MarketAxess Holdings Inc.

NasdaqGS:MKTX Stock Report

Market Cap: US$7.6b

MarketAxess Holdings Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 ($201.79) is trading above our estimate of fair value ($175.4)

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?

Other financial metrics that can be useful for relative valuation.

MKTX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue9.5x
Enterprise Value/EBITDA18.5x
PEG Ratio3x

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 Average42.3x
MORN Morningstar
57.5x22.2%US$12.2b
CBOE Cboe Global Markets
24.8x4.5%US$18.8b
FDS FactSet Research Systems
32.8x10.3%US$16.1b
TW Tradeweb Markets
53.9x18.2%US$24.1b
MKTX MarketAxess Holdings
29.4x9.7%US$7.6b

Price-To-Earnings vs Peers: MKTX is good value based on its Price-To-Earnings Ratio (29.4x) compared to the peer average (42.2x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a15.7%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a15.7%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: MKTX is expensive based on its Price-To-Earnings Ratio (29.4x) compared to the US Capital Markets industry average (20x).


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 Ratio29.4x
Fair PE Ratio16.2x

Price-To-Earnings vs Fair Ratio: MKTX is expensive based on its Price-To-Earnings Ratio (29.4x) compared to the estimated Fair Price-To-Earnings Ratio (16.2x).


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$201.79
US$252.54
+25.1%
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$203.00n/a12
Oct ’24US$213.64
US$282.91
+32.4%
10.3%US$330.00US$234.00n/a11
Sep ’24US$238.84
US$288.82
+20.9%
11.5%US$350.00US$234.00n/a11
Aug ’24US$262.60
US$290.09
+10.5%
11.5%US$350.00US$234.00n/a11
Jul ’24US$261.42
US$329.73
+26.1%
10.4%US$375.00US$254.00n/a11
Jun ’24US$277.33
US$348.30
+25.6%
9.9%US$415.00US$288.00n/a10
May ’24US$317.29
US$353.60
+11.4%
10.2%US$415.00US$288.00n/a10
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
Oct ’23US$222.49
US$287.60
+29.3%
10.6%US$355.00US$231.00US$213.6410
Sep ’23US$251.32
US$291.00
+15.8%
10.3%US$355.00US$231.00US$238.8410
Aug ’23US$269.40
US$294.78
+9.4%
7.3%US$345.00US$276.00US$262.609
Jul ’23US$257.77
US$328.67
+27.5%
16.7%US$471.00US$270.00US$261.4212
Jun ’23US$276.91
US$334.08
+20.6%
15.9%US$471.00US$270.00US$277.3312
May ’23US$263.61
US$337.33
+28.0%
15.3%US$471.00US$275.00US$317.2912
Apr ’23US$339.44
US$379.42
+11.8%
12.8%US$471.00US$300.00US$391.2912

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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