Buy: Digital Guru Criteo

Digital marketing guru Criteo (Nasdaq: CRTO) is showing Wall Street that ad-blocking is no barrier to its business. The stock was decimated last summer due to fears that Apple’s ad-blocking technology would bury its business. The stock, which hit a high of $57 last July, melted to $24 earlier this month as investors feared revenue growth would drop sharply.

But robust results and rosy predictions delivered on Feb. 10, illustrated how little affect ad-blocking has had. The company, which has been delivering ads on Facebook’s mobile pages, is more optimistic than ever and is winning mobile clients at twice the rate of desktop ones.

Paris-based Criteo has places adds based predictions generated by the mountains of behavioral data it has collected from partner websites. The company now has more than 10,000 advertising customers and delivers personalized ads to over 13,000 websites. Its unique expertise in delivery targeted ads on mobile devices sets it apart from other digital marketing companies.

Criteo is still delivering impressive top and bottom line growth, with revenue increasing 31% and earnings 55% in the December quarter. Estimates look for an average 27% earnings growth over the next two years, numbers that could catapult the stock to the low $60s.

You’ll find a complete profile of the company in your next Profit Catalyst Alert issue, which will be available March 15. 

Buy up to $43

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