The Trade Desk, Inc. (NASDAQ:TTD) shares moved higher on Thursday after reports surfaced about potential advertising discussions with OpenAI.

Investors reacted after news indicated that OpenAI may initially rely on external partners to sell ads as it scales its advertising business, after introducing ads on ChatGPT last month, Information reports.

The ad-technology company also gained attention following a large insider stock purchase disclosed in a regulatory filing.

The update arrived as the company's chief executive revealed a substantial personal share purchase through a recent filing.

The filing showed CEO Jeffrey Terry Green added millions of shares to his holdings earlier this week.

Major Insider Purchase

Green accumulated 6,398,089 Class A shares between March 2 and March 4. The purchases included 6,000,000 shares acquired through a limited partnership.

The filing also recorded 398,089 additional shares granted through a restricted stock award. Combined, the transactions represent a significant personal investment by the company's chief executive.

The majority of shares were purchased at weighted-average prices between $23.49 and $25.08.

Individual trade prices ranged from $22.93 to $25.25.

The four transactions totaled approximately $148.1 million. The purchases occurred while the stock traded near multi-year lows.

Large insider purchases sometimes signal management confidence in a company's long-term outlook. Investors often monitor such moves for clues about executive sentiment.

Recent Analyst Views

Wall Street analysts recently updated coverage following volatility in the advertising technology sector.

On March 2, KeyBanc analyst Justin Patterson maintained an Overweight rating on the company. However, he lowered the price target from $40 to $35.

Meanwhile, Piper Sandler analyst Thomas Champion reiterated a Neutral rating. The analyst reduced his price target from $50 to $28.

The Trade Desk operates a programmatic advertising platform used by brands and agencies worldwide. The company helps marketers purchase digital advertising inventory across channels.

TTD Price Action: Trade Desk shares are trading higher by 21.57% to $30.55 premarket at last check Thursday.

Image via Shutterstock