Trade Desk Leaders Hit With Latest Insider Trading, Ad Tool Suit

Oct. 6, 2025, 8:58 PM UTC

Leaders of The Trade Desk Inc. improperly hyped the prospects of a new algorithm for digital advertising despite sluggish uptake and sold nearly $500 million worth of stock while prices were inflated, an investor alleges.

The harm to the company includes a $272 million overpayment for $1.1 billion in stock repurchases, damage to its reputation and goodwill, and its legal defense costs and exposure to liability in a related class action, Ahmed Ibrahim says. He filed the shareholder derivative suit on behalf of Trade Desk on Oct. 3 in the US District Court for the District of Nevada.

The derivative ...

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