael Barrett (CEO) said Agentic is the dominant topic in customer conversations, and Magnite is leading the industry discussion. However, it is early, and customer predictions for 2027 industry-wide agentic spend range from zero to $1 billion. For a company processing over $9 billion in ad spend, this is not yet meaningful to near-term financials, but it will be a mid-to-long-term growth driver through TAM expansion. Q: How does the strategy of supply-side audience enablement and decisioning make it easier for demand to flow to Magnite's inventory?A: Michael Barrett (CEO) explained that these initiatives reduce friction by surfacing valuable first-party data from both media owners and advertisers. The success with Commerce Media partners demonstrates how matching data on the supply side democratizes DSP involvement, allowing buyers to use their preferred DSP while accessing premium data. This brings more seamless demand into the ecosystem without eliminating DSPs. Q: What is the strategy for getting publishers to adopt the seller agent, and how does that catalyze Magnite Orchestration as critical infrastructure?A: Michael Barrett (CEO) stated that all agentic transactions to date have involved publishers using Magnite's seller agent. However, success does not require everyone to adopt Magnite's tools. The orchestration layer is designed to allow any agent to work seamlessly with others across the ecosystem. He believes the scale and trust Magnite provides will make it the single orchestration layer needed, similar to how SpringServe became the operating system for CTV. Q: How should we think about the upside from live sports as a revenue catalyst, and how is it pacing compared to the rest of CTV?A: Michael Barrett (CEO) highlighted that live sports has traditionally had zero programmatic dollars, but all major sports leagues have now renegotiated broadcast agreements to include streaming. Magnite has invested heavily in tools to make live sports work programmatically. While the World Cup was not a significant driver this quarter, the company is confident in its ability to monetize football and college basketball this fall, making live sports a big part of the growth story domestically and internationally. Q: Given the high growth of your top 10 CTV accounts, can you speak to customer concentration risk?A: David Day (CFO) stated that while the company does not disclose the concentration of its top 10 accounts, no individual publisher represents more than 5% of total contribution ex-TAC. CTV is somewhat more concentrated given the limited number of major streamers, but there is no significant concentration risk. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Trade Desk (NASDAQ:TTD), a cloud-based programmatic advertising platform for data-driven digital ad buyers, closed at $17.67, down 6.80%. Investors sold shares throughout the day ahead of Q2 results, and things got worse after hours as the company reported dismal results. As of 5 p.m. ET, TTD stock is down 22%. Trading volume reached 49.5M shares, coming in about 152% above its three-month average of 19.7M shares. Trade Desk IPO'd in 2016 and has grown 487% since going public. The S&P 500 (SNPINDEX:^GSPC) closed at 7,711, down 0.16%, while the Nasdaq Composite (NASDAQINDEX:^IXIC) finished at 26,348, down 0.06%. Among advertising technology rivals, Magnite (NASDAQ:MGNI) closed at $24.32, up 17.66%, and PubMatic (NASDAQ:PUBM) closed at $13.48, down 0.22%, highlighting a split in the peer group. The market was already pessimistic about The Trade Desk’s Q2 earnings call after close today, as the stock slid 7% during market hours -- and the company’s actual results did nothing to dissuade this negative outlook once they hit the press, as the stock declined another 22% after close. Not only did the company’s Q2 earnings fall well short of analyst consensus, but Trade Desk guided for sales of “at least” $650 million -- far shy of Wall Street’s expectations for $805 million. If this revenue guidance is correct, it would represent a 12% year-over-year decline in sales. While The Trade Desk was once a core holding for me -- I still hold all my original shares -- I can’t imagine adding to the position anytime soon. Rather, I’m content to see what new management can bring to the table and see what niche the company can carve out for itself in a rapidly evolving advertising landscape. That said, today’s results show that the company has seemingly lost its grip as the leader in its “open internet” slice of the advertising market, and I would need to see a 180 in results over the next few quarters to really get excited about the stock again. 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 are built for long-term growth and 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 $400,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,345,502!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 6, 2026. Josh Kohn-Lindquist has positions in The Trade Desk. The Motley Fool has positions in and recommends PubMatic and The Trade Desk. The Motley Fool recommends Magnite. The Motley Fool has a disclosure policy. Stock Market Today, Aug. 6: Trade Desk Plummets After Hours on Weak Q2 Results was originally published by The Motley Fool

Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St. Magnite (MGNI) heads into Wednesday’s after hours earnings report with investors watching revenue expectations, recent earnings per share performance, and improving returns on capital as key clues about operational execution. See our latest analysis for Magnite. Magnite’s recent 6.6% 1 day and 55.8% 90 day share price returns, with the stock now at US$20.86, contrast with a 1 year total shareholder return that is still down 6.8%. This suggests improving momentum but a mixed longer term record. If you are watching how Magnite trades into earnings and want to broaden your search, this is a good moment to scan 56 AI infrastructure stocks For Magnite, a 56% move in three months can signal either a business story catching up with prior doubts or a sentiment swing running ahead of fundamentals. The valuation picture now becomes the key filter for that debate. The most followed valuation narrative currently places Magnite’s fair value at $22.21, a touch above the recent $20.86 close, which makes the earnings update more interesting for anyone weighing that gap. Read the complete narrative. Want to understand why this story still points to upside despite forecast earnings drifting lower? The narrative leans heavily on revenue mix, margin shifts, and a richer future earnings multiple. Curious which assumptions need to hold for that to add up. Result: Fair Value of $22.21 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Magnite’s reliance on large CTV streamers and ongoing regulatory outcomes around Google could quickly change the story if partner behavior or remedies are disappointing. Find out about the key risks to this Magnite narrative. Given the mix of optimism and concern running through the Magnite story, this is a good time to look at the data directly and decide how you see the balance between potential upside and risk. Start by weighing the 2 key rewards and 2 important warning signs. Magnite’s setup around earnings is just one opportunity on your radar. Use this moment to line up a few more ideas so you are not reacting later. Target reliable income by checking out 7 dividend fortresses that could help anchor your portfolio with regular cash returns. Hunt for potential value by reviewing screener containing 18 high quality undiscovered gems that the market might not be fully focused on yet. Protect your downside by scanning 82 resilient stocks with low risk scores that score well on resilience and overall risk profile. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include MGNI. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Contribution ex-TAC(1) Grows 17% Year-Over-Year Contribution ex-TAC(1) from CTV Grows 36% Year-Over-Year Adjusted EBITDA(1) Grows 30% Year-Over-Year Adjusted EBITDA Margin(2) of 37% in Second Quarter NEW YORK, Aug. 05, 2026 (GLOBE NEWSWIRE) -- Magnite (NASDAQ: MGNI), the largest independent sell-side advertising company, today reported its results of operations for the quarter ended June 30, 2026. Q2 2026 Highlights: Revenue of $192.8 million, up 11% year-over-year Contribution ex-TAC(1) of $189.6 million, up 17% year-over-year, exceeded the high end of the guidance range of $177 to $181 million Contribution ex-TAC(1) attributable to CTV of $97.1 million, up 36% year-over-year, exceeded the high end of the guidance range of $90 to $92 million Contribution ex-TAC(1) attributable to DV+ of $92.5 million, up 2% year-over-year, exceeded high end of the guidance range of $87 to $89 million Net income of $19.4 million, or $0.13 per diluted share, compared to a net income of $11.1 million, or $0.08 per share for Q2 2025 Adjusted EBITDA(1) of $70.6 million, up 30% year-over-year, representing a 37% Adjusted EBITDA margin(2), compared to Adjusted EBITDA(1) of $54.4 million or a 34% margin in Q2 2025 Non-GAAP earnings per share(1) of $0.26, compared to non-GAAP earnings per share(1) of $0.20 for Q2 2025 Operating cash flow(3) of $57.4 million Q3 2026 Expectations: Total Contribution ex-TAC(1) to be between $188 million and $192 million Contribution ex-TAC(1) attributable to CTV to be between $98 million and $100 million Contribution ex-TAC(1) attributable to DV+ to be between $90 million and $92 million Adjusted EBITDA operating expenses(4) to be between $119 million and $121 million Full-Year 2026 Expectations: Raising total Contribution ex-TAC(1) growth to be between 13% and 14%, up from at least 11% Raising Adjusted EBITDA(1) percentage growth to be greater than 20% from the mid-teens Raising Adjusted EBITDA margin(2) to be at least 37% from at least 35.5% Raising free cash flow(5) growth to be in the high 40% range from the mid 30% range “We significantly beat consensus expectations on both the top and bottom line in the second quarter, driven by outperformance in CTV—which grew 36% year-over-year—and a return to growth in DV+. Our CTV momentum continues to be broad-based across leading publisher partners and anchored by the strategic differentiation of SpringServe. On the bottom line, we delivered 30% Adjusted EBITDA growth with a 37% margin. Given this strong execution and ongoing shift toward programmatic streaming, we are also raising both our full-year top-line and margin expectations. Furthermore, we are pleased with our agentic product launches and partner support, and view these as a great future tailwind. We are uniquely positioned between supply and demand, and with our agentic offerings we believe we will benefit from serving as vital infrastructure for the future of digital advertising,” said Michael G. Barrett, CEO of Magnite. NM = Not meaningful Second Quarter 2026 Results Conference Call and Webcast: The Company will host a conference call on August 5, 2026 at 1:30 PM (PT) / 4:30 PM (ET) to discuss the results for its second quarter of 2026. About MagniteWe’re Magnite (NASDAQ: MGNI), the world’s largest independent sell-side advertising company. Publishers use our technology to monetize their content across all screens and formats including CTV, online video, display, and audio. The world's leading agencies and brands trust our platform to access brand-safe, high-quality ad inventory and execute billions of advertising transactions each month. Anchored in bustling New York City, sunny Los Angeles, mile high Denver, historic London, colorful Singapore, and down under in Sydney, Magnite has offices across North America, EMEA, LATAM, and APAC. Forward-Looking Statements: This press release and management's prepared remarks during the conference call referred to above include, and management's answers to questions during the conference call may include, forward-looking statements, including statements based upon or relating to our expectations, assumptions, estimates, and projections. In some cases, you can identify forward-looking statements by terms such as "may," "might," "will," "objective," "intend," "should," "could," "can," "would," "expect," "believe," "design," "anticipate," "estimate," "predict," "potential," "plan" or the negative of these terms, and similar expressions. Forward-looking statements may include, but are not limited to, statements concerning the Company’s guidance or expectations with respect to future financial performance; acquisitions by the Company, or the anticipated benefits thereof; macroeconomic conditions or concerns related thereto; the growth of ad-supported programmatic connected television ("CTV"); our ability to use and collect data to provide our offerings; the scope and duration of client relationships; the fees we may charge in the future; key strategic objectives; anticipated benefits of new offerings; business mix; sales growth; benefits from supply path optimization; our ability to adapt to advancements in artificial intelligence ("AI"); the development of identity solutions; client utilization of our offerings; the impact of requests for discounts, rebates, or other fee concessions; our competitive differentiation; our market share and leadership position in the industry; market conditions, trends, and opportunities; the effects of regulatory developments or antitrust rulings on competitive dynamics in our industry; our litigation against Google LLC, or the anticipated benefits thereof; certain statements regarding future operational performance measures; and other statements that are not historical facts. These statements are not guarantees of future performance; they reflect our current views with respect to future events and are based on assumptions and estimates and subject to known and unknown risks, uncertainties and other factors that may cause our actual results, outcomes, performance or achievements, or the timing thereof, to be materially different from expectations or results projected or implied by forward-looking statements. We discuss many of these risks, uncertainties, and additional factors that could cause actual results, outcomes, or timing thereof, to differ materially from those anticipated by our forward-looking statements under the headings "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations," and elsewhere in this press release and in other filings we have made and will make from time to time with the Securities and Exchange Commission, or SEC, including our Annual Report on Form 10-K for the year ended December 31, 2025, and subsequent filings. These forward-looking statements represent our estimates and assumptions only as of the date of the report in which they are included. Unless required by federal securities laws, we assume no obligation to update any of these forward-looking statements, or to update the reasons actual results or outcomes could differ materially from those anticipated, to reflect circumstances or events that occur after the statements are made. Without limiting the foregoing, any guidance we may provide will generally be given only in connection with quarterly and annual earnings announcements, without interim updates, and we may appear at industry conferences or make other public statements without disclosing material nonpublic information in our possession. Given these uncertainties, investors should not place undue reliance on these forward-looking statements. Investors should read this press release and the documents that we reference in this press release and have filed or will file with the SEC completely and with the understanding that our actual future results may be materially different from what we expect. We qualify all of our forward-looking statements by these cautionary statements. Non-GAAP Financial Measures and Operational Measures: In addition to our GAAP results, we review certain non-GAAP financial measures to help us evaluate our business on a consistent basis, measure our performance, identify trends affecting our business, establish budgets, measure the effectiveness of investments in our technology and development and sales and marketing, and assess our operational efficiencies. These non-GAAP financial measures include Contribution ex-TAC, Adjusted EBITDA, Non-GAAP Income, and Non-GAAP Earnings per share, each of which is discussed below. These non-GAAP financial measures are not intended to be considered in isolation from, as substitutes for, or as superior to, the corresponding financial measures prepared in accordance with GAAP. You are encouraged to evaluate these adjustments, and review the reconciliation of these non-GAAP financial measures to their most comparable GAAP measures, and the reasons we consider them appropriate. It is important to note that the particular items we exclude from, or include in, our non-GAAP financial measures may differ from the items excluded from, or included in, similar non-GAAP financial measures used by other companies. See "Reconciliation of Revenue to Gross Profit to Contribution ex-TAC," "Reconciliation of net income to Adjusted EBITDA," "Reconciliation of net income to non-GAAP income," and "Reconciliation of GAAP earnings per share to non-GAAP earnings per share" included as part of this press release. We do not provide a reconciliation of our non-GAAP financial expectations for Contribution ex-TAC and Adjusted EBITDA, or a forecast of the most comparable GAAP measures, because the amount and timing of many future charges that impact these measures (such as amortization of future acquired intangible assets, acquisition-related charges, foreign exchange (gain) loss, net, stock-based compensation, impairment charges, provision or benefit for income taxes, and our future revenue mix), which could be material, are variable, uncertain, or out of our control and therefore cannot be reasonably predicted without unreasonable effort, if at all. In addition, we believe such reconciliations or forecasts could imply a degree of precision that might be confusing or misleading to investors. Contribution ex-TAC: Contribution ex-TAC is calculated as gross profit plus cost of revenue, excluding traffic acquisition cost ("TAC"). Traffic acquisition cost, a component of cost of revenue, represents what we must pay sellers for the sale of advertising inventory through our platform for revenue reported on a gross basis. Contribution ex-TAC is a non-GAAP financial measure that is most comparable to gross profit. We believe Contribution ex-TAC is a useful measure in facilitating a consistent comparison against our core business without considering the impact of traffic acquisition costs related to revenue reported on a gross basis. Adjusted EBITDA: We define Adjusted EBITDA as net income adjusted to exclude stock-based compensation expense, depreciation and amortization, including amortization of acquired intangible assets, impairment charges, interest income or expense, provision (benefit) for income taxes, and certain cash and non-cash based income or expenses that we do not consider indicative of our core operating performance, including, but not limited to foreign exchange gains and losses, acquisition, severance costs and related items, gains or losses on extinguishment of debt, other debt refinancing expenses, certain litigation expenses, and non-operational real estate and other expenses (income), net. We believe Adjusted EBITDA is useful to investors in evaluating our performance for the following reasons: Adjusted EBITDA is widely used by investors and securities analysts to measure a company’s performance without regard to items such as those we exclude in calculating this measure, which can vary substantially from company to company depending upon their financing, capital structures, and the method by which assets were acquired. Our management uses Adjusted EBITDA in conjunction with GAAP financial measures for planning purposes, including the preparation of our annual operating budget, as a measure of performance and the effectiveness of our business strategies, and in communications with our board of directors concerning our performance. Adjusted EBITDA is also used as a metric for determining payment of cash incentive compensation. Adjusted EBITDA provides a measure of consistency and comparability with our past performance that many investors find useful, facilitates period-to-period comparisons of operations, and also facilitates comparisons with other peer companies, many of which use similar non-GAAP financial measures to supplement their GAAP results. Although Adjusted EBITDA is frequently used by investors and securities analysts in their evaluations of companies, Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results of operations as reported under GAAP. These limitations include: Stock-based compensation is a non-cash charge and will remain an element of our long-term incentive compensation package, although we exclude it as an expense when evaluating our ongoing operating performance for a particular period. Depreciation and amortization are non-cash charges, and the assets being depreciated or amortized will often have to be replaced in the future, but Adjusted EBITDA does not reflect any cash requirements for these replacements. Impairment charges are non-cash charges related to goodwill, intangible assets and/or long-lived assets. Adjusted EBITDA does not reflect certain cash and non-cash charges related to acquisition and related items, such as amortization of acquired intangible assets, merger, acquisition, or restructuring related severance costs, certain transaction expenses, and changes in the fair value of contingent consideration. Adjusted EBITDA does not reflect cash and non-cash charges related to interest income and interest expense and certain financing transactions such as gains or losses on extinguishment of debt or other debt refinancing expenses. Adjusted EBITDA does not reflect cash requirements for income taxes and the cash impact of other income or expense. Adjusted EBITDA does not reflect litigation expenses for specific proceedings. Adjusted EBITDA does not reflect certain non-operational real estate and other (income) and expense, net. Adjusted EBITDA does not reflect changes in our working capital needs, capital expenditures, or contractual commitments. Other companies may calculate Adjusted EBITDA differently than we do, limiting its usefulness as a comparative measure. Our Adjusted EBITDA is influenced by fluctuations in our revenue, cost of revenue, and the timing and amounts of the cost of our operations. Adjusted EBITDA should not be considered as an alternative to net income, income from operations, or any other measure of financial performance calculated and presented in accordance with GAAP. Non-GAAP Income and Non-GAAP Earnings per Share: We define non-GAAP earnings per share as non-GAAP income divided by non-GAAP weighted-average shares outstanding. Non-GAAP income is equal to net income excluding stock-based compensation, cash and non-cash based merger, acquisition, and restructuring costs, which consist primarily of professional service fees associated with merger and acquisition activities, cash-based employee termination costs, and other restructuring activities, including facility closures, relocation costs, contract termination costs, and impairment costs of abandoned technology associated with restructuring activities, amortization of acquired intangible assets, gains or losses on extinguishment of debt, certain litigation expense, non-operational real estate and other expenses or income, foreign currency gains and losses, interest expense associated with Convertible Senior Notes, other debt refinance expenses, and the tax impact of these items. In periods in which we have non-GAAP income, non-GAAP weighted-average shares outstanding used to calculate non-GAAP earnings per share includes the impact of potentially dilutive shares. Potentially dilutive shares consist of stock options, restricted stock units, performance stock units, and potential shares issued under the Employee Stock Purchase Plan, each computed using the treasury stock method, and the impact of shares that would be issuable assuming conversion of all of the Convertible Senior Notes, calculated under the if-converted method. We believe non-GAAP earnings per share is useful to investors in evaluating our ongoing operational performance and our trends on a per share basis, and also facilitates comparison of our financial results on a per share basis with other companies, many of which present a similar non-GAAP measure. However, a potential limitation of our use of non-GAAP earnings per share is that other companies may define non-GAAP earnings per share differently, which may make comparison difficult. This measure may also exclude expenses that may have a material impact on our reported financial results. Non-GAAP earnings per share is a performance measure and should not be used as a measure of liquidity. Because of these limitations, we also consider the comparable GAAP measure of net income. Investor Relations ContactNick Kormeluk(949) [email protected] Media ContactCharlstie Veith(516) [email protected]