MarketAxess Holdings Inc. (MKTX) Stock

MarketAxess Holdings Inc. trades at a P/E ratio of 38.18, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 28.90 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 3.01 indicates a premium valuation even accounting for growth.

With a beta of 0.84, MarketAxess Holdings Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 6.11 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

MarketAxess Holdings Inc. achieves a profit margin of 26.60%, meaning it retains $26.60 from every $100 in revenue after all expenses. This is an impressive margin, indicating strong pricing power and efficient cost management that allows the company to generate substantial profits. The operating margin of 42.40% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 16.30% and ROA at 11.10%, the company generates strong returns on invested capital.

MarketAxess Holdings Inc.'s revenue declined by 0.80% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings decreased by 79.20% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against SECURITY BROKERS, DEALERS & FLOTATION COMPANIES industry averages for proper context.

MarketAxess Holdings Inc. offers a dividend yield of 1.38%, paying $2.98 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/21/2025.

The dividend sustainability can be assessed through the payout ratio - MarketAxess Holdings Inc. pays $2.98 per share in dividends against earnings of $5.75 per share, resulting in a payout ratio of 51.83%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 6/4/2025.

MarketAxess Holdings Inc. has a market capitalization of $8.23B, classifying it as a mid-cap stock ($2B-$10B). Mid-caps often represent companies in their growth phase, offering higher growth potential than large-caps but with more stability than small-caps. They can be attractive takeover targets and may become tomorrow's large-caps. With 37.50M shares outstanding, the company's ownership is relatively concentrated. As a participant in the SECURITY BROKERS, DEALERS & FLOTATION COMPANIES industry, it competes with other firms in this sector.

MarketAxess Holdings Inc.'s book value per share is $35.86, while the current stock price is $216.05, resulting in a price-to-book (P/B) ratio of 6.02. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

15 analysts cover MKTX with 40% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $236.75 implies 9.6% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:2 Strong Buy, 4 Buy, 8 Hold, 01 Strong Sell. The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.