NASDAQ INC (NDAQ) Stock Fundamental Analysis
USA - NASDAQ:NDAQ - US6311031081 - Common Stock
87.845 USD
-0.09 (-0.11%)
Taking everything into account, NDAQ scores 5 out of 10 in our fundamental rating. NDAQ was compared to 237 industry peers in the Capital Markets industry. There are concerns on the financial health of NDAQ while its profitability can be described as average. While showing a medium growth rate, NDAQ is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year NDAQ was profitable.
In the past year NDAQ had a positive cash flow from operations.
NDAQ had positive earnings in each of the past 5 years.
Each year in the past 5 years NDAQ had a positive operating cash flow.
1.2 Ratios
NDAQ's Return On Assets of 4.96% is fine compared to the rest of the industry. NDAQ outperforms 67.51% of its industry peers.
NDAQ has a better Return On Equity (12.77%) than 67.09% of its industry peers.
The Return On Invested Capital of NDAQ (7.36%) is better than 79.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NDAQ is in line with the industry average of 7.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 12.77% | ||
| ROIC | 7.36% |
ROA(3y)4.12%
ROA(5y)4.69%
ROE(3y)12.69%
ROE(5y)14.23%
ROIC(3y)7.46%
ROIC(5y)7.97%
1.3 Margins
With a Profit Margin value of 18.59%, NDAQ perfoms like the industry average, outperforming 54.01% of the companies in the same industry.
NDAQ's Profit Margin has declined in the last couple of years.
NDAQ has a Operating Margin (27.06%) which is comparable to the rest of the industry.
NDAQ's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 60.60%, NDAQ is in the better half of the industry, outperforming 71.73% of the companies in the same industry.
In the last couple of years the Gross Margin of NDAQ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.06% | ||
| PM (TTM) | 18.59% | ||
| GM | 60.6% |
OM growth 3Y-0.88%
OM growth 5Y0.46%
PM growth 3Y-9.2%
PM growth 5Y-3.63%
GM growth 3Y2.64%
GM growth 5Y1.1%
2. Health
2.1 Basic Checks
The number of shares outstanding for NDAQ remains at a similar level compared to 1 year ago.
The number of shares outstanding for NDAQ has been increased compared to 5 years ago.
NDAQ has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.54 indicates that NDAQ is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.54, NDAQ is doing good in the industry, outperforming 73.42% of the companies in the same industry.
The Debt to FCF ratio of NDAQ is 4.30, which is a neutral value as it means it would take NDAQ, 4.30 years of fcf income to pay off all of its debts.
NDAQ's Debt to FCF ratio of 4.30 is fine compared to the rest of the industry. NDAQ outperforms 74.26% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that NDAQ is somewhat dependend on debt financing.
NDAQ has a Debt to Equity ratio (0.73) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 4.3 | ||
| Altman-Z | 2.54 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.96 indicates that NDAQ may have some problems paying its short term obligations.
With a Current ratio value of 0.96, NDAQ is not doing good in the industry: 60.76% of the companies in the same industry are doing better.
NDAQ has a Quick Ratio of 0.96. This is a bad value and indicates that NDAQ is not financially healthy enough and could expect problems in meeting its short term obligations.
NDAQ has a Quick ratio of 0.96. This is in the lower half of the industry: NDAQ underperforms 60.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.18% over the past year.
NDAQ shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.09% yearly.
Looking at the last year, NDAQ shows a very strong growth in Revenue. The Revenue has grown by 23.58%.
NDAQ shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.67% yearly.
EPS 1Y (TTM)14.18%
EPS 3Y3.77%
EPS 5Y11.09%
EPS Q2Q%23.19%
Revenue 1Y (TTM)23.58%
Revenue growth 3Y7.93%
Revenue growth 5Y11.67%
Sales Q2Q%12.68%
3.2 Future
Based on estimates for the next years, NDAQ will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.58% on average per year.
Based on estimates for the next years, NDAQ will show a small growth in Revenue. The Revenue will grow by 7.21% on average per year.
EPS Next Y21.16%
EPS Next 2Y16.25%
EPS Next 3Y14.76%
EPS Next 5Y12.58%
Revenue Next Year10.4%
Revenue Next 2Y8.77%
Revenue Next 3Y8.32%
Revenue Next 5Y7.21%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
Based on the Price/Earnings ratio of 27.98, the valuation of NDAQ can be described as expensive.
NDAQ's Price/Earnings ratio is a bit more expensive when compared to the industry. NDAQ is more expensive than 70.04% of the companies in the same industry.
NDAQ is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
NDAQ is valuated rather expensively with a Price/Forward Earnings ratio of 23.05.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NDAQ indicates a slightly more expensive valuation: NDAQ is more expensive than 62.87% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of NDAQ to the average of the S&P500 Index (22.85), we can say NDAQ is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.98 | ||
| Fwd PE | 23.05 |
4.2 Price Multiples
NDAQ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NDAQ is cheaper than 70.46% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as NDAQ.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.62 | ||
| EV/EBITDA | 20.88 |
4.3 Compensation for Growth
NDAQ's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of NDAQ may justify a higher PE ratio.
A more expensive valuation may be justified as NDAQ's earnings are expected to grow with 14.76% in the coming years.
PEG (NY)1.32
PEG (5Y)2.52
EPS Next 2Y16.25%
EPS Next 3Y14.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.18%, NDAQ has a reasonable but not impressive dividend return.
NDAQ's Dividend Yield is slightly below the industry average, which is at 8.24.
With a Dividend Yield of 1.18, NDAQ pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
5.2 History
On average, the dividend of NDAQ grows each year by 8.85%, which is quite nice.
NDAQ has paid a dividend for at least 10 years, which is a reliable track record.
NDAQ has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.85%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
NDAQ pays out 37.73% of its income as dividend. This is a sustainable payout ratio.
The dividend of NDAQ is growing, but earnings are growing more, so the dividend growth is sustainable.
DP37.73%
EPS Next 2Y16.25%
EPS Next 3Y14.76%
NASDAQ:NDAQ (10/17/2025, 11:14:59 AM)
87.845
-0.09 (-0.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners74.86%
Inst Owner Change-0.04%
Ins Owners0.54%
Ins Owner Change-0.45%
Market Cap50.41B
Analysts81.6
Price Target105.4 (19.98%)
Short Float %1.28%
Short Ratio1.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
Yearly Dividend0.94
Dividend Growth(5Y)8.85%
DP37.73%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.4%
Min EPS beat(2)0.42%
Max EPS beat(2)2.38%
EPS beat(4)3
Avg EPS beat(4)1.67%
Min EPS beat(4)-0.6%
Max EPS beat(4)4.49%
EPS beat(8)5
Avg EPS beat(8)1%
EPS beat(12)8
Avg EPS beat(12)1.23%
EPS beat(16)11
Avg EPS beat(16)1.74%
Revenue beat(2)1
Avg Revenue beat(2)-0.6%
Min Revenue beat(2)-1.51%
Max Revenue beat(2)0.31%
Revenue beat(4)1
Avg Revenue beat(4)-1.77%
Min Revenue beat(4)-3.94%
Max Revenue beat(4)0.31%
Revenue beat(8)3
Avg Revenue beat(8)-0.86%
Revenue beat(12)6
Avg Revenue beat(12)16.68%
Revenue beat(16)10
Avg Revenue beat(16)29.2%
PT rev (1m)0%
PT rev (3m)22.65%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.62%
EPS NY rev (1m)0.09%
EPS NY rev (3m)4.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.05%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)2.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.98 | ||
| Fwd PE | 23.05 | ||
| P/S | 6.21 | ||
| P/FCF | 23.62 | ||
| P/OCF | 21.38 | ||
| P/B | 4.27 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.88 |
EPS(TTM)3.14
EY3.57%
EPS(NY)3.81
Fwd EY4.34%
FCF(TTM)3.72
FCFY4.23%
OCF(TTM)4.11
OCFY4.68%
SpS14.14
BVpS20.58
TBVpS-16.13
PEG (NY)1.32
PEG (5Y)2.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 12.77% | ||
| ROCE | 9.66% | ||
| ROIC | 7.36% | ||
| ROICexc | 7.63% | ||
| ROICexgc | 198.88% | ||
| OM | 27.06% | ||
| PM (TTM) | 18.59% | ||
| GM | 60.6% | ||
| FCFM | 26.31% |
ROA(3y)4.12%
ROA(5y)4.69%
ROE(3y)12.69%
ROE(5y)14.23%
ROIC(3y)7.46%
ROIC(5y)7.97%
ROICexc(3y)7.79%
ROICexc(5y)8.72%
ROICexgc(3y)105.04%
ROICexgc(5y)113.14%
ROCE(3y)10.12%
ROCE(5y)10.74%
ROICexcg growth 3Y-7.3%
ROICexcg growth 5Y3.79%
ROICexc growth 3Y-12.6%
ROICexc growth 5Y-5.33%
OM growth 3Y-0.88%
OM growth 5Y0.46%
PM growth 3Y-9.2%
PM growth 5Y-3.63%
GM growth 3Y2.64%
GM growth 5Y1.1%
F-Score8
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 4.3 | ||
| Debt/EBITDA | 3.08 | ||
| Cap/Depr | 36.25% | ||
| Cap/Sales | 2.76% | ||
| Interest Coverage | 5.66 | ||
| Cash Conversion | 83.83% | ||
| Profit Quality | 141.51% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.54 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)47.2%
Cap/Depr(5y)58.66%
Cap/Sales(3y)2.61%
Cap/Sales(5y)2.79%
Profit Quality(3y)146.14%
Profit Quality(5y)125.99%
High Growth Momentum
Growth
EPS 1Y (TTM)14.18%
EPS 3Y3.77%
EPS 5Y11.09%
EPS Q2Q%23.19%
EPS Next Y21.16%
EPS Next 2Y16.25%
EPS Next 3Y14.76%
EPS Next 5Y12.58%
Revenue 1Y (TTM)23.58%
Revenue growth 3Y7.93%
Revenue growth 5Y11.67%
Sales Q2Q%12.68%
Revenue Next Year10.4%
Revenue Next 2Y8.77%
Revenue Next 3Y8.32%
Revenue Next 5Y7.21%
EBIT growth 1Y17.95%
EBIT growth 3Y6.98%
EBIT growth 5Y12.18%
EBIT Next Year19.17%
EBIT Next 3Y11.84%
EBIT Next 5Y9.08%
FCF growth 1Y37.59%
FCF growth 3Y23.48%
FCF growth 5Y15.68%
OCF growth 1Y38.3%
OCF growth 3Y21.43%
OCF growth 5Y15.02%