Viant Technology's Strategic AI and CTV Momentum: Why EBITDA Growth Justifies a Re-rating in 2025

The advertising technology sector is undergoing a seismic shift as Connected TV (CTV) and AI-driven programmatic advertising redefine the media landscape. Viant Technology, a key player in this transition, has positioned itself at the intersection of these trends, leveraging AI to optimize ad spend and capture a growing share of the CTV market. With EBITDA growth outpacing industry peers and a strategic focus on differentiation, Viant's valuation appears undervalued relative to its growth trajectory and sector dynamics. This analysis explores how Viant's momentum in AI and CTV justifies a re-rating in 2025, despite current valuation dislocation.

Sector Transition: CTV and AI as Growth Catalysts

The CTV advertising market is accelerating as consumers shift from traditional TV to streaming platforms. By Q3 2025, CTV accounted for 46% of total advertiser spend on Viant's platform, . Industry-wide, CTV's share of media budgets is projected to double from 14% in 2023 to 28% in 2025 according to industry analysis. This transition is driven by the convergence of streaming adoption and AI-driven targeting, which enhances ad efficiency. For instance, 72% of marketers plan to increase , underscoring the sector's structural tailwinds.

Viant's platform exemplifies this trend. By automating ad bidding and optimization, the platform . Additionally, AI Planning streamlines media planning and market research, . These innovations position Viant to capture a larger share of the CTV market, which is expected to grow at a faster pace than traditional advertising channels.

Growth: A Differentiator in a Competitive Landscape

Viant's financial performance in 2025 highlights its operational strength. Q1 2025 saw 32% revenue growth and 76% adjusted EBITDA growth year-over-year, while Q3 revenue reached $85.58 million, up 7.1% YoY, , according to financial analysis. Management has set an ambitious target of achieving a 37% adjusted EBITDA margin by year-end as reported by analysts, signaling confidence in cost discipline and scalability.

Comparatively, competitors like The Trade Desk (TTD) and Amazon demonstrate robust EBITDA margins. TTD reported a 43% EBITDA margin in Q3 2025, according to earnings reports. excluding regulatory fines, according to financial data. Viant's EBITDA growth, though lower in absolute terms, is outpacing its revenue growth, suggesting improving profitability. This divergence from the industry's indicates Viant's ability to monetize its AI and CTV investments effectively.

Valuation Dislocation: A Mispricing Amid Sector Shifts

Despite its growth, Viant's valuation multiples appear undervalued relative to peers. Analysts have reduced the average price target , , reflecting skepticism about its ability to sustain growth. However, this dislocation overlooks Viant's strategic differentiation. Unlike Google and Amazon, which face conflicts of interest by selling both ad inventory and solutions as revealed in financial reports, Viant operates as an independent platform focused on maximizing ROI for advertisers. This neutrality is a critical advantage in an era where transparency and performance are paramount.

Moreover, signals re-acceleration in growth, even as a major partnership with Molson Coors is expected to contribute meaningfully in Q2 2026 according to analyst projections. The company's expansion into enterprise accounts and focus on proprietary data further strengthen its long-term positioning. In contrast, competitors like The Trade Desk, despite a P/S ratio of 8.6x according to market data, face slowing CTV growth and increased competition from Amazon as reported in industry analysis.

Why a Is Justified

The case for a re-rating rests on three pillars: sector transition momentum, operational differentiation, and undervalued growth potential. First, CTV's dominance in the media mix is structural, with Viant's aligning with industry projections. Second, Viant's AI-driven platform reduces costs and enhances performance, creating a flywheel effect as advertisers reallocate budgets. Third, its valuation multiples-particularly EBITDA margins-suggest upside potential as the market recognizes its role in the CTV and AI ecosystem.

Analysts project 15% annual revenue growth for Viant over the next three years, below the industry's . However, this gap may narrow as Viant's AI and CTV initiatives mature. For instance, the launch of AI Measurement and Analysis according to company announcements and the Vion AI platform as detailed in financial results are early-stage innovations with scalable applications. If these tools drive incremental EBITDA growth, Viant's multiples could converge with those of peers like TTD, according to financial data.

Conclusion

Viant Technology's strategic investments in AI and CTV are not just aligning with industry trends-they are accelerating them. With EBITDA growth outpacing revenue and a valuation that discounts its long-term potential, the company is poised for a re-rating as the sector transitions. While short-term analyst skepticism persists, the structural shift toward CTV and AI-driven advertising creates a compelling case for investors to reassess Viant's value proposition. In a market where differentiation and operational efficiency are king, Viant's momentum suggests it is not merely surviving the transition-it is leading it.