Morgan Stanley Has Lowered Expectations for Intercontinental Exchange (NYSE:ICE) Stock Price

Key Points

• Morgan Stanley cut its price target on Intercontinental Exchange from $187 to $163 and kept an equal weight rating, implying about 20% upside from the current share price.
• Despite the lower target, analyst sentiment remains broadly positive overall, with ICE holding a “Moderate Buy” consensus and an average price target of $183.33.
• ICE recently beat quarterly earnings and revenue estimates, but shares were trading below both the 50-day and 200-day moving averages, while recent insider selling and softer June volume trends have added some caution.

Intercontinental Exchange (NYSE:ICE - Get Free Report) had its price objective reduced by stock analysts at Morgan Stanley from $187.00 to $163.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage currently has an "equal weight" rating on the financial services provider's stock. Morgan Stanley's target price indicates a potential upside of 19.98% from the stock's current price.

A number of other research analysts also recently commented on the company. Piper Sandler reaffirmed an "overweight" rating and issued a $211.00 price target (up from $195.00) on shares of Intercontinental Exchange in a research note on Wednesday, April 15th. Keefe, Bruyette & Woods began coverage on shares of Intercontinental Exchange in a research note on Wednesday, April 8th. They set an "outperform" rating and a $190.00 price objective on the stock. Raymond James Financial set a $208.00 target price on shares of Intercontinental Exchange in a report on Monday. The Goldman Sachs Group cut their price target on shares of Intercontinental Exchange from $208.00 to $180.00 and set a "buy" rating for the company in a report on Tuesday, June 30th. Finally, Weiss Ratings lowered shares of Intercontinental Exchange from a "hold (c+)" rating to a "hold (c)" rating in a research report on Wednesday, June 17th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $183.33.

Intercontinental Exchange Trading Up 0.6%

Shares of NYSE:ICE opened at $135.85 on Friday. The business's 50 day simple moving average is $142.91 and its 200 day simple moving average is $155.73. Intercontinental Exchange has a 1 year low of $121.79 and a 1 year high of $189.35. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.01 and a quick ratio of 1.01. The company has a market capitalization of $76.83 billion, a P/E ratio of 19.69, a P/E/G ratio of 1.29 and a beta of 0.94.

Intercontinental Exchange (NYSE:ICE - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The financial services provider reported $2.35 earnings per share for the quarter, beating the consensus estimate of $2.23 by $0.12. The firm had revenue of $3.67 billion during the quarter, compared to analysts' expectations of $2.88 billion. Intercontinental Exchange had a return on equity of 14.99% and a net margin of 30.06%.The company's quarterly revenue was up 20.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.72 EPS. On average, research analysts anticipate that Intercontinental Exchange will post 8.35 EPS for the current fiscal year.

Insider Buying and Selling at Intercontinental Exchange

In related news, CFO Warren Gardiner sold 2,490 shares of the company's stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $156.64, for a total transaction of $390,033.60. Following the completion of the transaction, the chief financial officer directly owned 25,189 shares in the company, valued at $3,945,604.96. This represents a 9.00% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director William Jefferson Hague sold 1,333 shares of the firm's stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $139.46, for a total transaction of $185,900.18. Following the completion of the sale, the director owned 20,132 shares in the company, valued at $2,807,608.72. This represents a 6.21% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 13,425 shares of company stock worth $2,046,324 over the last 90 days. 0.84% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Intercontinental Exchange

A number of institutional investors and hedge funds have recently bought and sold shares of ICE. Ares Financial Consulting LLC bought a new stake in shares of Intercontinental Exchange during the fourth quarter worth about $25,000. Brooklands Fund Management Ltd acquired a new stake in Intercontinental Exchange during the 4th quarter worth approximately $28,000. Dorato Capital Management acquired a new stake in Intercontinental Exchange during the 4th quarter worth approximately $29,000. Swiss RE Ltd. bought a new stake in Intercontinental Exchange during the 4th quarter worth approximately $28,000. Finally, Steph & Co. grew its holdings in Intercontinental Exchange by 104.7% during the 4th quarter. Steph & Co. now owns 174 shares of the financial services provider's stock worth $28,000 after acquiring an additional 89 shares during the last quarter. Institutional investors and hedge funds own 89.30% of the company's stock.

Trending Headlines about Intercontinental Exchange

Here are the key news stories impacting Intercontinental Exchange this week:

• Positive Sentiment: Barclays reiterated an Overweight view and set a new $180 price target for ICE, suggesting meaningful upside from current levels. Intercontinental Exchange NYSE: ICE Given New $180.00 Price Target at Barclays
• Positive Sentiment: Brokerage coverage remains favorable overall, with ICE carrying a “Moderate Buy” consensus rating from analysts. Intercontinental Exchange Inc. NYSE: ICE Given Consensus Recommendation of "Moderate Buy" by Brokerages
• Positive Sentiment: Analysts continue to see upside tied to ICE’s upcoming quarterly report, with expectations for high single-digit EPS growth and support from its exchange, clearing, and data businesses. What to Expect From Intercontinental Exchange's Next Quarterly Earnings Report
• Neutral Sentiment: ICE’s move lower versus peers reflects broader caution in exchange and market-structure stocks rather than a company-specific breakdown. Intercontinental Exchange Inc. stock underperforms Thursday when compared to competitors
• Neutral Sentiment: Higher coffee prices and volatile futures trading have been a market backdrop after ICE raised margin requirements, but this is more relevant to trading activity than to ICE’s core earnings outlook. Coffee Prices Finish Sharply Higher in Illiquid Market
• Negative Sentiment: Quiver Quant notes ICE has slid on softer June volume trends, with analysts cutting estimates for second-quarter trading activity and some related fee lines, which is weighing on sentiment ahead of earnings. Intercontinental Exchange Slides as Softer June Volume Trends Trigger Estimate Cuts

Intercontinental Exchange Company Profile

Intercontinental Exchange NYSE: ICE is a global operator of exchanges, clearing houses and data services that provides infrastructure for the trading, clearing, settlement and information needs of financial and commodity markets. Founded in 2000 by Jeffrey C. Sprecher as an electronic energy trading platform, the company has grown through organic expansion and acquisitions to operate a broad portfolio of assets spanning listed equities, futures and options, fixed income, and over-the-counter derivatives.

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