Taboola.com (TBLA) AI Stock Analysis

• Market Cap: $991.04M
• Dividend Yield: N/A
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): 91.0
• Beta (1Y): 1.02
• Revenue Growth: 12.01%
• EPS Growth: N/A
• Country: US
• Employees: 2,000
• Sector: Communication Services
• Sector Strength: 93
• Industry: Internet Content & Information
• EPS (TTM): -0.01
• Shares Outstanding: 264,705,100
• 10 Day Avg. Volume: 1,223,979
• 30 Day Avg. Volume: 1,248,669
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 0.68
• Enterprise Value/Gross Profit: 2.22
• Enterprise Value/Ebitda: 11.04
• 1Y Price Target: $4.10
• Price Target Upside: 21.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 70 Outperform
• Price Target: $3.50 ▲(3.86% Upside)

Taboola's overall score reflects strong financial performance and positive earnings call outcomes, tempered by technical analysis indicating a lack of clear momentum and a high P/E ratio suggesting overvaluation. The company's robust cash flow and strategic initiatives, such as the Realize platform, are positive indicators for future growth.

Positive Factors

Financial Performance

Taboola.Com Ltd. reported a significant increase in gross revenue and EBITDA, showing strong growth and financial performance.

Product Adoption

Management highlighted the momentum with the Realize Platform, as clients are experiencing ROI gains, indicating successful product adoption.

Stock Buyback

Taboola.Com Ltd. has been actively repurchasing shares and authorized an additional $200 million, reflecting confidence in the company's future prospects.

Negative Factors

Growth Deceleration

Gross revenue decelerated to +3% year-over-year, reflecting tough comparisons and the conclusion of a Yahoo ad test.

Operational Expenses

There is an expectation of needing to cut operational expenses in the second half to meet EBITDA guidance.

Revenue Guidance

Revenue guidance reflects no '25E incrementality from Realize, China-based advertiser weakness, and additional macro deterioration.

Taboola.com Business Overview & Revenue Model

Company Description

Taboola.com Ltd., together with its subsidiaries, operates an artificial intelligence-based algorithmic engine platform in Israel, the United Kingdom, the United States, Germany, France, and internationally. It offers Taboola, a platform that partners with websites, devices, and mobile apps to recommend editorial content and advertisements on the open web to users. Taboola.com Ltd. was incorporated in 2006 and is headquartered in New York, New York.

How the Company Makes Money

Taboola makes money primarily through its native advertising services. The company partners with publishers and advertisers, allowing them to place sponsored content alongside organic content on publisher websites. Revenue is generated on a cost-per-click (CPC) or cost-per-impression (CPM) basis, where advertisers pay Taboola for the visibility and engagement their content receives. Taboola shares advertising revenue with its publisher partners, incentivizing them to host Taboola's content recommendations on their sites. Significant partnerships with large media companies and a robust network of advertisers and publishers contribute to Taboola's earnings. Additionally, Taboola offers advanced targeting and analytics capabilities to advertisers, enhancing the effectiveness of their campaigns and driving further revenue.

Taboola.com Financial Statement Overview

Summary

Taboola has shown strong revenue growth and improving operational metrics. The balance sheet is stable with a sound equity base, and cash flow generation is robust, providing financial flexibility. However, net profitability needs enhancement for stronger financial health.

Income Statement

Taboola has demonstrated strong revenue growth with a positive trajectory from 2020 to the TTM period ending in March 2025. The gross profit margin has been steady, indicating efficient cost management. However, the net profit margin has been volatile, with occasional negative results, reflecting challenges in controlling operational costs. The EBIT and EBITDA margins show improvement, indicating better operational efficiency, yet still require attention to boost profitability.

Balance Sheet

The balance sheet reflects a stable equity position with a steady increase in stockholders' equity over the years. The debt-to-equity ratio is manageable, suggesting a balanced capital structure. Return on equity has been inconsistent, linked to fluctuating net income levels. The equity ratio indicates a healthy proportion of equity financing, reducing financial risk. Overall stability is present, though profitability improvements are needed.

Cash Flow

Taboola's cash flow statement reveals strong operating cash flow generation, consistently exceeding net income. The company has been effective in maintaining positive free cash flow, which has shown growth in recent periods. The free cash flow to net income ratio underscores strong cash conversion capabilities, supporting liquidity and financial flexibility. Positive trends in cash flow metrics highlight operational robustness.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.78B	664.66M	1.44B	1.40B	1.38B	1.19B
Gross Profit	544.56M	534.22M	425.56M	464.25M	441.07M	319.50M
EBITDA	109.38M	126.84M	32.77M	77.56M	39.85M	60.15M
Net Income	33.46M	-3.76M	-82.04M	-11.97M	-24.95M	8.49M
Balance Sheet
Total Assets	1.65B	1.72B	1.71B	1.53B	1.60B	580.17M
Cash, Cash Equivalents and Short-Term Investments	216.22M	230.36M	181.83M	262.81M	319.32M	242.81M
Total Debt	213.48M	180.89M	214.88M	298.73M	362.89M	78.79M
Total Liabilities	642.57M	666.75M	650.74M	695.09M	830.28M	533.53M
Stockholders Equity	1.01B	1.05B	1.06B	834.53M	767.57M	46.64M
Cash Flow
Free Cash Flow	157.99M	149.18M	52.24M	18.57M	24.45M	121.31M
Operating Cash Flow	199.45M	184.33M	84.37M	53.48M	63.52M	139.09M
Investing Cash Flow	-36.77M	-30.11M	59.64M	-139.56M	-620.46M	10.88M
Financing Cash Flow	-122.03M	-99.98M	-134.61M	-62.87M	631.13M	2.60M

Taboola.com Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.37
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TBLA, the sentiment is Positive. The current price of 3.37 is above the 20-day moving average (MA) of 3.32, below the 50-day MA of 3.43, and below the 200-day MA of 3.42, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 51.99 is Neutral, neither overbought nor oversold. The STOCH value of 68.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TBLA.

Taboola.com Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANGI	72 Outperform	$785.74M	14.66	5.86%	―	-15.79%	―
EVER	71 Outperform	$848.92M	18.74	34.34%	―	92.91%	―
TBLA	70 Outperform	$991.04M	91.01	1.40%	―	12.01%	―
Sector *	60 Neutral	$44.01B	4.13	-12.81%	4.14%	1.86%	-42.71%
IZEA	54 Neutral	$64.29M	―	-22.39%	―	12.49%	-30.99%
TEAD	54 Neutral	$166.20M	―	-16.75%	―	19.67%	-1183.48%
NXDR	54 Neutral	$793.88M	―	-14.27%	―	9.65%	56.50%

Taboola.com Corporate Events

Taboola Reports Strong Q2 2025 Financial Results

On August 6, 2025, Taboola announced its strong financial results for the second quarter of 2025, surpassing the high-end of its guidance. The company reported an 8.7% increase in revenues and an 18.2% rise in gross profit compared to the same quarter in 2024. Additionally, Taboola raised its full-year guidance and expanded its share repurchase program by $200 million, reflecting confidence in its business and long-term vision. The company also highlighted the early success of its new performance advertising platform, Realize.

Taboola.com Holds Annual General Meeting Online

On June 4, 2025, Taboola.com Ltd. held its Annual General Meeting of Shareholders online, where key resolutions were passed. Shareholders approved the re-election of a Class I director, an advisory proposal on executive compensation, amendments to the CEO’s compensation terms, and the re-appointment of Kost, Forer, Gabbay & Kasierer as the independent registered public accounting firm for 2025. These decisions reflect the company’s ongoing commitment to governance and operational stability.