Zacks Investment Research upgraded shares of MarketAxess (NASDAQ:MKTX) from a hold rating to a buy rating in a report released on Wednesday morning. Zacks Investment Research currently has $246.00 target price on the financial services provider’s stock.
According to Zacks, “MarketAxess Holdings’ earnings per share of $1.02 beat the Zacks Consensus Estimate by 9.7% and was up 13.3% year over year. Strong results were driven by gains across core products, higher market trading volume and better Eurobond volumes. The company’s revenues have been consistently rising for the past several years on the back of a steady increase in commission. Its growth strategies such as acquisitions and alliances have also contributed to its top-line improvement. Its product suite of the highly demanded U.S. high-grade floating rate and other credit bonds are likely to broaden its scope for volume growth. Shares of the company have outperformed its industry’s increase year to date. Nevertheless, escalating costs remain a woe for the company for quite some time. Moreover, with the ongoing investments in several areas, the metric is going to mount higher in the upcoming quarters.”
A number of other brokerages have also weighed in on MKTX. BidaskClub lowered MarketAxess from a buy rating to a hold rating in a research report on Saturday, December 1st. Goldman Sachs Group assumed coverage on MarketAxess in a research report on Monday, November 5th. They issued a sell rating on the stock. ValuEngine upgraded MarketAxess from a hold rating to a buy rating in a research report on Thursday, October 4th. Finally, Barclays reiterated a hold rating and issued a $198.00 price objective on shares of MarketAxess in a research report on Friday, October 12th. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating and three have assigned a buy rating to the company. The stock currently has a consensus rating of Hold and a consensus target price of $211.63.
MarketAxess (NASDAQ:MKTX) last issued its quarterly earnings data on Wednesday, October 24th. The financial services provider reported $1.02 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.93 by $0.09. The firm had revenue of $101.44 million for the quarter, compared to analyst estimates of $101.19 million. MarketAxess had a return on equity of 29.40% and a net margin of 37.97%. The business’s quarterly revenue was up 6.1% compared to the same quarter last year. During the same period last year, the company earned $0.90 EPS. On average, equities research analysts anticipate that MarketAxess will post 4.51 earnings per share for the current year.
The company also recently declared a quarterly dividend, which was paid on Wednesday, November 21st. Investors of record on Wednesday, November 7th were given a dividend of $0.42 per share. The ex-dividend date was Tuesday, November 6th. This represents a $1.68 annualized dividend and a dividend yield of 0.75%. MarketAxess’s dividend payout ratio is presently 43.08%.
In related news, CEO Richard M. Mcvey sold 23,842 shares of MarketAxess stock in a transaction that occurred on Tuesday, October 30th. The stock was sold at an average price of $211.93, for a total transaction of $5,052,835.06. Following the sale, the chief executive officer now directly owns 1,054,986 shares in the company, valued at $223,583,182.98. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Kevin M. Mcpherson sold 2,500 shares of MarketAxess stock in a transaction that occurred on Tuesday, November 20th. The shares were sold at an average price of $216.89, for a total value of $542,225.00. The disclosure for this sale can be found here. Insiders own 3.52% of the company’s stock.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in MKTX. Vectors Research Management LLC bought a new stake in shares of MarketAxess during the third quarter valued at approximately $100,000. First Hawaiian Bank bought a new stake in shares of MarketAxess during the third quarter valued at approximately $113,000. Rehmann Capital Advisory Group boosted its position in shares of MarketAxess by 17,748.7% during the third quarter. Rehmann Capital Advisory Group now owns 20,883 shares of the financial services provider’s stock valued at $117,000 after purchasing an additional 20,766 shares in the last quarter. Alps Advisors Inc. bought a new stake in shares of MarketAxess during the second quarter valued at approximately $205,000. Finally, Commerce Bank bought a new stake in shares of MarketAxess during the third quarter valued at approximately $217,000. Institutional investors own 99.27% of the company’s stock.
MarketAxess Holdings Inc, together with its subsidiaries, operates an electronic trading platform that enables fixed-income market participants to trade corporate bonds and other types of fixed-income instruments worldwide. It offers institutional investor and broker-dealer the access to global liquidity in U.S.
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