Intercontinental Exchange (ICE) AI Stock Analysis

• Market Cap: $83.80B
• Dividend Yield: 1.29%
• Average Volume (3M): 4.15M
• Price to Earnings (P/E): 26.8
• Beta (1Y): 0.61
• Revenue Growth: 8.96%
• EPS Growth: 30.16%
• Country: US
• Employees: 12,842
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Data & Stock Exchanges
• EPS (TTM): 1.71
• Shares Outstanding: 570,178,600
• 10 Day Avg. Volume: 5,011,106
• 30 Day Avg. Volume: 4,153,335
• PEG Ratio: 2.17
• Price to Book (P/B): 3.09
• Price to Sales (P/S): 7.26
• P/FCF Ratio: 20.31
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 9.50
• Enterprise Value/Gross Profit: 14.92
• Enterprise Value/Ebitda: 17.66
• 1Y Price Target: $194.10
• Price Target Upside: 32.06% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $161.00 ▲(9.54% Upside)

Intercontinental Exchange's strong financial performance and positive earnings call results are the most significant factors contributing to the stock's score. However, bearish technical indicators and a relatively high valuation present risks. The company's strategic investments and AI-driven improvements offer growth potential, but challenges in the Mortgage Technology segment and client departures could impact future performance.

Positive Factors

Strong Cash Generation

Strong cash generation enhances financial flexibility, allowing ICE to invest in growth opportunities, reduce debt, and return capital to shareholders.

AI-Driven Operational Improvements

AI-driven improvements enhance operational efficiency, potentially reducing costs and improving service delivery, which can strengthen competitive positioning.

Record Third Quarter Results

Record quarterly results indicate robust business performance and effective strategic execution, supporting long-term growth prospects.

Negative Factors

Challenges in Mortgage Technology

Challenges in the Mortgage Technology segment could hinder revenue growth, affecting overall business performance and market competitiveness.

PennyMac Departure

The departure of a significant client like PennyMac may reduce recurring revenue, impacting long-term financial stability and growth.

Slowing Revenue Growth

Slowing revenue growth could signal challenges in market expansion and product adoption, potentially affecting future earnings and market share.

Intercontinental Exchange Business Overview & Revenue Model

Company Description

Intercontinental Exchange (ICE) is a global operator of financial and commodity markets, providing a platform for trading, clearing, and data services across various asset classes. Founded in 2000 and headquartered in Atlanta, Georgia, ICE operates multiple exchanges, including the New York Stock Exchange (NYSE), and offers a wide range of products and services that encompass futures, options, and over-the-counter (OTC) trading. The company also provides risk management and market data solutions, catering to a diverse clientele in the financial services, energy, and agricultural sectors.

How the Company Makes Money

ICE generates revenue through several key streams, primarily focusing on transaction fees, market data services, and clearing services. Transaction fees are earned from trades executed on its exchanges, where the company charges a fee per trade. Additionally, ICE generates significant income from its market data services, providing real-time and historical data to customers including financial institutions and trading firms. The clearing services offered by ICE, which involve the processing and settlement of trades, also contribute to its earnings through clearing fees. Strategic partnerships with financial institutions and technology firms enhance its service offerings and drive additional revenue streams, while acquisitions, such as the purchase of NYSE, have expanded its market presence and product range, further bolstering its financial performance.

Intercontinental Exchange Financial Statement Overview

Summary

Intercontinental Exchange exhibits strong profitability and cash generation, with efficient operations and a balanced capital structure. While revenue growth has slowed, the company maintains robust margins and a healthy balance sheet, positioning it well for future opportunities and challenges.

Income Statement

Intercontinental Exchange has demonstrated strong profitability with a consistent gross profit margin above 55% and a net profit margin around 27% in the TTM. However, the revenue growth rate has declined by 4.39% in the TTM, indicating a potential challenge in maintaining growth momentum. The EBIT and EBITDA margins are robust, reflecting efficient operations.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.68 in the TTM, suggesting a balanced approach to leverage. Return on equity has improved to 11.47%, indicating effective use of equity to generate profits. The equity ratio is stable, reflecting a solid capital structure.

Cash Flow

Cash flow analysis reveals a significant growth in free cash flow by 77.7% in the TTM, highlighting strong cash generation capabilities. The operating cash flow to net income ratio is low, which may suggest potential inefficiencies in converting income to cash. However, the free cash flow to net income ratio is healthy at 90.13%.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.00B	11.76B	9.90B	9.64B	9.17B	8.24B
Gross Profit	7.65B	6.52B	5.66B	5.20B	5.02B	4.30B
EBITDA	6.46B	6.08B	4.92B	3.46B	7.13B	3.87B
Net Income	3.23B	2.75B	2.37B	1.45B	4.06B	2.09B
Balance Sheet
Total Assets	140.90B	139.43B	136.08B	194.34B	193.50B	126.20B
Cash, Cash Equivalents and Short-Term Investments	2.22B	1.37B	2.11B	4.42B	607.00M	583.00M
Total Debt	19.51B	20.70B	22.91B	18.38B	14.17B	16.86B
Total Liabilities	112.19B	111.71B	110.30B	171.58B	170.75B	106.57B
Stockholders Equity	28.64B	27.65B	25.72B	22.71B	22.71B	19.50B
Cash Flow
Free Cash Flow	4.41B	4.20B	3.05B	3.07B	2.67B	2.47B
Operating Cash Flow	4.89B	4.61B	3.54B	3.55B	3.12B	2.88B
Investing Cash Flow	-2.09B	-921.00M	-8.80B	677.00M	-786.00M	-9.83B
Financing Cash Flow	1.86B	79.00M	-64.34B	-1.84B	62.03B	6.74B

Intercontinental Exchange Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 146.98
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ICE, the sentiment is Negative. The current price of 146.98 is below the 20-day moving average (MA) of 154.84, below the 50-day MA of 164.21, and below the 200-day MA of 170.31, indicating a bearish trend. The MACD of -4.68 indicates Positive momentum. The RSI at 28.28 is Positive, neither overbought nor oversold. The STOCH value of 15.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ICE.

Intercontinental Exchange Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CME	76 Outperform	$96.59B	25.96	13.35%	3.99%	5.84%	8.51%
CBOE	75 Outperform	$26.19B	26.87	21.51%	1.09%	16.74%	26.74%
SPGI	73 Outperform	$151.16B	36.29	12.57%	0.76%	9.04%	21.35%
NDAQ	73 Outperform	$49.03B	30.62	14.07%	1.17%	16.41%	68.03%
MCO	72 Outperform	$86.96B	39.19	57.08%	0.78%	8.77%	13.62%
ICE	71 Outperform	$83.80B	26.76	11.32%	1.29%	8.96%	30.16%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Intercontinental Exchange Corporate Events

Intercontinental Exchange Inc. Reports Record Q3 Earnings

Intercontinental Exchange Inc. (ICE) recently held its earnings call, revealing a quarter marked by record-breaking results and robust growth. The sentiment was overwhelmingly positive, driven by strategic investments and the implementation of artificial intelligence (AI) across various segments. However, challenges in the Mortgage Technology segment and the anticipated departure of a significant client, PennyMac, introduced some concerns.

Intercontinental Exchange Reports Strong Q3 2025 Results

Intercontinental Exchange Inc. (ICE) is a leading global provider of technology and data services, operating digital networks that facilitate financial transactions across various asset classes, including futures, equities, and options exchanges. ICE’s third quarter of 2025 showcased robust financial performance with net revenues reaching $2.4 billion, marking a 3% increase year-over-year. The company reported a GAAP diluted earnings per share of $1.42, a 25% rise from the previous year, and an adjusted diluted EPS of $1.71, reflecting a 10% increase. Operating income for the quarter was $1.2 billion, with an operating margin of 49%, while adjusted figures showed $1.4 billion in operating income and a 59% margin. ICE’s strategic investment in Polymarket highlights its commitment to innovation and expanding its footprint in decentralized prediction markets. Looking ahead, ICE remains focused on leveraging its technology and expertise to drive customer value and shareholder returns, with a continued emphasis on strategic growth initiatives.

Intercontinental Exchange Invests $2 Billion in Polymarket

On October 7, 2025, Intercontinental Exchange, Inc. announced a strategic investment of up to $2 billion in Polymarket, a prediction market platform. This move positions ICE as a global distributor of Polymarket’s event-driven data, offering sentiment indicators on market-relevant topics. The partnership aims to integrate prediction markets into the financial mainstream, leveraging ICE’s institutional scale and Polymarket’s innovative approach to deliver advanced products for investors. The investment is not expected to materially impact ICE’s 2025 financial results.

The most recent analyst rating on (ICE) stock is a Buy with a $202.00 price target. To see the full list of analyst forecasts on Intercontinental Exchange stock, see the ICE Stock Forecast page.

Intercontinental Exchange Expands Board with New Appointment

On September 18, 2025, Intercontinental Exchange, Inc. (ICE) announced the appointment of The Rt. Hon. the Lord Hill of Oareford CBE to its Board of Directors, expanding the board from 10 to 11 members. Lord Hill, who has a distinguished background in politics and business advisory roles, is expected to bring valuable geopolitical insights to ICE. His appointment is seen as a strategic move to leverage his extensive experience in financial regulation and international negotiations, potentially enhancing ICE’s industry positioning and stakeholder relations.

The most recent analyst rating on (ICE) stock is a Buy with a $200.00 price target. To see the full list of analyst forecasts on Intercontinental Exchange stock, see the ICE Stock Forecast page.

Intercontinental Exchange Updates Incorporation and Compliance Policies

On August 20, 2025, Intercontinental Exchange, Inc. made its Seventh Amended and Restated Certificate of Incorporation effective, extending limitations on stockholder voting and ownership to its subsidiary ICE Swap Trade, LLC, which is registered as a security-based swap execution facility (SBSEF) with the SEC. This amendment, previously approved by the board and stockholders, also expands SEC review requirements for amendments and updates the company’s registered agent address, reflecting the company’s ongoing compliance and operational adjustments in the regulatory landscape.

The most recent analyst rating on (ICE) stock is a Buy with a $202.00 price target. To see the full list of analyst forecasts on Intercontinental Exchange stock, see the ICE Stock Forecast page.