Needham & Company analyst, Kerry Rice, reiterated his Buy rating on shares of The Trade Desk (NASDAQ: TTD) and raised the price target to $56 after the company printed a 1Q17 blowout with new customer wins and mobile as the primary drivers.

TTD reported strong 1Q17 results with revenue of $53.4M, a 76% y/y increase and above consensus of $43.3M, primarily driven by new customer wins, international expansion, and significant mobile growth.

Despite heavy investment in hiring, and in high-growth areas, such as mobile, video, and international expansion, the company reported profitability upside as a result of the higher revenue with Q1 adjusted EBITDA of $6.3M, above consensus of $0.4M, representing margin of 11.8%.

The analyst stated "TTD's outperformance and deep relationships lead agencies to direct more of their clients to TTD. These new customers in turn drive incremental revenue in future quarters, creating a virtuous cycle."

The new PT of $56 is up from $48.

For an analyst ratings summary and ratings history on The Trade Desk click here. For more ratings news on The Trade Desk click here.

Shares of The Trade Desk closed at $39.89 yesterday.