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Criteo CRTO shares have lost 29.2% in the year-to-date period, underperforming the Zacks Computer and Technology sector’s decline of 1.4% and the S&P 500 index’s return of 0.7%. The stock has also underperformed the Zacks Internet - Software and Services industry’s growth of 17.2% in the same time frame.
The stock’s underperformance can be attributed to the effect of tariffs and inflation surrounding the industry. Criteo, although showing a dip at the moment, is poised for long-term growth even amid the macroeconomic uncertainties. The company is taking strategic steps to drive its prospects. Let’s take a closer look at how CRTO is laying the foundation for sustained growth.
Strategic Shifts to Reinforce Retail Media and Monetization
Criteo has been transitioning from its legacy retargeting business toward high-growth areas, such as Retail Media and Commerce Audiences. In the first quarter of 2025, Retail Media on-platform revenues grew 21% year over year, driven by increased advertiser and retailer demand. Off-platform monetization also grew, supported by a 60% increase in supply partners. This can be attributed to the company’s work with retailers like Michaels, Dollar Tree and Meijer, and its expansion of on-site monetization and self-service platforms.
Commerce Audiences is another area of focus, with more than 250 brands onboarded to its expanded platform to date. With more first-party data integrations and growing demand for performance-based upper-funnel targeting, this business is positioned to scale throughout 2025.
Criteo S.A. Price and Consensus
Criteo S.A. price-consensus-chart | Criteo S.A. Quote
Criteo’s Competition and How CRTO Stands Out
Criteo operates in a crowded space, competing with tech giants like Amazon AMZN, Google GOOGL, and The Trade Desk TTD. Amazon uses its shopper data to sell ads directly on its platform, while The Trade Desk helps brands buy ads across the open Internet with data-driven tools. Google rivals Criteo with ads across Search, YouTube and websites, using its vast user data. Shares of Amazon, Google and The Trade Desk have lost 6%, 12.1% and 35.1%, respectively, in the year-to-date period.
While these players dominate in various channels, Criteo differentiates itself by providing retailer-direct access and a transparent, demand-driven platform that aligns with first-party data needs. With its broad retail network, proprietary Shopper Graph, and AI-based performance engine, Criteo offers measurable returns to brands and retailers, an advantage it plans to expand upon through continued platform investment and innovation.