MarketAxess (NASDAQ:MKTX) Releases Earnings Results, Beats Estimates By $0.06 EPS

Key Points

• MarketAxess beat earnings expectations, reporting quarterly EPS of $1.95 versus the $1.89 consensus estimate. However, EPS declined from $2.00 a year earlier, while revenue fell 0.5% year over year.
• The company declared a quarterly dividend of $0.78 per share, equivalent to $3.12 annually and a 1.9% yield; the dividend is payable September 2 to shareholders of record August 19.
• Analyst sentiment remains cautious, with a consensus “Hold” rating and an average price target of $160.18 after several firms lowered their targets. Institutional investors own approximately 99.01% of the company’s shares.

MarketAxess (NASDAQ:MKTX - Get Free Report) announced its quarterly earnings data on Friday. The financial services provider reported $1.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.89 by $0.06, Briefing.com reports. MarketAxess had a return on equity of 22.48% and a net margin of 35.22%.During the same period in the previous year, the business earned $2.00 earnings per share. The business's revenue for the quarter was down .5% on a year-over-year basis.

MarketAxess Stock Performance

NASDAQ:MKTX traded down $0.09 during trading hours on Friday, reaching $162.53. The company had a trading volume of 805,739 shares, compared to its average volume of 1,300,674. MarketAxess has a 1-year low of $108.75 and a 1-year high of $195.96. The firm has a market cap of $5.78 billion, a PE ratio of 19.17, a price-to-earnings-growth ratio of 4.13 and a beta of 0.83. The business's 50 day moving average price is $123.51 and its 200-day moving average price is $151.44. The company has a debt-to-equity ratio of 0.19, a current ratio of 2.17 and a quick ratio of 2.17.

MarketAxess Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 2nd. Investors of record on Wednesday, August 19th will be given a dividend of $0.78 per share. This represents a $3.12 annualized dividend and a yield of 1.9%. The ex-dividend date is Wednesday, August 19th. MarketAxess's dividend payout ratio (DPR) is currently 36.79%.

Institutional Investors Weigh In On MarketAxess

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Ancora Advisors LLC boosted its position in MarketAxess by 1.9% during the 3rd quarter. Ancora Advisors LLC now owns 3,522 shares of the financial services provider's stock worth $614,000 after purchasing an additional 67 shares during the period. Orion Porfolio Solutions LLC lifted its stake in shares of MarketAxess by 1.7% during the second quarter. Orion Porfolio Solutions LLC now owns 4,203 shares of the financial services provider's stock worth $939,000 after purchasing an additional 69 shares in the last quarter. Geneos Wealth Management Inc. lifted its stake in shares of MarketAxess by 200.0% during the first quarter. Geneos Wealth Management Inc. now owns 120 shares of the financial services provider's stock worth $26,000 after purchasing an additional 80 shares in the last quarter. Maryland State Retirement & Pension System lifted its stake in shares of MarketAxess by 1.1% during the fourth quarter. Maryland State Retirement & Pension System now owns 7,181 shares of the financial services provider's stock worth $1,302,000 after purchasing an additional 81 shares in the last quarter. Finally, Public Employees Retirement System of Ohio boosted its position in shares of MarketAxess by 0.7% in the third quarter. Public Employees Retirement System of Ohio now owns 12,523 shares of the financial services provider's stock worth $2,182,000 after buying an additional 83 shares during the period. Institutional investors and hedge funds own 99.01% of the company's stock.

Analyst Ratings Changes

Several equities analysts recently weighed in on the stock. UBS Group downgraded shares of MarketAxess from a "buy" rating to a "neutral" rating and cut their price target for the stock from $200.00 to $167.00 in a report on Friday, July 31st. Benchmark restated a "buy" rating on shares of MarketAxess in a research note on Wednesday, July 8th. Barclays decreased their price objective on shares of MarketAxess from $170.00 to $132.00 and set an "equal weight" rating for the company in a research note on Thursday, July 9th. Piper Sandler cut their price objective on shares of MarketAxess from $175.00 to $128.00 and set a "neutral" rating on the stock in a research note on Wednesday, July 15th. Finally, Rothschild & Co Redburn reiterated a "neutral" rating and issued a $134.00 price objective (down from $189.00) on shares of MarketAxess in a research note on Thursday, June 11th. Two research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, MarketAxess currently has a consensus rating of "Hold" and an average target price of $160.18.

MarketAxess Company Profile

MarketAxess Holdings Inc operates a leading global electronic trading platform specializing in fixed-income securities and related products. The company's network enables institutional investors and broker-dealers to trade corporate bonds, municipal securities, emerging markets debt, U.S. Treasuries and credit default swaps in an automated, multi-dealer environment. MarketAxess also offers portfolio trading, data analytics, best-execution tools and post-trade services to streamline workflows and enhance price discovery across its marketplace.

In addition to core voice-like trading protocols, MarketAxess provides Open Trading®, an anonymous, all-to-all trading protocol designed to improve liquidity and transaction efficiency.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source