Tradeweb Markets (TW) AI Stock Analysis

• Market Cap: $25.90B
• Dividend Yield: 0.44%
• Average Volume (3M): 1.50M
• Price to Earnings (P/E): 37.4
• Beta (1Y): 0.42
• 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: 1,227,841
• 30 Day Avg. Volume: 1,497,290
• 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: 0.88
• Enterprise Value/Revenue: 11.40
• Enterprise Value/Gross Profit: 17.24
• Enterprise Value/Ebitda: 19.21
• 1Y Price Target: $137.92
• Price Target Upside: 25.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13
• EPS Forecast (FY): 3.43
• Revenue Forecast (FY): $2.05B

• Rating: 68 Neutral
• Price Target: $114.00 ▲(4.09% Upside)

Tradeweb Markets presents a strong financial position with consistent revenue growth and robust profitability. However, technical indicators suggest bearish momentum, and the stock appears overvalued based on its P/E ratio. Despite challenges in certain segments, the company remains optimistic about future growth, particularly in digital initiatives.

Positive Factors

Revenue Growth

Tradeweb's consistent revenue growth, driven by strong performance across various sectors, indicates a robust business model and expanding market presence.

International Expansion

Strong international growth reflects Tradeweb's successful global strategy, enhancing its competitive position and diversifying revenue streams.

Technological Advancements

Innovative trading solutions like AiEX and Portfolio Trading strengthen Tradeweb's market position, driving efficiency and client engagement.

Negative Factors

U.S. Treasuries Market Share Decline

A decline in U.S. Treasuries market share could impact Tradeweb's dominance in a key segment, potentially affecting future revenue.

ICD Business Volatility

Volatility in the ICD business may lead to revenue instability, posing a risk to consistent cash flow and financial predictability.

Fee Per Million Decrease

A decrease in fees per million in cash credit could pressure margins, affecting profitability in a competitive market environment.

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-based fees, which are charged each time a trade is executed on its platform. The company also earns revenue from subscription fees for access to its trading technology and services, which are used by clients to streamline their trading operations. Key revenue streams include fees from trading in fixed income products, derivatives, and equities, as well as additional services such as data analytics and post-trade processing. Significant partnerships with financial institutions and market participants enhance Tradeweb's liquidity and trading volumes, further contributing to its earnings.

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	1.32B	1.11B	877.91M	756.36M	669.19M	543.00M
EBITDA	1.18B	978.68M	681.10M	605.11M	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	1.03B	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: Neutral
• Last Price: 109.52
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TW, the sentiment is Neutral. The current price of 109.52 is above the 20-day moving average (MA) of 108.10, below the 50-day MA of 110.12, and below the 200-day MA of 129.50, indicating a neutral trend. The MACD of -0.28 indicates Negative momentum. The RSI at 52.16 is Neutral, neither overbought nor oversold. The STOCH value of 77.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TW.

Tradeweb Markets Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IBKR	80 Outperform	$29.41B	31.81	19.82%	0.43%	11.88%	28.96%
RJF	78 Outperform	$31.65B	15.41	17.72%	1.26%	6.55%	5.90%
MKTX	73 Outperform	$6.50B	29.76	15.88%	1.82%	3.96%	-20.33%
FUTU	73 Outperform	$23.08B	22.96	26.43%	―	66.97%	86.46%
TW	68 Neutral	$25.90B	37.40	10.51%	0.44%	22.17%	40.13%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
JEF	52 Neutral	$11.45B	19.12	6.29%	2.88%	-5.41%	25.28%

Tradeweb Markets Corporate Events

Tradeweb Markets Reports Strong Q3 2025 Results

Tradeweb Markets Inc., a prominent global operator of electronic marketplaces, specializes in facilitating trading across rates, credit, equities, and money markets. The company, headquartered in New York, is known for its advanced trading technologies and extensive client base spanning over 85 countries.

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.

Tradeweb Markets Reports Strong Q2 2025 Growth

Tradeweb Markets Inc., a global leader in electronic marketplaces for rates, credit, equities, and money markets, has reported a robust financial performance for the second quarter of 2025, showcasing significant growth across various metrics. The company, known for its advanced trading technologies, continues to enhance market access and trading efficiency for its clients worldwide.

Tradeweb Markets’ Earnings Call Highlights Robust Growth

Tradeweb Markets’ recent earnings call painted a picture of robust growth and strategic expansion, despite some challenges in specific market segments. The overall sentiment was positive, driven by record-breaking revenues and successful integration of acquisitions, which overshadowed the hurdles faced in the U.S. Treasuries market and the ICD business.