PUBM

PubMatic, Inc.

Fundamental data last updated:August 30, 2026

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company profile

SECTOR

Technology

industry

Software - Application

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

PubMatic, Inc. provides a cloud infrastructure platform that enables real-time programmatic advertising transactions for Internet content creators and advertisers worldwide. The company's solutions include Openwrap, a header bidding solution that provides enterprise-grade management and analytics tools; Openwrap OTT, a header bidding management solution for OTT; Openwrap SDK, a header bidding solution for in-app developers; private marketplace solutions; and media buyer consoles. In addition, it offers Real-Time Bidding (RTB) programmatic technologies, which provides various selling options across screens and ad formats; digital advertising inventory quality solutions to detect and filter out invalid traffic and other nefarious activity; Ad quality solutions targeting the reduction of security issues, quality issues, and performance issues; Identity Hub, an identity solution that allows for the use of any advertiser preferred user identifier in a scaled and privacy-compliant fashion; Audience Encore, an audience data platform; and cross-platform video, a sell side platform, which connects trusted video buyers to premium publishers. The company's platform supports an array of ad formats and digital device types, including mobile app, mobile web, desktop, display, video, over-the-top (OTT), connected television, and media. PubMatic, Inc. was incorporated in 2006 and is based in Redwood City, California.

 


VALUATION

P/E

-30.79

Market Cap ($M USD)

$533.59M

Forward P/E

13.60

PEG

0.04

PRICE TO SALES

1.89

PRICE TO BOOK

2.14

EV / EBITDA

18.56

5-Year Average P/E

Free Cash Flow Yield

7.97%

DCF Value

$13.70

Graham Number

N/A

Price to FCF

12.54

EV to FCF

10.13

Earnings Yield

-3.25%

FCF Yield

7.97%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$0.37

Next Year EPS Growth Estimate

$0.84

Next Year Revenue Growth Estimate

$392.10M

Return on Equity (ROE)

-6.98%

FREE CASH FLOW

Operating Margin

-7.17%

Debt-to-Equity

0.17

Piotroski F-Score

4

Altman Z-Score

1.62

Return on Invested Capital (ROIC)

-6.95%

Current Ratio

1.37

Quick Ratio

1.37

Net Debt to EBITDA

-4.41

Interest Coverage

0.00

Gross Profit margin

63.22%

FCF PER SHARE

$0.90

REVENUE PER SHARE

$5.98

Gainseekers Quantitative Analysis

Summary

The market seems to be mispricing PubMatic, Inc. relative to its DCF Value, with recent pricing indicating it traded below this intrinsic value. Despite a negative earnings yield and a concerning Altman Z-score of 1.59, which suggests financial distress, the forward P/E of 12.79 implies optimism for future earnings growth. The company’s negative ROIC and operating margin highlight inefficiencies, yet the low PEG ratio of 0.039 suggests potential undervaluation relative to growth expectations. Overall, while there are red flags, the valuation metrics hint at a potential turnaround story.

AI Exposure / Tech Reliance

Operating within the technology sector, PubMatic is well-positioned to leverage AI and modern tech shifts. As a software application company, it can integrate AI to enhance its ad-tech solutions, driving efficiency and targeting precision. This adaptability is crucial for maintaining relevance in a rapidly evolving digital landscape.

The Bull Case

For value or GARP investors, PubMatic presents an intriguing opportunity. The FCF Yield of 8.36% and a reasonable Price to FCF ratio of 11.97 suggest strong cash generation capabilities. Despite a middling Piotroski F-Score of 4, the company’s gross profit margin of 63.22% indicates robust pricing power. These metrics collectively paint a picture of a company with the potential for capital efficiency and growth.

The Bear Case

However, the bear case cannot be ignored. The negative EPS and ROE of -6.98% highlight profitability issues, while the Price/Book ratio of 2.02 suggests the stock isn't cheap on a book value basis. The operating margin of -7.32% further underscores operational challenges. Additionally, with the stock trading closer to its 52-week high than its low, it appears technically overextended, raising caution for potential investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$13.50

Institutional Ownership %

1-Year Beta

1.53

Insider Buying % (6 Mo)

Distance to 52-Week High

21.49%

Distance to 52-Week Low

46.17%

EARNINGS SURPRISE %

15.38%

50-DAY SMA

$9.34

200-DAY SMA

$8.54

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.