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1. Company Snapshot

1.a. Company Description

LiveRamp Holdings, Inc., a technology company, provides enterprise data connectivity platform solutions in the United States, Europe, and the Asia-Pacific.The company offers RampID, a true people-based identifier; Safe Haven, an enterprise data enablement platform; LiveRamp Data Marketplace, a solution that seamlessly connects data owners' audience data across the marketing ecosystem; and AbiliTec, an offline identity resolution platform.It serves financial, insurance and investment services, retail, automotive, telecommunications, high tech, consumer packaged goods, healthcare, travel, entertainment, non-profit, and government industries.


The company was formerly known as Acxiom Holdings, Inc.and changed its name to LiveRamp Holdings, Inc.in October 2018.


LiveRamp Holdings, Inc.was incorporated in 2018 and is headquartered in San Francisco, California.

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1.b. Last Insights on RAMP

LiveRamp Holdings' recent performance was driven by a strong strategic pivot to Clean Room and Cross-Media Intelligence, positioning the company for long-term growth. The company's Q4 results beat expectations, with revenue up 10% year-over-year, and margins expanded, supporting a strong Rule-of-31 score. Additionally, the company's free cash flow hit a record, and its valuation remains attractive with a P/E well below historical norms, strong cash flow, and minimal debt. The demand for privacy-safe data tools is rising, driven by the cookie phase-out, and the company's Clean Room is accelerating advertiser ability to boost performance outcomes.

1.c. Company Highlights

2. LiveRamp's Q2 FY '26 Earnings: A Strong Beat

LiveRamp delivered a robust Q2 FY '26, with revenue increasing by 8% to $200 million, surpassing expectations. Non-GAAP operating income grew by 10%, driven by improving cost efficiencies achieved through expanding offshore operations in India. The company's EPS came in at $0.55, beating estimates of $0.48. The strong financial performance was led by 18% growth in Marketplace and other revenue, while subscription revenue grew by 5% as expected. The ARR increased by $14 million, the best organic result in 7 quarters, with net new ARR growth of 7% year-over-year.

Publication Date: Nov -25

📋 Highlights
  • Revenue Growth Exceeds Guidance: Total revenue rose 8% to $200M, driven by 18% growth in Marketplace and other revenue.
  • ARR Surpasses 7-Quarter High: Annual Recurring Revenue (ARR) increased $14M, with net new ARR growth of 7% YoY.
  • Operating Income Doubles: GAAP operating income more than doubled, while non-GAAP operating income rose 10% despite lower gross margin.
  • Customer Base Expands: Million-dollar+ subscription customers hit a record 132, up 5% sequentially.
  • Guidance Raised for FY26: Revenue guidance increased to $804M–$818M (8–10% growth), with non-GAAP operating income targeting $178M–$182M.

Business Momentum

The company is seeing good momentum across various use cases, including Commerce Media, CTV, and Cross-Media measurement. The number of million-dollar plus subscription customers increased by 5% sequentially to a new high of 132. The strong sales momentum and robust pipeline heading into the seasonally high renewal quarters in the second half are expected to drive revenue growth.

Guidance and Outlook

LiveRamp increased its FY '26 revenue guidance by $3 million at the midpoint, expecting revenue to be between $804 million and $818 million, representing growth of 8% to 10%. The company reiterated its guidance for non-GAAP operating income to be between $178 million and $182 million. For Q3, the company expects total revenue to be between $209 million and $213 million, with non-GAAP operating income between $55 million and $57 million.

Valuation and Growth Prospects

With a P/S Ratio of 2.42 and an expected revenue growth of 9.3% next year, the stock appears reasonably valued. The EV/EBITDA ratio of 24.46 suggests that the company's valuation is in line with its earnings growth prospects. Analysts expect the company's focus on converting the pipeline into sales and keeping churn low to drive revenue growth in FY '27.

Investment Strategy

The company plans to deploy a substantial portion of its free cash flow towards share repurchases, underscoring its confidence in the business and commitment to long-term shareholder value. With a Free Cash Flow Yield of 7.94%, the stock offers an attractive return profile for investors.

3. NewsRoom

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Touchstone Small Company Fund Q3 2025 Performance Review

Nov -27

Source: seekingalpha.com

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Wall Street Analysts Believe LiveRamp (RAMP) Could Rally 46.42%: Here's is How to Trade

Nov -24

Source: zacks.com

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Bronte Capital Management Pty Ltd. Increases Stock Position in LiveRamp Holdings, Inc. $RAMP

Nov -20

Source: defenseworld.net

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Bailard Inc. Cuts Position in LiveRamp Holdings, Inc. $RAMP

Nov -15

Source: defenseworld.net

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LiveRamp Holdings, Inc. (RAMP) Q2 2026 Earnings Call Transcript

Nov -06

Source: seekingalpha.com

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LiveRamp (RAMP) Q2 Earnings and Revenues Top Estimates

Nov -06

Source: zacks.com

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LiveRamp Announces Results for Second Quarter FY26

Nov -05

Source: globenewswire.com

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LiveRamp to Present at the Wells Fargo 9th Annual TMT Summit

Nov -04

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.62%)

6. Segments

Subscription

Expected Growth: 12%

LiveRamp Holdings, Inc.'s 12% subscription growth is driven by increasing demand for data-driven marketing, expansion into new industries, and strategic partnerships. The company's people-based identifier, RampID, enables accurate customer data management, fueling growth. Additionally, LiveRamp's data marketplace and analytics capabilities provide a competitive edge, attracting new customers and driving subscription revenue.

Marketplace and Other

Expected Growth: 10%

LiveRamp's Marketplace and Other segment growth is driven by increasing demand for people-based marketing, expansion of its data marketplace, and growth in its identity resolution capabilities. Additionally, the company's strategic partnerships, investments in AI and machine learning, and increasing adoption of its platform by top brands and agencies contribute to its 10% growth.

7. Detailed Products

IdentityLink

A people-based identifier that enables brands to connect with their customers across devices and channels

Safe Haven

A neutral, permission-based data collaboration platform that enables secure data sharing and collaboration

Data Marketplace

A platform that enables brands to discover, purchase, and activate third-party data to enhance their customer insights

Abacus

A data onboarding and activation platform that enables brands to upload, standardize, and activate their offline data

Connect

A platform that enables brands to connect their customer data across online and offline channels

8. LiveRamp Holdings, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

LiveRamp Holdings, Inc. operates in a niche market, providing a unique data connectivity platform, which reduces the threat of substitutes. However, the company still faces competition from other data management platforms, which could be a threat.

Bargaining Power Of Customers

LiveRamp Holdings, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's platform provides a unique value proposition, making it difficult for customers to negotiate prices.

Bargaining Power Of Suppliers

LiveRamp Holdings, Inc. has a diversified supplier base, which reduces the bargaining power of individual suppliers. The company's strong financial position also gives it the ability to negotiate favorable terms with its suppliers.

Threat Of New Entrants

The data connectivity platform market is highly competitive, and new entrants can easily enter the market. However, LiveRamp Holdings, Inc. has a strong brand presence and a unique value proposition, which makes it difficult for new entrants to compete.

Intensity Of Rivalry

The data connectivity platform market is highly competitive, with several established players competing for market share. LiveRamp Holdings, Inc. faces intense competition from companies like Salesforce, Adobe, and SAP, which could impact its market share and revenue.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 4.26%
Debt Cost 3.95%
Equity Weight 95.74%
Equity Cost 8.92%
WACC 8.71%
Leverage 4.45%

11. Quality Control: LiveRamp Holdings, Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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EverCommerce

A-Score: 4.6/10

Value: 4.3

Growth: 7.9

Quality: 4.3

Yield: 0.0

Momentum: 6.0

Volatility: 5.3

1-Year Total Return ->

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LiveRamp

A-Score: 4.5/10

Value: 3.2

Growth: 6.8

Quality: 6.4

Yield: 0.0

Momentum: 6.0

Volatility: 4.7

1-Year Total Return ->

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Bridgeline Digital

A-Score: 4.5/10

Value: 8.4

Growth: 4.7

Quality: 4.9

Yield: 0.0

Momentum: 7.0

Volatility: 2.0

1-Year Total Return ->

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Repay

A-Score: 3.9/10

Value: 9.2

Growth: 5.1

Quality: 4.3

Yield: 0.0

Momentum: 1.5

Volatility: 3.3

1-Year Total Return ->

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Bandwidth

A-Score: 3.9/10

Value: 6.8

Growth: 7.1

Quality: 2.6

Yield: 0.0

Momentum: 4.0

Volatility: 3.0

1-Year Total Return ->

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Backblaze

A-Score: 3.5/10

Value: 4.8

Growth: 3.2

Quality: 3.2

Yield: 0.0

Momentum: 8.0

Volatility: 2.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

29.45$

Current Price

29.45$

Potential

-0.00%

Expected Cash-Flows