EXCLUSIVE: How PubMatic Is Increasing Its Market Share

PubMatic Inc PUBM traded higher Wednesday after the company announced better-than-expected financial results.

Rajeev Goel, co-founder and CEO of PubMatic, appeared on Benzinga's YouTube show "PreMarket Prep At The Close" for an exclusive interview.

PubMatic engages in digital advertising by providing a specialized cloud infrastructure platform that enables real-time programmatic advertising transactions.

PubMatic Earnings: The top- and bottom-line beat is a reflection of the investments PubMatic has been making in its core business, the strength of the company's technology and the growth of internet consumption as a reusult of the COVID-19 pandemic, Goel told Benzinga.

PubMatic reported quarterly earnings of 18 cents per share, which beat the estimate of 8 cents per share. The company reported quarterly revenue of $49.7 million, which beat the estimate of $45.05 million.

PubMatic's growth is mainly being driven by its connected TV business, the CEO said. 

As consumer behavior transitions to streaming, PubMatic is focused on capturing advertising spend in the streaming segment, which is expected to be $35 billion by 2025, he said.

PubMatic continues to focus on powering real-time advertising on behalf of large publishers, Goel told Benzinga.

Publishers using the PubMatic platform are generating "significantly more revenue," he added.

PubMatic Analyst Assessment: Keybanc analyst Justin Patterson maintained PubMatic with an Overweight rating and lowered the price target from $55 to $50.

Raymond James analyst Aaron Kessler upgraded PubMatic from Market Perform to Outperform and announced a price target of $43

More From The PubMatic CEO: PubMatic has seen accelerating growth consistently over the last few years, Goel said. 

As the company continues to invest in innovation, PubMatic expanding its market share, he said. 

Goel went on to talk about supply path optimization, volatility in the technology industry, PubMatic's expanding partnership with The Trade Desk Inc TTD and more.

See the full interview here:

PUBM Price Action: Pubmatic has traded as high as $76.95 and as low as $22.42 over a 52-week period. The stock was down 5.87% at $32.58 at last check Thursday.