Taboola.com (NASDAQ:TBLA) Announces Earnings Results, Misses Estimates By $0.04 EPS

Taboola.com (NASDAQ:TBLA) announced its quarterly earnings results on Wednesday. The company reported $0.01 EPS for the quarter, missing analysts’ consensus estimates of $0.05 by ($0.04), FiscalAI reports. The company had revenue of $476.83 million during the quarter, compared to analyst estimates of $499.43 million. Taboola.com had a net margin of 5.64% and a return on equity of 10.72%. The firm’s quarterly revenue was up 2.4% on a year-over-year basis. During the same quarter last year, the company posted ($0.01) EPS.

Here are the key takeaways from Taboola.com’s conference call:

• Taboola raised its full-year ex-TAC gross profit guidance to $772–$783 million and adjusted EBITDA guidance to $228–$240 million, reflecting expected momentum from strategic wins and Realize.
• The company highlighted major publisher expansions, including a forthcoming deal to monetize a partner’s broader display and video inventory and the addition of Fox News; these opportunities are expected to begin contributing in the fourth quarter and ramp in 2027.
• Revenue was pressured by Google’s rapid deprecation of Taboola’s Explore More product and the removal of low-quality publishers, with Explore More previously expected to contribute more than $20 million in second-half ex-TAC; management expects near-term pain but believes the supply cleanup will improve long-term advertiser performance.
• Taboola reported growing adoption of its AI products, with more than 300 advertisers using Realize+ and DeeperDive approaching 10 million users; management cited strong early engagement and substantially higher monetization potential, although these initiatives remain early-stage.
• The company repurchased approximately 9.4 million shares for $41.4 million in the quarter, bringing cumulative buybacks since early 2025 to roughly 20% of shares outstanding, with $114 million remaining under its authorization.

Taboola.com Stock Down 27.4%

Taboola.com stock traded down $1.45 during trading on Wednesday, hitting $3.84. 9,255,367 shares of the company were exchanged, compared to its average volume of 2,404,456. The business’s 50 day moving average is $5.00 and its 200 day moving average is $4.18. The company has a market capitalization of $934.23 million, a P/E ratio of 10.11 and a beta of 1.50. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 0.07. Taboola.com has a 52 week low of $2.84 and a 52 week high of $5.71.

Insider Transactions at Taboola.com

In other Taboola.com news, major shareholder Apollo Management Holdings Gp, sold 12,000,000 shares of the stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $4.40, for a total value of $52,800,000.00. Following the completion of the sale, the insider owned 18,039,644 shares in the company, valued at approximately $79,374,433.60. This trade represents a 39.95% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 20.60% of the company’s stock.

Institutional Investors Weigh In On Taboola.com

Several institutional investors have recently added to or reduced their stakes in the business. LPL Financial LLC grew its position in shares of Taboola.com by 25.8% during the 4th quarter. LPL Financial LLC now owns 28,308 shares of the company’s stock valued at $130,000 after purchasing an additional 5,814 shares in the last quarter. Russell Investments Group Ltd. increased its stake in shares of Taboola.com by 20.1% during the third quarter. Russell Investments Group Ltd. now owns 50,827 shares of the company’s stock valued at $176,000 after buying an additional 8,500 shares during the period. Headlands Technologies LLC bought a new stake in Taboola.com in the second quarter valued at $43,000. Quarry LP bought a new stake in shares of Taboola.com during the 3rd quarter valued at about $42,000. Finally, Cerity Partners LLC raised its stake in Taboola.com by 54.6% in the fourth quarter. Cerity Partners LLC now owns 34,620 shares of the company’s stock worth $160,000 after buying an additional 12,227 shares in the last quarter. 42.89% of the stock is owned by hedge funds and other institutional investors.

Key Taboola.com News

Here are the key news stories impacting Taboola.com this week:

• Positive Sentiment: Taboola reported Q2 revenue of $476.8 million, up 2.4% year over year, while gross profit rose 2.9% to $139.5 million. Ex-TAC gross profit increased 11.8% to $192.4 million, and adjusted EBITDA climbed 22.8% to $55.5 million, with margins expanding to 28.8%. Taboola Reports Strong Q2 2026 Financial Results
• Positive Sentiment: GAAP net income improved to $4.3 million from a $4.3 million loss a year earlier. Management also raised its full-year guidance for ex-TAC gross profit to $772 million-$783 million and adjusted EBITDA to $228 million-$240 million, citing momentum from its Realize platform, Fox News and other strategic partnerships. Taboola Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: Taboola said management will participate in upcoming investor conferences, potentially giving investors additional information about advertising demand, Realize adoption and the company’s outlook. Taboola to Participate in Upcoming Investor Conferences
• Negative Sentiment: Revenue fell short of analyst expectations of roughly $499 million. Reported diluted GAAP EPS was $0.01, below the approximately $0.05 consensus cited by MarketBeat, although another data provider reported adjusted EPS of $0.14 versus a $0.13 estimate. Taboola Earnings Report
• Negative Sentiment: Q3 revenue guidance of $460 million-$473 million was well below the roughly $520 million consensus estimate, signaling slower expected growth. Operating cash flow declined to $31.3 million from $47.4 million, while free cash flow fell to $17.3 million from $34.2 million.
• Negative Sentiment: Two law firms announced investigations into whether Taboola complied with federal securities laws following the earnings disclosure. The announcements contain allegations, not findings of wrongdoing, but may increase legal and reputational risk. Taboola Securities Fraud Investigation Announcement

Analysts Set New Price Targets

A number of research analysts have commented on TBLA shares. Zacks Research lowered Taboola.com from a “strong-buy” rating to a “hold” rating in a report on Monday, April 27th. Wall Street Zen upgraded Taboola.com from a “buy” rating to a “strong-buy” rating in a report on Saturday, May 9th. TD Cowen increased their price objective on Taboola.com from $4.00 to $6.00 and gave the company a “buy” rating in a report on Monday, May 11th. Weiss Ratings reissued a “hold (c)” rating on shares of Taboola.com in a research report on Friday, July 17th. Finally, Needham & Company LLC boosted their price target on Taboola.com from $4.50 to $5.50 and gave the company a “buy” rating in a research note on Thursday, May 7th. Five equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, Taboola.com currently has a consensus rating of “Moderate Buy” and a consensus price target of $5.90.

Taboola.com Company Profile

Taboola.com (NASDAQ: TBLA) operates a leading content discovery platform that connects advertisers with premium publishers through native advertising and personalized recommendations. The company’s technology analyzes user behavior and contextual information to deliver promoted content, video, and product recommendations to audiences across a network of thousands of websites and mobile apps. By leveraging machine learning and big data, Taboola helps publishers generate incremental revenue while enabling advertisers to reach engaged users at scale.

Taboola’s suite of products includes feed placements, video recommendations, and sponsored content units designed to blend seamlessly with editorial pages.