Can Nasdaq's (NDAQ) New AI Tools Reshape Its Reputation for Market Integrity and Innovation?

• Nasdaq, Inc. recently reported third-quarter 2025 results, posting revenue of US$1.96 billion and net income of US$423 million, alongside the declaration of a regular quarterly dividend of US$0.27 per share payable in December 2025.
• The company also introduced advanced AI-powered enhancements to its market surveillance platform, marking another step in technology-led solutions for global financial institutions and regulators.
• We'll explore how the introduction of AI-driven market surveillance tools may influence Nasdaq's broader investment narrative and future outlook.

Trump's oil boom is here - pipelines are primed to profit. Discover the 22 US stocks riding the wave.

Nasdaq Investment Narrative Recap

To be a shareholder in Nasdaq, Inc., investors need to believe in the company’s ability to drive growth by expanding its financial technology platforms and delivering product innovation, particularly through advanced AI. While the recent solid earnings report and stable dividend reinforce confidence, these do not fundamentally shift the biggest near-term catalyst, continued rollout and adoption of AI-driven solutions, nor alter the key risk of client decision-making delays in the Financial Technology segment.

Among recent developments, Nasdaq’s integration of AI functionality in its market surveillance platform stands out. This move may directly support the company’s catalyst of expanding its technology solutions, potentially enhancing client engagement and recurring revenue if adoption accelerates, though overall business momentum still hinges on broader client demand and market conditions.

Yet, amid the company’s progress, investors should keep an eye on how delays in client decisions for larger technology deals could impact future growth targets...

Read the full narrative on Nasdaq (it's free!)

Nasdaq's outlook suggests revenues of $6.1 billion and earnings of $2.0 billion by 2028. This reflects an annual revenue decline of 9.2% and an earnings increase of $0.5 billion from current earnings of $1.5 billion.

Uncover how Nasdaq's forecasts yield a $102.67 fair value, a 16% upside to its current price.

Exploring Other Perspectives

Seven individual fair value estimates from the Simply Wall St Community range from US$37.13 to US$256.45 per share. With client decision-making delays currently presenting a significant risk, these divergent views highlight just how differently future prospects can be assessed in today’s market.

Explore 7 other fair value estimates on Nasdaq - why the stock might be worth over 2x more than the current price!

Build Your Own Nasdaq Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Nasdaq research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Nasdaq research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Nasdaq's overall financial health at a glance.

Want Some Alternatives?

Our daily scans reveal stocks with breakout potential. Don't miss this chance:

• Explore 28 top quantum computing companies leading the revolution in next-gen technology and shaping the future with breakthroughs in quantum algorithms, superconducting qubits, and cutting-edge research.
• Find companies with promising cash flow potential yet trading below their fair value.
• These 15 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com