Alphabet vs. The Trade Desk: Which Is a Better Buy?

2026-03-02 22:01:00 ET

As investors look for ways to get exposure to growth trends in their portfolios, one idea is to beef it up with companies ties to not just one, but two growth areas of the market: artificial intelligence (AI) and digital advertising. Investing in Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) , the online search giant, and The Trade Desk (NASDAQ: TTD) , an independent digital advertising platform, are two ways to get exposure to both the ongoing shift toward digital ads and the implementation of AI into existing services.

But the recent earnings reports from these two companies revealed a stark contrast in their fundamental momentum. Alphabet continues to accelerate its top line and expand its profit margins. Meanwhile, The Trade Desk's stock has been hammered this year as its fourth quarter pointed to a further top-line growth deceleration.

So, is this an opportunity for investors to pick up shares of the smaller digital advertising specialist, given its recent stock price decline? Or is Alphabet, despite its large size and better stock performance, still the better buy?

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