What is programmatic advertising and why is it important?

Programmatic advertising is the automated buying and selling of digital ad space using software and AI instead of human negotiations. It's important because it makes advertising more efficient, targeted, and measurable. Companies like TTD, PUBM, and MGNI in this theme provide the platforms that enable programmatic advertising, which is becoming essential as the industry shifts toward more data-driven and AI-powered campaigns.

Why is WPP's CEO appointment significant for these stocks?

WPP appointing Microsoft executive Cindy Rose as CEO signals a major shift in the advertising industry toward technology and AI adoption. As one of the world's largest advertising companies makes this move, it creates pressure for the entire industry to invest more heavily in AI and advanced data technologies. This benefits the companies in this theme that provide the essential tools, platforms, and infrastructure that advertising agencies need for this transformation.

What are demand-side and sell-side platforms in advertising?

In digital advertising, demand-side platforms (DSPs) like TTD and DSP help advertisers buy ad space efficiently across multiple websites, while sell-side platforms (SSPs) like PUBM and MGNI help publishers sell their ad inventory to get the best prices. Think of DSPs as working for the buyers (advertisers) and SSPs as working for the sellers (websites/apps). As advertising becomes more AI-driven, both types of platforms become increasingly important for managing the complex, data-heavy transactions that power modern digital advertising.

What does "Potential Profit %" mean in the stock data?

"Potential Profit %" represents the estimated percentage return a stock might generate based on analyst projections and market conditions. It's typically calculated as the difference between a stock's current price and analysts' target price, expressed as a percentage. While this metric can help you understand possible upside, remember it's just a projection and actual returns may differ significantly. Always consider potential profit alongside other factors like risk level and company fundamentals.

How do data and cloud infrastructure companies fit into advertising?

Modern advertising increasingly relies on massive amounts of data to target the right audiences and measure effectiveness. Companies like Snowflake (SNOW), Informatica (INFA), and Domo (DOMO) provide the cloud infrastructure and data management tools needed to store, process, and analyze this information. As advertising becomes more personalized and AI-driven, these behind-the-scenes technology providers become essential partners for advertising agencies that need to handle increasingly complex data operations.

15 handpicked stocks

Advertising's AI Revolution

This carefully selected group of stocks represents companies at the forefront of advertising's technological transformation. Our professional analysts have identified businesses providing the essential AI, data, and cloud technologies that are becoming the backbone of modern advertising campaigns.

Han Tan | Market Analyst

Updated 2 days ago | Published at juillet 11