NASDAQ INC (NDAQ)
US6311031081 - Common Stock
Overall NDAQ gets a fundamental rating of 4 out of 10. We evaluated NDAQ against 210 industry peers in the Capital Markets industry. NDAQ has a medium profitability rating, but doesn't score so well on its financial health evaluation. NDAQ is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NDAQ had positive earnings in the past year.
NDAQ had a positive operating cash flow in the past year.
NDAQ had positive earnings in each of the past 5 years.
In the past 5 years NDAQ always reported a positive cash flow from operatings.
1.2 Ratios
NDAQ has a Return On Assets (3.28%) which is in line with its industry peers.
NDAQ's Return On Equity of 9.80% is in line compared to the rest of the industry. NDAQ outperforms 50.96% of its industry peers.
NDAQ has a Return On Invested Capital of 5.81%. This is in the better half of the industry: NDAQ outperforms 65.38% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NDAQ is in line with the industry average of 8.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.28% | ||
| ROE | 9.8% | ||
| ROIC | 5.81% |
ROA(3y)4.86%
ROA(5y)5.06%
ROE(3y)15.55%
ROE(5y)14.97%
ROIC(3y)8.45%
ROIC(5y)8.29%
1.3 Margins
Looking at the Profit Margin, with a value of 17.48%, NDAQ is in line with its industry, outperforming 48.08% of the companies in the same industry.
In the last couple of years the Profit Margin of NDAQ has grown nicely.
NDAQ has a Operating Margin (29.78%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of NDAQ has grown nicely.
Looking at the Gross Margin, with a value of 64.25%, NDAQ is in the better half of the industry, outperforming 63.94% of the companies in the same industry.
NDAQ's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.78% | ||
| PM (TTM) | 17.48% | ||
| GM | 64.25% |
OM growth 3Y7.45%
OM growth 5Y3.96%
PM growth 3Y1.74%
PM growth 5Y10.28%
GM growth 3Y7.58%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
Compared to 1 year ago, NDAQ has more shares outstanding
NDAQ has more shares outstanding than it did 5 years ago.
NDAQ has a worse debt/assets ratio than last year.
2.2 Solvency
NDAQ has an Altman-Z score of 1.68. This is a bad value and indicates that NDAQ is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.68, NDAQ is in the better half of the industry, outperforming 68.27% of the companies in the same industry.
NDAQ has a debt to FCF ratio of 6.80. This is a slightly negative value and a sign of low solvency as NDAQ would need 6.80 years to pay back of all of its debts.
NDAQ has a Debt to FCF ratio of 6.80. This is comparable to the rest of the industry: NDAQ outperforms 57.21% of its industry peers.
NDAQ has a Debt/Equity ratio of 0.97. This is a neutral value indicating NDAQ is somewhat dependend on debt financing.
NDAQ has a Debt to Equity ratio (0.97) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 6.8 | ||
| Altman-Z | 1.68 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
NDAQ has a Current Ratio of 1.01. This is a normal value and indicates that NDAQ is financially healthy and should not expect problems in meeting its short term obligations.
NDAQ has a Current ratio (1.01) which is in line with its industry peers.
NDAQ has a Quick Ratio of 1.01. This is a normal value and indicates that NDAQ is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.01, NDAQ is in line with its industry, outperforming 42.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
NDAQ shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.12%.
NDAQ shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.94% yearly.
Looking at the last year, NDAQ shows a decrease in Revenue. The Revenue has decreased by -2.60% in the last year.
The Revenue has been growing slightly by 7.23% on average over the past years.
EPS 1Y (TTM)6.12%
EPS 3Y11.23%
EPS 5Y11.94%
EPS growth Q2Q12.5%
Revenue 1Y (TTM)-2.6%
Revenue growth 3Y2.52%
Revenue growth 5Y7.23%
Revenue growth Q2Q4.11%
3.2 Future
Based on estimates for the next years, NDAQ will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.58% on average per year.
NDAQ is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.00% yearly.
EPS Next Y0.28%
EPS Next 2Y6.14%
EPS Next 3Y8.3%
EPS Next 5Y9.58%
Revenue Next Year20.56%
Revenue Next 2Y13.44%
Revenue Next 3Y11.66%
Revenue Next 5Y10%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.30 indicates a rather expensive valuation of NDAQ.
NDAQ's Price/Earnings ratio is a bit more expensive when compared to the industry. NDAQ is more expensive than 66.35% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.20, NDAQ is valued at the same level.
The Price/Forward Earnings ratio is 21.24, which indicates a rather expensive current valuation of NDAQ.
Based on the Price/Forward Earnings ratio, NDAQ is valued a bit more expensive than 63.94% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.63. NDAQ is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.3 | ||
| Fwd PE | 21.24 |
4.2 Price Multiples
NDAQ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NDAQ is cheaper than 63.46% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as NDAQ.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.57 | ||
| EV/EBITDA | 20.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NDAQ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)74.9
PEG (5Y)1.78
EPS Next 2Y6.14%
EPS Next 3Y8.3%
5. Dividend
5.1 Amount
NDAQ has a Yearly Dividend Yield of 1.43%. Purely for dividend investing, there may be better candidates out there.
NDAQ's Dividend Yield is slightly below the industry average, which is at 7.77.
Compared to an average S&P500 Dividend Yield of 2.44, NDAQ's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
5.2 History
On average, the dividend of NDAQ grows each year by 8.05%, which is quite nice.
NDAQ has paid a dividend for at least 10 years, which is a reliable track record.
NDAQ has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.05%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
NDAQ pays out 41.60% of its income as dividend. This is a bit on the high side, but may be sustainable.
NDAQ's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP41.6%
EPS Next 2Y6.14%
EPS Next 3Y8.3%
NASDAQ INC
NASDAQ:NDAQ (4/26/2024, 9:41:02 AM)
60.28
-0.01 (-0.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap34.71B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.3 | ||
| Fwd PE | 21.24 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)74.9
PEG (5Y)1.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.28% | ||
| ROE | 9.8% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 29.78% | ||
| PM (TTM) | 17.48% | ||
| GM | 64.25% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)6.12%
EPS 3Y11.23%
EPS 5Y
EPS growth Q2Q
EPS Next Y0.28%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-2.6%
Revenue growth 3Y2.52%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y