William Blair analyst Jeff Schmitt has maintained their bullish stance on NDAQ stock, giving a Buy rating today.
Jeff Schmitt has given his Buy rating due to a combination of factors that highlight Nasdaq’s robust business model and its capacity for consistent growth. The company reported a 13% increase in revenues on an adjusted basis, with a notable 11% growth in solutions revenues, showcasing its ability to thrive even amidst market challenges. The financial technology segment, particularly Verafin, continues to perform strongly, and the index franchise remains resilient despite market corrections.
Moreover, Nasdaq’s market services experienced a record quarter, benefiting from market volatility. The company’s strategic capital allocation is enhancing EPS growth, supported by margin expansion from operating leverage and disciplined expense management. Although there is some anticipation of short-term revenue challenges due to economic uncertainties and a difficult environment for the listings business, Schmitt believes these will be temporary. He expects Nasdaq to achieve mid-teens EPS growth for the year, driven by its financial technology segment, synergy realization, and ongoing margin improvements.
In another report released today, Barclays also maintained a Buy rating on the stock with a $84.00 price target.