MarketAxess (NASDAQ:MKTX) Sets New 52-Week Low - Should You Sell?

Key Points

• MarketAxess Holdings Inc. (NASDAQ:MKTX) saw its stock hit a new 52-week low on Tuesday, trading as low as $175.64 before closing at $176.00.
• Despite recent lows, analysts remain cautiously optimistic, with a consensus rating of "Hold" and a target price of $228.09, although several firms have adjusted their price targets downward.
• The company's recent quarterly earnings exceeded expectations, reporting $2.00 EPS and an 11% year-over-year revenue increase, highlighting underlying growth despite stock price challenges.

MarketAxess Holdings Inc. (NASDAQ:MKTX - Get Free Report)'s stock price hit a new 52-week low during trading on Tuesday . The company traded as low as $175.64 and last traded at $176.00, with a volume of 28324 shares changing hands. The stock had previously closed at $177.63.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on MKTX shares. Morgan Stanley dropped their price objective on shares of MarketAxess from $283.00 to $274.00 and set an "overweight" rating for the company in a research note on Tuesday, July 15th. Piper Sandler reiterated a "neutral" rating and issued a $204.00 target price (up previously from $202.00) on shares of MarketAxess in a report on Tuesday, July 15th. Jefferies Financial Group cut their price objective on MarketAxess from $217.00 to $208.00 and set a "hold" rating on the stock in a report on Monday, August 11th. UBS Group decreased their target price on MarketAxess from $295.00 to $255.00 and set a "buy" rating for the company in a report on Thursday, August 7th. Finally, Wall Street Zen upgraded shares of MarketAxess from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Five research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $228.09.

MarketAxess Trading Down 1.0%

The stock has a market capitalization of $6.57 billion, a P/E ratio of 29.61, a P/E/G ratio of 3.49 and a beta of 0.88. The stock's 50 day simple moving average is $190.06 and its 200 day simple moving average is $208.63.

MarketAxess (NASDAQ:MKTX - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The financial services provider reported $2.00 EPS for the quarter, topping the consensus estimate of $1.94 by $0.06. The business had revenue of $219.46 million for the quarter, compared to analysts' expectations of $218.05 million. MarketAxess had a net margin of 26.62% and a return on equity of 20.41%. The company's quarterly revenue was up 11.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.72 earnings per share. On average, sell-side analysts expect that MarketAxess Holdings Inc. will post 7.79 EPS for the current fiscal year.

MarketAxess Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, September 3rd. Stockholders of record on Wednesday, August 20th were given a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date was Wednesday, August 20th. MarketAxess's dividend payout ratio (DPR) is presently 51.18%.

Insider Transactions at MarketAxess

In other MarketAxess news, CRO Kevin M. Mcpherson sold 1,494 shares of the company's stock in a transaction dated Friday, September 12th. The shares were sold at an average price of $185.32, for a total value of $276,868.08. Following the completion of the transaction, the executive owned 67,681 shares in the company, valued at approximately $12,542,642.92. This represents a 2.16% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Stephen P. Casper sold 1,600 shares of the stock in a transaction on Monday, September 8th. The stock was sold at an average price of $186.59, for a total value of $298,544.00. Following the completion of the transaction, the director directly owned 43,208 shares of the company's stock, valued at approximately $8,062,180.72. The trade was a 3.57% decrease in their position. The disclosure for this sale can be found here. 2.66% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On MarketAxess

A number of institutional investors and hedge funds have recently bought and sold shares of MKTX. MUFG Securities EMEA plc purchased a new position in MarketAxess in the 2nd quarter worth about $25,000. Geneos Wealth Management Inc. grew its position in MarketAxess by 200.0% during the first quarter. Geneos Wealth Management Inc. now owns 120 shares of the financial services provider's stock valued at $26,000 after purchasing an additional 80 shares in the last quarter. True Wealth Design LLC lifted its position in MarketAxess by 992.9% in the 2nd quarter. True Wealth Design LLC now owns 153 shares of the financial services provider's stock worth $34,000 after buying an additional 139 shares in the last quarter. MassMutual Private Wealth & Trust FSB boosted its stake in shares of MarketAxess by 49.1% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 164 shares of the financial services provider's stock valued at $35,000 after buying an additional 54 shares during the period. Finally, Harbor Investment Advisory LLC purchased a new position in shares of MarketAxess during the 2nd quarter valued at $37,000. 99.01% of the stock is owned by institutional investors and hedge funds.

About MarketAxess

MarketAxess Holdings Inc, together with its subsidiaries, operates an electronic trading platform for institutional investor and broker-dealer companies worldwide. The company offers trading technology that provides liquidity access in U.S. high-grade bonds, U.S. high-yield bonds, emerging market debt, eurobonds, municipal bonds, U.S.

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