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Why The Trade Desk's Trouble Shouldn’t Tempt JSE Buyers

Amazon’s pressure on The Trade Desk signals a tough road ahead, but South African tech investors should look elsewhere.

The Trade Desk’s recent sales stumble, driven by Amazon’s aggressive push into advertising, is a clear warning sign. This isn’t just a typical sales hiccup — the competition is fundamentally reshaping the industry. For local investors eyeing tech exposure, it’s a reminder that global giants with deep pockets can quickly crush smaller players. While Naspers and Prosus obviously aren’t immune to global tech headwinds, their diverse portfolios and cash flows give them a buffer that The Trade Desk clearly lacks. Meanwhile, the rand’s modest stability against the dollar means South Africans don’t need to chase US ad tech stocks that are facing a downward spiral. It’s better to watch this space until clearer signs of recovery emerge. This view could be wrong if The Trade Desk executes a major pivot or innovation that restores growth, but that seems unlikely in the near term. this is just our opinion and not financial advice