Shares of advertising-technology company PubMatic (NASDAQ:PUBM) fell 23.9% in March, according to data provided by S&P Global Market Intelligence. The entire drop came early in the month, when Alphabet‘s Google made an announcement that sent shockwaves throughout the entire ad-tech industry. However, PubMatic started April with an important announcement of its own that helped it rebound.
Google is eliminating third-party browser cookies, something that ad-tech companies use to deliver targeted advertising for their clients. Ad-tech stocks like The Trade Desk, Magnite, and PubMatic plummeted on the news, as investors presume this is categorically bad news for the industry. However, executives at these companies (notably Jeff Green, CEO of The Trade Desk) have downplayed the risk and some even believe it’s good news in the long run. Then again, you’d expect them to say that.