LiveRamp Holdings, Inc. (RAMP) saw its stock surge over 5% in pre-market trading on Thursday, February 6, 2025. The data collaboration platform provider reported strong fiscal third-quarter 2025 results, exceeding expectations on both the top and bottom lines.

The company achieved a 12% year-over-year increase in revenue to $195 million, driven by double-digit growth in both subscription and marketplace revenue. Operating income grew 24% to $45 million, and operating margin expanded by 2 percentage points to a record quarterly high of 23%.

LiveRamp cited improved sales momentum and pipeline conversion rates as key factors behind the strong performance. The company's data collaboration offerings, particularly in areas like connected TV (CTV) and commerce media, saw increasing recognition from customers seeking to measure and optimize advertising outcomes.

Following the impressive results, LiveRamp raised its full-year 2025 revenue guidance to $741-$743 million, representing 12-13% growth. The company also expects to reach or surpass its "Rule of 30" goal, with an 18% operating margin combined with the projected revenue growth.

Analysts at Benchmark raised their price target for RAMP to $45 from $42, maintaining a Buy rating on the stock. The firm cited LiveRamp's strong execution and the growing demand for data collaboration solutions as key drivers of the target increase.