NasdaqGS:MKTX

Stock Analysis Report

Executive Summary

MarketAxess Holdings Inc., together with its subsidiaries, operates an electronic trading platform that enables fixed-income market participants to trade corporate bonds and other types of fixed-income instruments worldwide.

Snowflake

Fundamentals

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has MarketAxess Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.8%

MKTX

1.6%

US Capital Markets

-0.02%

US Market


1 Year Return

88.5%

MKTX

-1.2%

US Capital Markets

1.6%

US Market

MKTX outperformed the Capital Markets industry which returned -1.2% over the past year.

MKTX outperformed the Market in United States of America which returned 1.6% over the past year.


Share holder returns

MKTXIndustryMarket
7 Day3.8%1.6%-0.02%
30 Day-11.9%5.3%2.7%
90 Day2.9%5.7%1.4%
1 Year89.9%88.5%1.0%-1.2%3.8%1.6%
3 Year105.4%100.7%57.4%48.5%45.2%35.8%
5 Year481.2%458.3%77.1%60.9%61.8%44.1%

Price Volatility Vs. Market

How volatile is MarketAxess Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

2 weeks ago | Simply Wall St

Does MarketAxess Holdings Inc.'s (NASDAQ:MKTX) CEO Pay Matter?

Valuation

Is MarketAxess Holdings undervalued based on future cash flows and its price relative to the stock market?

68.54x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

MarketAxess Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

MarketAxess Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

MarketAxess Holdings is overvalued based on earnings compared to the US Capital Markets industry average.

MarketAxess Holdings is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

MarketAxess Holdings is poor value based on expected growth next year.


Price Based on Value of Assets

MarketAxess Holdings is overvalued based on assets compared to the US Capital Markets industry average.


Next Steps

Future Growth

How is MarketAxess Holdings expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

13.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

MarketAxess Holdings's revenue is expected to grow by 10.8% yearly, however this is not considered high growth (20% yearly).

MarketAxess Holdings's earnings are expected to grow by 13.9% yearly, however this is not considered high growth (20% yearly).

MarketAxess Holdings's revenue growth is expected to exceed the United States of America market average.

MarketAxess Holdings's earnings growth is positive but not above the United States of America market average.

MarketAxess Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if MarketAxess Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has MarketAxess Holdings performed over the past 5 years?

19.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

MarketAxess Holdings's year on year earnings growth rate has been positive over the past 5 years.

MarketAxess Holdings's 1-year earnings growth is less than its 5-year average (18.6% vs 19.3%)

MarketAxess Holdings's earnings growth has not exceeded the US Capital Markets industry average in the past year (18.6% vs 36.2%).


Return on Equity

MarketAxess Holdings has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

MarketAxess Holdings used its assets more efficiently than the US Capital Markets industry average last year based on Return on Assets.


Return on Capital Employed

MarketAxess Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is MarketAxess Holdings's financial position?


Financial Position Analysis

MarketAxess Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

MarketAxess Holdings's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

MarketAxess Holdings has no debt.

MarketAxess Holdings has not taken on any debt in the past 5 years.

MarketAxess Holdings has no debt, it does not need to be covered by operating cash flow.

MarketAxess Holdings has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

MarketAxess Holdings has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is MarketAxess Holdings's current dividend yield, its reliability and sustainability?

0.65%

Expected Dividend Yield


Dividend Yield and Payments Analysis

MarketAxess Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

MarketAxess Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

MarketAxess Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

MarketAxess Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of MarketAxess Holdings's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of MarketAxess Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of MarketAxess Holdings's salary, the management and board of directors tenure and is there insider trading?

5.3yrs

Average management tenure


CEO

Rick McVey (59yo)

19.4yrs

Tenure

US$16,625,183

Compensation

Mr. Richard Mitchell McVey, also known as Rick, founded MarketAxess Holdings Inc. in April 11, 2000 and has been its Chairman and Chief Executive Officer since its inception. Mr. McVey also serves Chairman ...


CEO Compensation Analysis

Rick's remuneration is higher than average for companies of similar size in United States of America.

Rick's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.


Management Age and Tenure

5.3yrs

Average Tenure

53yo

Average Age

The average tenure for the MarketAxess Holdings management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.9yrs

Average Tenure

60yo

Average Age

The tenure for the MarketAxess Holdings board of directors is about average.


Insider Trading

Information is not available.


Recent Insider Transactions

SellUS$402,82005 Sep 19
Stephen Paul Casper
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares1,000
Max PriceUS$402.82
BuyUS$358,49019 Aug 19
Richard Prager
EntityIndividual
Shares1,000
Max PriceUS$358.49
SellUS$1,113,98401 May 19
Kevin McPherson
EntityIndividual
Role
Head of Sales
Global Head of Sales
Shares4,000
Max PriceUS$282.50
SellUS$395,49529 Apr 19
Nicholas Themelis
EntityIndividual
Role
Chief Information Officer
Chief Information Officer
Shares1,489
Max PriceUS$265.61
SellUS$1,855,92522 Feb 19
Antonio DeLise
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares8,000
Max PriceUS$231.99
SellUS$687,85006 Feb 19
David Gomach
EntityIndividual
Shares3,187
Max PriceUS$215.83
SellUS$542,23021 Nov 18
Kevin McPherson
EntityIndividual
Role
Head of Sales
Global Head of Sales
Shares2,500
Max PriceUS$216.89

Ownership Breakdown


Management Team

  • Tony DeLise (57yo)

    Chief Financial Officer

    • Tenure: 9.5yrs
    • Compensation: US$1.51m
  • Nick Themelis (55yo)

    Chief Information Officer

    • Tenure: 14.5yrs
    • Compensation: US$1.98m
  • Rick McVey (59yo)

    Chairman & CEO

    • Tenure: 19.4yrs
    • Compensation: US$16.63m
  • Chris Concannon (51yo)

    President

    • Tenure: 0.7yrs
  • Scott Pintoff (48yo)

    General Counsel & Corporate Secretary

    • Tenure: 5.6yrs
  • Christophe P. Roupie (53yo)

    Head of Europe and Asia - Marketaxess Europe Limited & Trax

    • Tenure: 2.6yrs
    • Compensation: US$1.13m
  • Mary Sedarat

    Global Head of Marketing & Communications

    • Tenure: 3.3yrs
  • Kevin McPherson (48yo)

    Global Head of Sales

    • Tenure: 5.3yrs
    • Compensation: US$1.77m
  • Dave Cresci

    Investor Relations Manager

    • Tenure: 0yrs
  • Mike Baker

    Chief Technology Officer

    • Tenure: 0.4yrs

Board Members

  • Rick McVey (59yo)

    Chairman & CEO

    • Tenure: 19.4yrs
    • Compensation: US$16.63m
  • Bill Cruger (61yo)

    Director

    • Tenure: 5.8yrs
    • Compensation: US$215.18k
  • Stephen Paul Casper (69yo)

    Lead Independent Director

    • Tenure: 7.7yrs
    • Compensation: US$242.49k
  • Nancy Altobello (61yo)

    Independent Director

    • Tenure: 0.4yrs
  • Rick Ketchum (68yo)

    Director

    • Tenure: 2.4yrs
    • Compensation: US$202.47k
  • Chris Concannon (51yo)

    President

    • Tenure: 0.7yrs
  • John Steinhardt (65yo)

    Director

    • Tenure: 19.4yrs
    • Compensation: US$219.57k
  • Steve Begleiter (57yo)

    Director

    • Tenure: 7.4yrs
    • Compensation: US$204.20k
  • Emily Portney (47yo)

    Director

    • Tenure: 1.9yrs
    • Compensation: US$197.51k
  • Jane Chwick (56yo)

    Director

    • Tenure: 5.9yrs
    • Compensation: US$215.13k

Company Information

MarketAxess Holdings Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: MarketAxess Holdings Inc.
  • Ticker: MKTX
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Financial Exchanges and Data
  • Sector: Diversified Financials
  • Market Cap: US$12.941b
  • Shares outstanding: 37.76m
  • Website: https://www.marketaxess.com

Number of Employees


Location

  • MarketAxess Holdings Inc.
  • 55 Hudson Yards
  • Floor 15
  • New York
  • New York
  • 10001
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MKTXNasdaqGS (Nasdaq Global Select)YesCommon Stock VotingUSUSDNov 2004
MWIDB (Deutsche Boerse AG)YesCommon Stock VotingDEEURNov 2004
MKTX *BMV (Bolsa Mexicana de Valores)YesCommon Stock VotingMXMXNNov 2004

Biography

MarketAxess Holdings Inc., together with its subsidiaries, operates an electronic trading platform that enables fixed-income market participants to trade corporate bonds and other types of fixed-income ins ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 00:30
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.