INTERCONTINENTAL EXCHANGE IN (ICE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ICE - US45866F1049 - Common Stock
175.1 USD
+2.17 (+1.25%)
175.1 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to ICE. ICE was compared to 237 industry peers in the Capital Markets industry. ICE has an average financial health and profitability rating. ICE is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- ICE had positive earnings in the past year.
- ICE had a positive operating cash flow in the past year.
- In the past 5 years ICE has always been profitable.
- In the past 5 years ICE always reported a positive cash flow from operatings.
1.2 Ratios
- ICE has a Return On Assets (2.24%) which is comparable to the rest of the industry.
- ICE's Return On Equity of 11.04% is fine compared to the rest of the industry. ICE outperforms 64.98% of its industry peers.
- ICE has a better Return On Invested Capital (7.58%) than 79.75% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ICE is in line with the industry average of 7.27%.
- The 3 year average ROIC (6.58%) for ICE is below the current ROIC(7.58%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | 11.04% | ||
| ROIC | 7.58% |
ROA(3y)1.49%
ROA(5y)1.64%
ROE(3y)8.51%
ROE(5y)10.82%
ROIC(3y)6.58%
ROIC(5y)6.59%
1.3 Margins
- Looking at the Profit Margin, with a value of 25.24%, ICE is in the better half of the industry, outperforming 64.14% of the companies in the same industry.
- ICE's Profit Margin has declined in the last couple of years.
- ICE's Operating Margin of 38.60% is fine compared to the rest of the industry. ICE outperforms 70.04% of its industry peers.
- ICE's Operating Margin has declined in the last couple of years.
- ICE has a better Gross Margin (77.83%) than 83.97% of its industry peers.
- ICE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.6% | ||
| PM (TTM) | 25.24% | ||
| GM | 77.83% |
OM growth 3Y-1.05%
OM growth 5Y-1.69%
PM growth 3Y-19.12%
PM growth 5Y-4.53%
GM growth 3Y0.41%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
- Compared to 1 year ago, ICE has about the same amount of shares outstanding.
- The number of shares outstanding for ICE has been increased compared to 5 years ago.
- Compared to 1 year ago, ICE has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.93, we must say that ICE is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 0.93, ICE perfoms like the industry average, outperforming 53.16% of the companies in the same industry.
- The Debt to FCF ratio of ICE is 4.65, which is a neutral value as it means it would take ICE, 4.65 years of fcf income to pay off all of its debts.
- ICE's Debt to FCF ratio of 4.65 is fine compared to the rest of the industry. ICE outperforms 71.73% of its industry peers.
- ICE has a Debt/Equity ratio of 0.62. This is a neutral value indicating ICE is somewhat dependend on debt financing.
- ICE has a better Debt to Equity ratio (0.62) than 62.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.65 | ||
| Altman-Z | 0.93 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- ICE has a Current Ratio of 1.01. This is a normal value and indicates that ICE is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.01, ICE perfoms like the industry average, outperforming 44.73% of the companies in the same industry.
- A Quick Ratio of 1.01 indicates that ICE should not have too much problems paying its short term obligations.
- ICE has a Quick ratio (1.01) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 14.97% over the past year.
- ICE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.42% yearly.
- Looking at the last year, ICE shows a quite strong growth in Revenue. The Revenue has grown by 9.92% in the last year.
- ICE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.43% yearly.
EPS 1Y (TTM)14.97%
EPS 3Y5.7%
EPS 5Y9.42%
EPS Q2Q%10.32%
Revenue 1Y (TTM)9.92%
Revenue growth 3Y8.66%
Revenue growth 5Y12.43%
Sales Q2Q%2.64%
3.2 Future
- Based on estimates for the next years, ICE will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.53% on average per year.
- ICE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.77% yearly.
EPS Next Y15.08%
EPS Next 2Y11.72%
EPS Next 3Y11.71%
EPS Next 5Y10.53%
Revenue Next Year6.64%
Revenue Next 2Y6.13%
Revenue Next 3Y6.09%
Revenue Next 5Y5.77%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- ICE is valuated quite expensively with a Price/Earnings ratio of 25.90.
- ICE's Price/Earnings ratio is a bit more expensive when compared to the industry. ICE is more expensive than 67.51% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, ICE is valued at the same level.
- A Price/Forward Earnings ratio of 23.11 indicates a rather expensive valuation of ICE.
- ICE's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, ICE is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.9 | ||
| Fwd PE | 23.11 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ICE indicates a somewhat cheap valuation: ICE is cheaper than 75.53% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, ICE is valued a bit cheaper than 61.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.4 | ||
| EV/EBITDA | 18.19 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- ICE has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.72
PEG (5Y)2.75
EPS Next 2Y11.72%
EPS Next 3Y11.71%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.10%, ICE has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 5.87, ICE is paying slightly less dividend.
- ICE's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.1% |
5.2 History
- On average, the dividend of ICE grows each year by 10.37%, which is quite nice.
- ICE has paid a dividend for at least 10 years, which is a reliable track record.
- ICE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.37%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
- 34.47% of the earnings are spent on dividend by ICE. This is a low number and sustainable payout ratio.
- ICE's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP34.47%
EPS Next 2Y11.72%
EPS Next 3Y11.71%
INTERCONTINENTAL EXCHANGE IN / ICE FAQ
What is the fundamental rating for ICE stock?
ChartMill assigns a fundamental rating of 5 / 10 to ICE.
Can you provide the valuation status for INTERCONTINENTAL EXCHANGE IN?
ChartMill assigns a valuation rating of 3 / 10 to INTERCONTINENTAL EXCHANGE IN (ICE). This can be considered as Overvalued.
What is the profitability of ICE stock?
INTERCONTINENTAL EXCHANGE IN (ICE) has a profitability rating of 6 / 10.
What are the PE and PB ratios of INTERCONTINENTAL EXCHANGE IN (ICE) stock?
The Price/Earnings (PE) ratio for INTERCONTINENTAL EXCHANGE IN (ICE) is 25.9 and the Price/Book (PB) ratio is 3.49.
What is the expected EPS growth for INTERCONTINENTAL EXCHANGE IN (ICE) stock?
The Earnings per Share (EPS) of INTERCONTINENTAL EXCHANGE IN (ICE) is expected to grow by 15.08% in the next year.