Expert Outlook: Nasdaq Through The Eyes Of 12 Analysts

Analysts' ratings for Nasdaq NDAQ over the last quarter vary from bullish to bearish, as provided by 12 analysts.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $92.67, a high estimate of $105.00, and a low estimate of $84.00. Witnessing a positive shift, the current average has risen by 3.45% from the previous average price target of $89.58.

Breaking Down Analyst Ratings: A Detailed Examination

In examining recent analyst actions, we gain insights into how financial experts perceive Nasdaq. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |---------------------|--------------------|---------------|---------------|--------------------|--------------------| |Benjamin Budish |Barclays |Lowers |Overweight | $87.00|$95.00 | |Craig Siegenthaler |B of A Securities |Raises |Buy | $105.00|$103.00 | |Alex Kramm |UBS |Raises |Neutral | $89.00|$79.00 | |Ashish Sabadra |RBC Capital |Maintains |Outperform | $95.00|$95.00 | |Michael Cho |JP Morgan |Raises |Overweight | $95.00|$88.00 | |Benjamin Budish |Barclays |Lowers |Overweight | $95.00|$96.00 | |Owen Lau |Oppenheimer |Raises |Outperform | $89.00|$86.00 | |Benjamin Budish |Barclays |Lowers |Overweight | $96.00|$97.00 | |Christopher Allen |Citigroup |Raises |Neutral | $84.00|$78.00 | |Patrick O'Shaughnessy|Raymond James |Raises |Outperform | $84.00|$83.00 | |Ashish Sabadra |RBC Capital |Maintains |Outperform | $95.00|$95.00 | |Brian Bedell |Deutsche Bank |Raises |Buy | $98.00|$80.00 |

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Nasdaq. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Nasdaq compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Nasdaq's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Nasdaq's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Nasdaq analyst ratings.

Unveiling the Story Behind Nasdaq

Founded in 1971, Nasdaq is primarily known for its equity exchange, but in addition to its trading business (about 22.5% of sales), the company sells market and financial data to investors, offers Nasdaq-branded indexes, and lists companies through its capital access segment (42.5%). Nasdaq's newest segment, financial technology, was primarily constructed through the acquisitions of Verafin and Adenza and has expanded the company into capital management, financial crime, and regulatory compliance software (35%) as the firm seeks to become a diversified technology company.

Unraveling the Financial Story of Nasdaq

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Growth: Nasdaq's revenue growth over a period of 3M has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 23.25%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Nasdaq's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 17.49%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Nasdaq's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.19% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Nasdaq's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 1.16%, the company may face hurdles in achieving optimal financial performance.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.88.

Analyst Ratings: What Are They?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

Which Stocks Are Analysts Recommending Now?

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This article was generated by Benzinga's automated content engine and reviewed by an editor.