Prediction: This Growth Stock Could Outperform the S&P 500 in 2026

The eventual extremity for maturation investors is to outperform the S&P 500. Otherwise, you're conscionable wasting your clip and should look for an scale fund. Although I see myself a maturation investor, the world is that it's each conscionable antithetic varieties of worth investing. If you're a maturation investor, you're buying a banal due to the fact that you judge its concern volition rapidly turn and let the banal to outperform your chosen index. At its core, that is worth investing due to the fact that you're buying thing for a discount present successful hopes that it volition emergence to a higher terms later.

While astir definitions of worth investing constituent toward buying a presently inexpensive asset, sometimes maturation and worth investing intersect. That's precisely what I spot happening for The Trade Desk (NASDAQ: TTD). The Trade Desk has historically been a maturation stock, but aft its 80% diminution from its highs, it's easy successful worth investing territory arsenic well.

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I deliberation this banal has an unthinkable accidental of outperforming the S&P 500 during 2026, and investors should load up connected this fallen maturation banal portion it's inactive cheap.

The Trade Desk operates a buy-side advertisement level that helps spot its clients' advertisements successful the champion spot connected the internet. The Trade Desk has connections with websites, podcasts, connected TV, and beauteous overmuch anyplace other you'd spot an ad. Programmatic advertizing is the adjacent large happening successful the advertisement market, and it continues to instrumentality marketplace stock from linear TV and accepted ads each the time. However, this isn't a secret, truthful this abstraction is attracting galore competitors.

One of the biggest that has disrupted The Trade Desk is Amazon. Amazon has a monolithic and increasing advertizing wing, and it's a astute spouse to advertise with. Amazon ads person the unsocial capableness of advertizing their products that a user is looking for, astatine a trusted and well-known commerce site. This gives Amazon ads a precocious instrumentality connected investment, making them a amended spouse than The Trade Desk. While the advertizing marketplace is much than conscionable worldly you tin bargain connected Amazon, it has taken immoderate of The Trade Desk's superior market.

Still, The Trade Desk is doing conscionable fine. Last quarter, its gross roseate 18%. While that's slower than erstwhile maturation rates, it's inactive faster than the market's 10% mean yearly return. For 2026, Wall Street analysts task 16% gross growth, truthful it should besides present market-beating maturation this year.