MarketAxess Holdings Inc.

NasdaqGS:MKTX Stock Report

Market Cap: US$10.1b

MarketAxess Holdings Valuation

Is MKTX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MKTX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MKTX ($265.44) is trading above our estimate of fair value ($186.51)

Significantly Below Fair Value: MKTX is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MKTX?

Key metric: As MKTX is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MKTX. This is calculated by dividing MKTX's market cap by their current earnings.
What is MKTX's PE Ratio?
PE Ratio35.9x
EarningsUS$278.67m
Market CapUS$10.10b

Price to Earnings Ratio vs Peers

How does MKTX's PE Ratio compare to its peers?

The above table shows the PE ratio for MKTX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average42.5x
MORN Morningstar
44.1x9.7%US$14.4b
CBOE Cboe Global Markets
28.1x6.7%US$21.5b
FDS FactSet Research Systems
33.6x8.0%US$18.3b
TW Tradeweb Markets
64.2x17.3%US$31.8b
MKTX MarketAxess Holdings
35.9x10.4%US$10.1b

Price-To-Earnings vs Peers: MKTX is good value based on its Price-To-Earnings Ratio (35.9x) compared to the peer average (42.5x).

Price to Earnings Ratio vs Industry

How does MKTX's PE Ratio compare vs other companies in the US Capital Markets Industry?

22 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ADX Adams Diversified Equity Fund
4xn/aUS$2.52b
CET Central Securities
4.5xn/aUS$1.32b
GAM General American Investors Company
4.1xn/aUS$1.16b
MUDS Mudrick Capital Acquisition Corporation II
3.4xn/aUS$401.64m
MKTX 35.9xIndustry Avg. 23.7xNo. of Companies75PE020406080100+
22 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MKTX is expensive based on its Price-To-Earnings Ratio (35.9x) compared to the US Capital Markets industry average (23.6x).

Price to Earnings Ratio vs Fair Ratio

What is MKTX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MKTX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio35.9x
Fair PE Ratio18.1x

Price-To-Earnings vs Fair Ratio: MKTX is expensive based on its Price-To-Earnings Ratio (35.9x) compared to the estimated Fair Price-To-Earnings Ratio (18.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MKTX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$265.44
US$285.83
+7.7%
14.0%US$335.00US$187.00n/a12
Nov ’25US$287.40
US$281.92
-1.9%
14.2%US$330.00US$195.00n/a12
Oct ’25US$255.85
US$252.17
-1.4%
15.9%US$310.00US$193.00n/a12
Sep ’25US$242.39
US$245.58
+1.3%
15.6%US$310.00US$193.00n/a12
Aug ’25US$221.22
US$240.42
+8.7%
16.4%US$310.00US$186.00n/a12
Jul ’25US$193.39
US$239.15
+23.7%
16.5%US$310.00US$183.00n/a13
Jun ’25US$198.93
US$240.62
+21.0%
16.3%US$310.00US$183.00n/a13
May ’25US$206.24
US$252.54
+22.4%
14.5%US$310.00US$199.00n/a13
Apr ’25US$216.56
US$261.83
+20.9%
12.4%US$310.00US$210.00n/a12
Mar ’25US$218.14
US$262.25
+20.2%
12.6%US$310.00US$210.00n/a12
Feb ’25US$218.96
US$270.92
+23.7%
14.6%US$335.00US$210.00n/a12
Jan ’25US$292.85
US$258.58
-11.7%
13.2%US$305.00US$203.00n/a12
Dec ’24US$240.17
US$248.58
+3.5%
13.0%US$305.00US$203.00n/a12
Nov ’24US$217.24
US$251.17
+15.6%
13.1%US$305.00US$203.00US$287.4012
Oct ’24US$213.64
US$282.91
+32.4%
10.3%US$330.00US$234.00US$255.8511
Sep ’24US$238.84
US$288.82
+20.9%
11.5%US$350.00US$234.00US$242.3911
Aug ’24US$262.60
US$290.09
+10.5%
11.5%US$350.00US$234.00US$221.2211
Jul ’24US$261.42
US$329.73
+26.1%
10.4%US$375.00US$254.00US$193.3911
Jun ’24US$277.33
US$348.30
+25.6%
9.9%US$415.00US$288.00US$198.9310
May ’24US$317.29
US$353.60
+11.4%
10.2%US$415.00US$288.00US$206.2410
Apr ’24US$391.29
US$374.55
-4.3%
17.8%US$545.00US$288.00US$216.5611
Mar ’24US$347.27
US$359.45
+3.5%
18.8%US$545.00US$288.00US$218.1411
Feb ’24US$377.00
US$358.82
-4.8%
18.8%US$545.00US$288.00US$218.9611
Jan ’24US$278.89
US$272.18
-2.4%
12.5%US$355.00US$214.00US$292.8511
Dec ’23US$273.27
US$266.27
-2.6%
13.1%US$355.00US$214.00US$240.1711
Nov ’23US$238.57
US$264.00
+10.7%
13.9%US$355.00US$214.00US$217.2411

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

VEF

SEK 2.2b

A venture capital firm specializing in early venture, emerging growth and growth capital investments.

VEFF.F

SEK 0.20

7D

0%

1Y

n/a

Federal Home Loan Mortgage

US$10.4b

Operates in the secondary mortgage market in the United States.

FMCC

US$2.92

7D

0%

1Y

358.8%

ORIX

JP¥3.8t

Provides diversified financial services in Japan, the United States, Asia, Europe, Australasia, and the Middle East.

IX

JP¥106.82

7D

-0.9%

1Y

17.5%