Tradeweb Markets (TW) AI Stock Analysis

• Market Cap: $24.59B
• Dividend Yield: 0.45%
• Average Volume (3M): 1.09M
• Price to Earnings (P/E): 35.5
• Beta (1Y): 0.47
• Revenue Growth: 22.17%
• EPS Growth: 40.13%
• Country: US
• Employees: 1,412
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.87
• Shares Outstanding: 116,487,930
• 10 Day Avg. Volume: 1,083,600
• 30 Day Avg. Volume: 1,086,595
• PEG Ratio: 1.53
• Price to Book (P/B): 4.81
• Price to Sales (P/S): 16.16
• P/FCF Ratio: 32.55
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 11.40
• Enterprise Value/Gross Profit: 17.09
• Enterprise Value/Ebitda: 19.21
• 1Y Price Target: $137.00
• Price Target Upside: 31.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $123.00 ▲(18.29% Upside)

The score is driven primarily by strong financial fundamentals (high margins, solid cash generation, and very low leverage). Earnings-call commentary reinforces healthy growth and international momentum, while technicals are only moderately supportive due to the stock still being below longer-term moving averages. Valuation (high P/E with low yield) is the main constraint on the overall score.

Positive Factors

High Profitability and Margins

Sustained high gross, EBITDA and net margins indicate a scalable, software-driven marketplace with strong pricing power and low incremental costs. These margins support reinvestment in platform improvements, shareholder returns, and resilience through revenue cycles over the next several months.

Conservative Balance Sheet

Extremely low leverage and a high equity ratio provide financial flexibility to fund growth initiatives, absorb temporary revenue shocks, and pursue M&A or tech investments without stressing cash flow, strengthening the firm's durability across market cycles.

Diversified International and Product Growth

Strong international growth, alongside outsized gains in swaps and equities, reflects broadening revenue streams beyond U.S. rates. Geographic and product diversification reduces dependence on any single market or instrument, supporting steadier top-line growth over the medium term.

Negative Factors

Revenue Sensitivity to Market Volatility

Fee-based trading revenues are materially tied to market volatility and volumes. Prolonged low volatility can compress transaction fees and trading activity, creating a persistent headwind to revenue growth until market structure or product mix shifts reduce this sensitivity.

U.S. Credit Revenue Weakness

A sharp drop in U.S. credit, especially retail corporate credit, signals concentration risk in that vertical. If retail participation or credit market structure remains weak, this segment could underperform for months, pressuring aggregate revenue and limiting margin upside.

Voice Trading Eroding Treasury Share

Persistent client preference for complex voice trades constrains electronic market share gains in U.S. treasuries. Structural limits on electronic penetration for package/complex trades may cap growth in a core product area and require strategic responses to regain share.

Tradeweb Markets Business Overview & Revenue Model

Company Description

Tradeweb Markets Inc. builds and operates electronic marketplaces in the Americas, Europe, the Middle East, Africa, Asia Pacific, and internationally. The company's marketplaces facilitate trading in a range of asset classes, including rates, credit, money markets, and equities. It offers pre-trade data and analytics, trade execution, and trade processing, as well as post-trade data, analytics, and reporting services. The company provides flexible order and trading systems to institutional investors in 45 markets across 25 currencies. It also offers a range of electronic, voice, and hybrid platforms to approximately 300 dealers and financial institutions on electronic or hybrid markets with Dealerweb platform; and trading solutions for financial advisory firms and traders with Tradeweb Direct platform. The company serves a network of approximately 2,500 clients in the institutional, wholesale, and retail client sectors. Its customers include asset managers, hedge funds, insurance companies, central banks, banks and dealers, proprietary trading firms, retail brokerage and financial advisory firms, and regional dealers. Tradeweb Markets Inc. was founded in 1996 and is headquartered in New York, New York. Tradeweb Markets Inc. is a subsidiary of Refinitiv Parent Limited.

How the Company Makes Money

Tradeweb generates revenue primarily through transaction fees and subscription services. The company charges clients a fee based on the volume of trades executed on its platforms, which constitutes a significant portion of its revenue. Additionally, Tradeweb offers subscription-based access to its trading systems, providing clients with real-time data, analytics, and execution capabilities. Key revenue streams include fees from trading in fixed income products, derivatives, and equities. Partnerships with major financial institutions and investment firms enhance Tradeweb's market presence and contribute to its earnings by expanding its client base and increasing trading volumes on its platforms.

Tradeweb Markets Financial Statement Overview

Summary

Tradeweb Markets demonstrates strong financial performance with consistent revenue growth and robust profitability. The income statement reflects a stable and growing business with solid profitability metrics, while the balance sheet shows low leverage and financial stability. Cash flow metrics indicate strong cash generation and efficient cash management.

Income Statement

Tradeweb Markets demonstrates strong financial performance with consistent revenue growth, evidenced by a 3.09% increase in TTM revenue. The company maintains robust profitability, with a gross profit margin of 66.39% and a net profit margin of 31.59% in TTM, reflecting efficient cost management. EBIT and EBITDA margins are also healthy at 33.05% and 52.11%, respectively, indicating strong operational efficiency. Overall, the income statement reflects a stable and growing business with solid profitability metrics.

Balance Sheet

The balance sheet of Tradeweb Markets is strong, characterized by a low debt-to-equity ratio of 0.0216 in TTM, indicating minimal leverage and financial risk. The return on equity is 10.86%, showcasing effective use of equity to generate profits. The equity ratio stands at 78.56%, highlighting a solid capital structure with a significant proportion of assets financed by equity. Overall, the balance sheet reflects financial stability and prudent management of liabilities.

Cash Flow

Tradeweb Markets exhibits healthy cash flow metrics, with a 5.42% growth in free cash flow in TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 6.36, suggesting efficient conversion of income into cash. The free cash flow to net income ratio is 0.95, reflecting effective cash management. Overall, the cash flow statement indicates robust cash generation and efficient cash utilization.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.99B	1.73B	1.34B	1.19B	1.08B	892.66M
Gross Profit	1.33B	1.13B	877.91M	756.36M	669.19M	543.00M
EBITDA	1.18B	978.68M	681.10M	617.82M	542.88M	428.57M
Net Income	630.01M	501.51M	364.87M	309.34M	226.83M	166.30M
Balance Sheet
Total Assets	8.00B	7.27B	7.06B	6.26B	5.99B	5.68B
Cash, Cash Equivalents and Short-Term Investments	1.91B	1.34B	1.71B	1.26B	973.05M	792.28M
Total Debt	135.63M	35.75M	49.08M	27.94M	24.33M	34.46M
Total Liabilities	1.06B	869.11M	1.13B	713.82M	681.24M	660.69M
Stockholders Equity	6.28B	5.80B	5.37B	4.95B	4.65B	4.30B
Cash Flow
Free Cash Flow	1.02B	856.78M	684.33M	572.73M	526.67M	400.70M
Operating Cash Flow	1.09B	897.74M	746.09M	632.82M	578.02M	443.23M
Investing Cash Flow	-138.01M	-969.19M	-132.76M	-60.10M	-259.11M	-62.54M
Financing Cash Flow	-222.56M	-290.26M	-168.17M	-276.70M	-136.10M	-52.69M

Tradeweb Markets Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 103.98
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TW, the sentiment is Negative. The current price of 103.98 is below the 20-day moving average (MA) of 106.62, below the 50-day MA of 107.02, and below the 200-day MA of 124.87, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 41.54 is Neutral, neither overbought nor oversold. The STOCH value of 33.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TW.

Tradeweb Markets Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RJF	76 Outperform	$33.12B	16.29	17.64%	1.26%	6.45%	5.85%
IBKR	75 Outperform	$31.38B	33.95	19.82%	0.46%	11.88%	28.96%
TW	73 Outperform	$24.59B	35.47	10.51%	0.45%	22.17%	40.13%
FUTU	70 Outperform	$25.06B	20.12	30.24%	―	81.43%	119.47%
MKTX	68 Neutral	$6.27B	28.71	15.88%	1.66%	3.96%	-20.33%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
JEF	63 Neutral	$12.59B	22.00	6.36%	2.52%	-5.41%	25.28%

Tradeweb Markets Corporate Events

Tradeweb Markets Amends Long-Term Market Data Agreements

On December 31, 2025, Tradeweb Markets LLC entered into a series of amendments, effective November 1, 2025, to its master data license agreement with Refinitiv US LLC and Refinitiv US Organization LLC, affiliates of London Stock Exchange Group, revising several data schedules after a prior schedule terminated on October 31, 2024. Under the amended and restated data schedules, Tradeweb will continue to license certain fixed income and derivatives market data, including real-time feeds, to Refinitiv and its affiliates in exchange for a mix of fixed license fees and revenue-based fees, with an initial term running from November 1, 2025, through October 31, 2028, renewable for up to two additional two-year periods and featuring an optional 12‑month transition period to support orderly changes to data distribution arrangements, thereby reinforcing Tradeweb’s long-term data partnership with its controlling shareholder’s affiliates and securing a multi-year revenue framework from its market data business.

The most recent analyst rating on (TW) stock is a Hold with a $119.00 price target. To see the full list of analyst forecasts on Tradeweb Markets stock, see the TW Stock Forecast page.

Tradeweb Markets Renews Data Agreement with Refinitiv

Tradeweb Markets LLC has reached an agreement-in-principle with Refinitiv US LLC and Refinitiv US Organization LLC to renew their current data schedules under the master data license agreement for an additional three-year term, effective retrospectively from November 1, 2025. This renewal reflects the enhanced quality of data provided by Tradeweb Markets and is subject to final documentation and board approval. Additionally, Tradeweb Markets reported strong financial results for the third quarter of 2025, with a 13.3% increase in quarterly revenues and a 61.7% rise in net income compared to the previous year. The company achieved record trading volumes and average daily volume, driven by growth across rates, equities, and money markets. Tradeweb continues to innovate and expand its market presence, including advancements in electronic trading and global settlement networks.

The most recent analyst rating on (TW) stock is a Buy with a $122.00 price target. To see the full list of analyst forecasts on Tradeweb Markets stock, see the TW Stock Forecast page.