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LiveRamp Holdings, Inc. (RAMP)
:RAMP

LiveRamp Holdings (RAMP) AI Stock Analysis

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LiveRamp Holdings

(NYSE:RAMP)

Rating:66Neutral
Price Target:
$36.00
▲(8.04%Upside)
LiveRamp Holdings' overall stock score is driven by strong financial and operational performance, highlighted by revenue growth and cash flow improvements. Technical indicators are positive, providing additional support. However, valuation concerns due to negative earnings and macroeconomic uncertainties pose risks. The earnings call optimism, driven by strategic initiatives, offers a favorable outlook despite these challenges.
Positive Factors
Product Potential
LiveRamp’s latest Cross Media Intelligence (CMI) product shows strong upsell potential to existing data clean room clients and acquisition of new logos in the future.
Revenue Performance
LiveRamp delivered revenue driven by upside in Marketplace revenue and Subscription revenue beating expectations.
Negative Factors
Customer Metrics
Concerns on muted customer metrics and a slower forward pace of net revenue retention are worth monitoring.
Macro Challenges
RAMP is not out of the thick macro woods, noting still extended sales cycles for new logos.

LiveRamp Holdings (RAMP) vs. SPDR S&P 500 ETF (SPY)

LiveRamp Holdings Business Overview & Revenue Model

Company DescriptionLiveRamp Holdings, Inc. is a leading data connectivity platform that operates primarily in the technology and advertising sectors. The company specializes in data onboarding, customer data platforms, and identity resolution. LiveRamp's core services facilitate the seamless activation and measurement of marketing campaigns across various channels, enhancing the effectiveness of digital advertising efforts through the use of first-party data.
How the Company Makes MoneyLiveRamp Holdings generates revenue primarily through a subscription-based model, where clients pay for access to its data connectivity and identity resolution services. The company also earns money from usage fees, which are tied to the volume of data processed or the extent of services utilized by its clients. Key revenue streams include partnerships with major technology platforms, media companies, and marketing agencies, which leverage LiveRamp's solutions to enhance data-driven marketing and advertising strategies. LiveRamp's ability to integrate with a broad ecosystem of partners and platforms significantly contributes to its earnings.

LiveRamp Holdings Key Performance Indicators (KPIs)

Any
Any
Annual Recurring Revenue
Annual Recurring Revenue
Indicates the predictable and stable income from ongoing subscriptions or contracts, highlighting the company's ability to retain customers and generate consistent cash flow.
Chart InsightsLiveRamp's Annual Recurring Revenue has shown consistent growth, recently surpassing $500 million. This momentum is underpinned by strategic platform improvements and significant customer acquisitions, including 13 new $1 million-plus subscription customers. The company's focus on expanding its data collaboration network and enhancing its Cross-Media Intelligence solution positions it well for future growth. However, challenges in new logo signings and potential macroeconomic headwinds could impact future performance. Despite these risks, LiveRamp's strong financial performance and strategic initiatives suggest a positive outlook.
Data provided by:Main Street Data

LiveRamp Holdings Earnings Call Summary

Earnings Call Date:May 21, 2025
(Q4-2025)
|
% Change Since: 18.70%|
Next Earnings Date:Jul 31, 2025
Earnings Call Sentiment Positive
The earnings call reflected strong financial performance with record cash flow and revenue growth, alongside challenges with new customer signings and potential macroeconomic headwinds. The company remains optimistic about future growth opportunities, particularly with the launch of new products and strategic initiatives.
Q4-2025 Updates
Positive Updates
Record Free Cash Flow Quarter
The company achieved a record free cash flow of $153 million, representing a 51% year-over-year increase, partly driven by tighter management of working capital.
Revenue and Operating Margin Growth
For the fifth consecutive quarter, revenue increased by a double-digit rate, with a 13% revenue growth in FY'25. The operating margin expanded by three percentage points, driving 43% growth in operating income.
Significant Customer Wins and Expansion
Added 13 new $1 million plus subscription customers during the year, including significant wins in the financial services sector. Secured 20 multimillion-dollar ACV contracts, with substantial growth in remaining performance obligations.
Successful Platform Modernization
Completed two platform refreshes that improved UI and backend stability, leading to a reduction in contraction rate to the lowest level ever.
Strong Marketplace Growth
Marketplace & Other revenue increased 14% to $44 million, with Data Marketplace growing 13%, reflecting continued strength in US digital ad spending.
Negative Updates
Challenges in New Logo Signings
New logo signings proved more challenging with modest lengthening of average deal cycles, partly due to the need to educate the market on newer Clean Room solutions.
International Customer Count Pressure
International market contributed to the decline in customer count, driven by migration from a direct to reseller arrangement with a large partner.
Potential Macroeconomic Impact
Guidance for FY'26 incorporates a wider revenue range due to elevated macro uncertainty, with potential deceleration in Subscription usage and Data Marketplace growth if macro conditions worsen.
Company Guidance
During LiveRamp's Fiscal 2025 Fourth Quarter Earnings Call, the company reported significant achievements, including double-digit revenue growth for the fifth consecutive quarter and a 43% increase in operating income, with a record free cash flow quarter. They added 13 new $1 million-plus subscription customers in FY'25, including two from the financial services sector in Q4. The company highlighted a reduction in its contraction rate to the lowest level ever, driven by ongoing platform improvements. LiveRamp achieved a Rule of 31 with 13% revenue growth and an 18% operating margin and aims for a Rule of 40 by FY'28. Looking ahead to FY'26, LiveRamp plans to leverage its Cross-Media Intelligence solution to enhance advertisers' campaign measurement and optimization, while continuing to grow its data collaboration network and expand into new industries.

LiveRamp Holdings Financial Statement Overview

Summary
LiveRamp Holdings is experiencing strong revenue growth and improving operational efficiency, as indicated by rising EBIT and EBITDA margins. However, consistent net losses and negative return on equity highlight profitability challenges. The balance sheet remains stable with low leverage, and cash flow improvements offer financial flexibility.
Income Statement
75
Positive
LiveRamp Holdings demonstrates strong revenue growth, with revenues increasing consistently over the past few years. The gross profit margin is robust, indicative of effective cost management. However, there are concerns with the net profit margin, as the company has struggled with profitability, posting net losses in multiple years. The EBIT and EBITDA margins have shown improvement, suggesting a move towards operational efficiency.
Balance Sheet
68
Positive
The company's balance sheet is stable, with a healthy equity ratio indicating that a substantial portion of assets is financed through equity. The debt-to-equity ratio is low, implying conservative leverage. Return on equity has been negative due to net losses, which is a concern. Overall, the balance sheet reflects a solid financial position but highlights the need for improved profitability.
Cash Flow
72
Positive
LiveRamp Holdings has shown significant improvement in operating cash flow, indicating effective cash management and operational improvements. The free cash flow has increased, demonstrating enhanced cash generation. However, the free cash flow to net income ratio is impacted by net losses, suggesting room for better profit conversion. The trajectory for cash flow is positive, contributing to financial flexibility.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue745.58M659.66M596.58M528.66M443.03M
Gross Profit529.67M480.17M426.50M381.23M299.02M
EBITDA40.22M36.51M-60.70M-39.81M-93.90M
Net Income-814.00K11.88M-124.11M-33.83M-90.27M
Balance Sheet
Total Assets1.26B1.23B1.17B1.33B1.29B
Cash, Cash Equivalents and Short-Term Investments420.83M368.91M497.25M600.16M572.79M
Total Debt36.29M42.22M47.17M61.23M13.77M
Total Liabilities310.51M282.31M246.63M270.68M207.64M
Stockholders Equity948.86M949.13M926.08M1.06B1.08B
Cash Flow
Free Cash Flow154.61M103.19M35.15M73.58M-22.74M
Operating Cash Flow155.65M107.45M39.84M78.08M-20.56M
Investing Cash Flow21.39M-173.68M-29.00M7.58M-87.89M
Financing Cash Flow-102.70M-59.12M-146.01M-66.98M-43.49M

LiveRamp Holdings Technical Analysis

Technical Analysis Sentiment
Positive
Last Price33.32
Price Trends
50DMA
30.63
Positive
100DMA
29.21
Positive
200DMA
29.06
Positive
Market Momentum
MACD
0.66
Negative
RSI
59.78
Neutral
STOCH
80.01
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RAMP, the sentiment is Positive. The current price of 33.32 is above the 20-day moving average (MA) of 32.43, above the 50-day MA of 30.63, and above the 200-day MA of 29.06, indicating a bullish trend. The MACD of 0.66 indicates Negative momentum. The RSI at 59.78 is Neutral, neither overbought nor oversold. The STOCH value of 80.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RAMP.

LiveRamp Holdings Risk Analysis

LiveRamp Holdings disclosed 19 risk factors in its most recent earnings report. LiveRamp Holdings reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

LiveRamp Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
ODODD
82
Outperform
$4.24B43.7832.25%26.83%47.48%
ODODD
82
Outperform
$4.24B43.7832.25%26.83%47.48%
70
Outperform
$1.98B-3.09%-1.96%19.43%
70
Outperform
$1.98B-3.09%-1.96%19.43%
70
Neutral
$2.12B-0.90%14.44%91.60%
70
Neutral
$2.12B-0.90%14.44%91.60%
69
Neutral
$1.90B22.3730.24%1.94%3.08%34.87%
69
Neutral
$1.90B22.3730.24%1.94%3.08%34.87%
66
Neutral
$2.20B93,566.67-0.26%13.02%-105.82%
63
Neutral
$33.79B5.85-11.85%1.81%5.29%-18.24%
58
Neutral
$2.03B1,185.540.27%10.46%
58
Neutral
$2.03B1,185.540.27%10.46%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RAMP
LiveRamp Holdings
33.32
1.88
5.98%
CSGS
CSG Systems International
65.60
26.41
67.39%
CSGS
CSG Systems International
65.60
26.41
67.39%
FIVN
Five9
27.81
-14.00
-33.48%
FIVN
Five9
27.81
-14.00
-33.48%
EVCM
EverCommerce
10.63
-0.29
-2.66%
EVCM
EverCommerce
10.63
-0.29
-2.66%
AVDX
AvidXchange Holdings
9.84
-2.58
-20.77%
AVDX
AvidXchange Holdings
9.84
-2.58
-20.77%
ODD
ODDITY Tech Ltd. Class A
76.01
35.55
87.86%

LiveRamp Holdings Corporate Events

Executive/Board Changes
LiveRamp Holdings Announces CPO Departure and Severance
Neutral
Mar 3, 2025

On March 3, 2025, LiveRamp Holdings announced the departure of Chief Product Officer Kimberly Bloomston, effective March 1, 2025, with her employment concluding at the end of fiscal 2025. Ms. Bloomston will receive a severance package including a lump sum cash payment and accelerated vesting of stock units, contingent on a separation agreement. She will also provide limited consulting services until March 31, 2026, with continued vesting of certain equity awards, unless she accepts other employment.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 27, 2025