How many adtech companies are there?

The adtech landscape is constantly changing, but one estimate pegged the number of adtech companies operating in the United States at 3,761.

Are adtech stocks good for long-term investment?

It's highly unlikely that companies will give up on advertising as a means of growing their businesses anytime soon. Investors who are comfortable with long-term holding periods can prosper from investing in adtech stocks.

Are there ETFs that include adtech stocks?

There are limited exchange-traded funds (ETFs) that exclusively track adtech stocks. Investors, however, may want to consider a broad communications ETF like the Vanguard Communication Services ETF (NYSEMKT:VOX), which has adtech exposure through holdings like The Trade Desk and Magnite.

How do adtech companies generate revenue?

Demand-side platforms like The Trade Desk generate revenue by charging customers platform fees, typically based on a percentage of their total platform expenditures. Sell-side adtech companies like PubMatic and Magnite generate revenue by charging fees for the impressions they sell.

Should I diversify adtech stocks with other tech investments?

Absolutely, investors should diversify. The tech industry is multifaceted, and investors would be well served by gaining exposure to a variety of niches -- not just adtech stocks.

5 Best Advertising Technology Stocks for 2026 and How to Invest

4 Best Advertising Technology Stocks for 2026 and How to Invest

By Scott Levine – Updated Sep 14, 2026 at 3:01 PM EST | Fact-checked by Parker Hicks

Key Points

Global adtech market is expected to grow from $1.1 trillion in 2026 to over $3 trillion next decade.
The Trade Desk's AI platform automates ad buys, seeing a 3% sales increase to $715M in Q2 2026.
PubMatic saved on cloud costs by 20%, boosting its free cash flow to $13.7M, a 47% increase.

The advertising technology, or adtech, industry uses software and AI to help advertisers buy ads more efficiently and help publishers monetize content. As digital advertising expands across mobile, streaming, and connected TV, these tools are becoming more important. Industry forecasts suggest the global adtech market could grow from about $1.1 trillion in 2026 to more than $3 trillion by the next decade.

For investors, that growth is drawing attention to companies building the infrastructure behind digital ads. Here are some of our favorites.

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Top adtech stocks to consider

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Ticker Information Table
Name and ticker	Market capMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.	Current price
The Trade Desk (NASDAQ:TTD)	$7.0 billion	$14.79
PubMatic (NASDAQ:PUBM)	$764.3 million	$16.78
Magnite (NASDAQ:MGNI)	$3.4 billion	$23.88
Digital Turbine (NASDAQ:APPS)	$1.4 billion	$10.84

Data as of Sep 16, 2026. Showing 4 of 4 total entries.

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1. The Trade Desk

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NASDAQ: TTD

The Trade Desk

Premium Feature

Moneyball Superscore

76/100

Today's Change

(-1.43%) $-0.22

Current Price

$14.79

Key Data Points

Market Cap

$7.0B

Day's Range

$14.57 - $14.97

52wk Range

$12.83 - $56.39

Volume

7.4M

Avg Vol

21.4M

Gross Margin

76.87%

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2. PubMatic

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NASDAQ: PUBM

PubMatic

Premium Feature

Moneyball Superscore

62/100

Today's Change

(0.00%) $0.00

Current Price

$16.78

Key Data Points

Market Cap

$764M

Day's Range

$16.67 - $16.92

52wk Range

$6.15 - $18.44

Volume

221.5K

Avg Vol

626.4K

Gross Margin

64.43%

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While The Trade Desk focuses on ad buyers, PubMatic’s (PUBM +0.00%) sell-side platform enables publishers and app developers to monetize their content more effectively.

PubMatic’s home-grown cloud platform processed an astounding 336.8 trillion ad impressions in 2025 -- a 28% year-over-year increase -- for its more than 2,000 publishers. The company's platform is integrated with major buy-side platforms, including The Trade Desk, providing a vast array of ad inventory to tens of thousands of advertisers.

PubMatic’s approach to infrastructure is unique. Instead of relying on a cloud computing provider, PubMatic owns and operates its own hardware. This makes the business more capital-intensive, but it saves PubMatic from massive cloud computing bills that would eat into its profits. The company has consistently leveraged its infrastructure and used software improvements. In 2025, for example, PubMatic reduced its unit cost of impressions by 20% compared to 2024.

The intense focus on keeping costs down has helped the business to generate growing cash flow. In the second quarter of 2026, PubMatic reported free cash flow of $13.7 million, a 47% year-over-year increase. For investors seeking adtech stocks with explosive upside, PubMatic is certainly worth a look.

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3. Magnite

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NASDAQ: MGNI

Magnite

Premium Feature

Moneyball Superscore

82/100

Today's Change

(0.72%) $0.17

Current Price

$23.88

Key Data Points

Market Cap

$3.4B

Day's Range

$23.46 - $24.14

52wk Range

$10.82 - $26.19

Volume

604.4K

Avg Vol

2.8M

Gross Margin

64.64%

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Like PubMatic, Magnite (MGNI +0.72%) operates a sell-side digital advertising platform. The company was formed in 2020 by the merger of The Rubicon Project and Telaria, the latter of which focused on connected TV and video publishers. With revenue of $714 million in 2025, Magnite is more than twice the size of PubMatic in terms of sales.

Neither Magnite nor PubMatic owns any media properties, so their interests are squarely aligned with those of their publisher customers. Unlike PubMatic, Magnite uses cloud computing providers to handle some of its processing. Magnite adopts a hybrid approach, mixing servers hosted at data centers around the world with cloud platforms.

As the largest independent sell-side player, Magnite is certainly a stock to consider, especially given the company's continued bottom-line improvement. In Q2 of 2026, the company generated diluted EPS of $0.26 -- a sizeable gain over the $0.20 it reported in the same period of 2025. And with respect to cash flow, management projects 2026 free cash flow to increase by more than 45% from the $217 million it generated in 2025.

On the company's fourth-quarter 2025 conference call, management articulated a "capital allocation strategy [that] will target approximately 50% of free cash flow generation to be returned to shareholders via share repurchases over time." With its growth prospects and commitment to rewarding shareholders, Magnite is a compelling investment.

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4. Digital Turbine

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NASDAQ: APPS

Digital Turbine

Premium Feature

Moneyball Superscore

58/100

Today's Change

(-4.75%) $-0.54

Current Price

$10.84

Key Data Points

Market Cap

$1.4B

Day's Range

$10.84 - $11.40

52wk Range

$2.74 - $15.34

Volume

1.2M

Avg Vol

3.9M

Gross Margin

38.26%

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Digital Turbine (APPS -4.92%) helps wireless carriers and device manufacturers manage and monetize devices. DigitalTurbine's solution enables app installation at activation and throughout the device's lifetime. Third-party advertisers pay for each install or action, allowing carriers and original equipment manufacturers to generate additional revenue.

Digital Turbine has powered billions of app preloads, and it has more than 40 long-term agreements with companies, including Verizon (VZ -3.24%), AT&T (T -2.94%), and Samsung (SSNLF +0.00%). The ad specialist has low operating costs. Still, the business has faced headwinds stemming from relatively soft mobile device sales, macroeconomic pressures, and other factors for the past few years.

Even so, the company has shown signs of turning things around in fiscal 2025, thanks to management's embrace of artificial intelligence and machine learning. After several years of lagging sales, Digital Turbine expects improvements in fiscal 2027, forecasting year-over-year revenue growth of about 17% and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) growth of approximately 22%.

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How to invest in adtech stocks

If you think you're ready to start investing in adtech stocks, there are a few basic steps you must take.

Open your brokerage app: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Benefits and risks of investing in advertising technology stocks

Before deciding whether adtech stocks are a good fit for your portfolio, it's critical to familiarize yourself with the benefits and risks.

Benefits

Since the adtech industry is expected to flourish in the coming years, adtech stocks will appeal to growth investors.
Investing goals may vary, but portfolio diversification is an essential element of any portfolio, and adtech stocks could help achieve this.
Adtech companies often help businesses grow sales and could work in tandem with other stocks in a portfolio.

Risks

If the economy experiences a downturn, businesses may be inclined to reduce their marketing budgets, hindering the presumed growth of adtech companies.
Artificial intelligence (AI) and machine learning technologies are growing rapidly, and if adtech companies don't stay up to date, their platforms may become antiquated. Consequently, they may have to invest heavily in research and development, thereby reducing profits.
Many adtech companies are making substantial reinvestments in their businesses rather than returning capital to shareholders through dividends, so those looking to generate passive income have limited options with adtech stocks.

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Methodology: How these stocks were chosen

There are many adtech stocks available to investors, but the above-mentioned names distinguish themselves from peers for several reasons. For one, they represent both buy-side and sell-side leaders. By incorporating AI and other advanced technologies, these companies are providing customers with compelling adtech solutions that, in turn, give investors a range of exposure to the burgeoning industry.

With respect to financials, these companies are demonstrating prowess at retaining customers, which is helping them to grow both the top and bottom lines.

As the adtech industry evolves, these companies should continue to prosper, offering investors compelling long-term investment opportunities.

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The bottom line

Before picking up shares of an adtech stock, investors should identify the specific area that interests them. Those eager to gain exposure to the connected TV market, for example, will find The Trade Desk a solid choice. In contrast, those looking to enter the wireless carrier market will find Digital Turbine more appealing.

Those who are more risk-averse also will want to prioritize companies that generate free cash flow, since the ability to generate cash organically is a sign of good financial health. In this regard, The Trade Desk stands out among its peers, producing strong, consistent free cash flow over the past few years.

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Investing in adtech stocks FAQ

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About the Author

Scott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.

TMFProudMonkey

@TMFProudMonkey

Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends PubMatic, Roku, and The Trade Desk. The Motley Fool recommends Magnite and Verizon Communications. The Motley Fool has a disclosure policy.

4 Best Advertising Technology Stocks for 2026 and How to Invest

Key Points

Top adtech stocks to consider

1. The Trade Desk

Key Data Points

2. PubMatic

Key Data Points

3. Magnite

Key Data Points

4. Digital Turbine

Key Data Points

How to invest in adtech stocks

Benefits and risks of investing in advertising technology stocks

Benefits

Risks

Methodology: How these stocks were chosen

The bottom line

Related investing topics

6 Best Communication Stocks for 2026 and How to Invest

12 Best 5G Stocks for 2026 and How to Invest

6 Best Internet of Things Stocks for 2026 and How to Invest

8 Best Cybersecurity Stocks for 2026 and How to Invest

Investing in adtech stocks FAQ

About the Author

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6 Best Internet of Things Stocks for 2026 and How to Invest

8 Best Cybersecurity Stocks for 2026 and How to Invest

Investing in adtech stocks FAQ

How many adtech companies are there?

Are adtech stocks good for long-term investment?

Are there ETFs that include adtech stocks?

How do adtech companies generate revenue?

Should I diversify adtech stocks with other tech investments?

Top adtech stocks to consider

1. The Trade Desk

2. PubMatic

3. Magnite

4. Digital Turbine

How to invest in adtech stocks

Benefits and risks of investing in advertising technology stocks

Benefits

Risks

Methodology: How these stocks were chosen

The bottom line

Related investing topics

Key Data Points

Key Data Points

Key Data Points

Key Data Points