NASDAQ INC (NDAQ) Stock Fundamental Analysis
USA - NASDAQ:NDAQ - US6311031081 - Common Stock
85.7 USD
-1.38 (-1.58%)
86.24 USD
+0.54 (+0.63%)
NDAQ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. NDAQ has only an average score on both its financial health and profitability. 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.
Each year in the past 5 years NDAQ has been profitable.
Each year in the past 5 years NDAQ had a positive operating cash flow.
1.2 Ratios
NDAQ's Return On Assets of 5.30% is fine compared to the rest of the industry. NDAQ outperforms 73.84% of its industry peers.
NDAQ's Return On Equity of 13.52% is fine compared to the rest of the industry. NDAQ outperforms 72.15% of its industry peers.
NDAQ has a Return On Invested Capital of 7.71%. This is amongst the best in the industry. NDAQ outperforms 81.43% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NDAQ is in line with the industry average of 7.11%.
The 3 year average ROIC (7.46%) for NDAQ is below the current ROIC(7.71%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.3% | ||
| ROE | 13.52% | ||
| ROIC | 7.71% |
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
Looking at the Profit Margin, with a value of 19.89%, NDAQ is in line with its industry, outperforming 55.27% of the companies in the same industry.
NDAQ's Profit Margin has declined in the last couple of years.
The Operating Margin of NDAQ (28.43%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of NDAQ has remained more or less at the same level.
NDAQ's Gross Margin of 62.26% is fine compared to the rest of the industry. NDAQ outperforms 72.15% of its industry peers.
NDAQ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.43% | ||
| PM (TTM) | 19.89% | ||
| GM | 62.26% |
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
Compared to 1 year ago, NDAQ has about the same amount of shares outstanding.
Compared to 5 years ago, NDAQ has more shares outstanding
The debt/assets ratio for NDAQ has been reduced compared to a year ago.
2.2 Solvency
NDAQ has an Altman-Z score of 2.54. This is not the best score and indicates that NDAQ is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.54, NDAQ is in the better half of the industry, outperforming 73.84% of the companies in the same industry.
The Debt to FCF ratio of NDAQ is 4.34, which is a neutral value as it means it would take NDAQ, 4.34 years of fcf income to pay off all of its debts.
NDAQ has a better Debt to FCF ratio (4.34) than 73.84% of its industry peers.
NDAQ has a Debt/Equity ratio of 0.72. This is a neutral value indicating NDAQ is somewhat dependend on debt financing.
NDAQ has a Debt to Equity ratio (0.72) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.34 | ||
| Altman-Z | 2.54 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.99 indicates that NDAQ may have some problems paying its short term obligations.
NDAQ has a Current ratio (0.99) which is in line with its industry peers.
NDAQ has a Quick Ratio of 0.99. This is a bad value and indicates that NDAQ is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of NDAQ (0.99) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.99% 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.
The Revenue has grown by 16.44% in the past year. This is quite good.
The Revenue has been growing by 11.67% on average over the past years. This is quite good.
EPS 1Y (TTM)17.99%
EPS 3Y3.77%
EPS 5Y11.09%
EPS Q2Q%18.92%
Revenue 1Y (TTM)16.44%
Revenue growth 3Y7.93%
Revenue growth 5Y11.67%
Sales Q2Q%14.75%
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 13.25% on average per year.
The Revenue is expected to grow by 7.56% on average over the next years.
EPS Next Y23.68%
EPS Next 2Y17.06%
EPS Next 3Y15.24%
EPS Next 5Y13.25%
Revenue Next Year11.35%
Revenue Next 2Y9.37%
Revenue Next 3Y8.76%
Revenue Next 5Y7.56%
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
With a Price/Earnings ratio of 26.13, NDAQ can be considered very expensive at the moment.
NDAQ's Price/Earnings ratio is a bit more expensive when compared to the industry. NDAQ is more expensive than 69.62% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.56. NDAQ is around the same levels.
With a Price/Forward Earnings ratio of 22.18, NDAQ is valued on the expensive side.
NDAQ's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. NDAQ is more expensive than 62.03% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of NDAQ to the average of the S&P500 Index (34.62), we can say NDAQ is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.13 | ||
| Fwd PE | 22.18 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NDAQ indicates a somewhat cheap valuation: NDAQ is cheaper than 71.31% of the companies listed 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 | 23.44 | ||
| EV/EBITDA | 19.85 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
NDAQ has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NDAQ's earnings are expected to grow with 15.24% in the coming years.
PEG (NY)1.1
PEG (5Y)2.36
EPS Next 2Y17.06%
EPS Next 3Y15.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.24%, NDAQ has a reasonable but not impressive dividend return.
NDAQ's Dividend Yield is slightly below the industry average, which is at 8.48.
With a Dividend Yield of 1.24, NDAQ pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
5.2 History
On average, the dividend of NDAQ grows each year by 8.85%, which is quite nice.
NDAQ has been paying a dividend for at least 10 years, so it has a reliable track record.
NDAQ has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.85%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
NDAQ pays out 36.06% 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.
DP36.06%
EPS Next 2Y17.06%
EPS Next 3Y15.24%
85.7
-1.38 (-1.58%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners74.86%
Inst Owner Change0.56%
Ins Owners0.54%
Ins Owner Change-0.46%
Market Cap49.17B
Revenue(TTM)8.17B
Net Income(TTM)1.63B
Analysts81.54
Price Target107.04 (24.9%)
Short Float %1.5%
Short Ratio1.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend0.94
Dividend Growth(5Y)8.85%
DP36.06%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.1%
Min EPS beat(2)1.81%
Max EPS beat(2)2.38%
EPS beat(4)3
Avg EPS beat(4)1%
Min EPS beat(4)-0.6%
Max EPS beat(4)2.38%
EPS beat(8)5
Avg EPS beat(8)0.99%
EPS beat(12)8
Avg EPS beat(12)1.15%
EPS beat(16)11
Avg EPS beat(16)1.77%
Revenue beat(2)1
Avg Revenue beat(2)-0.11%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)0.31%
Revenue beat(4)1
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-1.92%
Max Revenue beat(4)0.31%
Revenue beat(8)3
Avg Revenue beat(8)-0.81%
Revenue beat(12)5
Avg Revenue beat(12)10.61%
Revenue beat(16)9
Avg Revenue beat(16)25.44%
PT rev (1m)1.55%
PT rev (3m)1.62%
EPS NQ rev (1m)2.48%
EPS NQ rev (3m)3.33%
EPS NY rev (1m)2.08%
EPS NY rev (3m)5.52%
Revenue NQ rev (1m)1.25%
Revenue NQ rev (3m)1.69%
Revenue NY rev (1m)0.85%
Revenue NY rev (3m)1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.13 | ||
| Fwd PE | 22.18 | ||
| P/S | 6.02 | ||
| P/FCF | 23.44 | ||
| P/OCF | 21.06 | ||
| P/B | 4.09 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.85 |
EPS(TTM)3.28
EY3.83%
EPS(NY)3.86
Fwd EY4.51%
FCF(TTM)3.66
FCFY4.27%
OCF(TTM)4.07
OCFY4.75%
SpS14.23
BVpS20.95
TBVpS-15.57
PEG (NY)1.1
PEG (5Y)2.36
Graham Number39.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.3% | ||
| ROE | 13.52% | ||
| ROCE | 10.12% | ||
| ROIC | 7.71% | ||
| ROICexc | 7.89% | ||
| ROICexgc | 120.36% | ||
| OM | 28.43% | ||
| PM (TTM) | 19.89% | ||
| GM | 62.26% | ||
| FCFM | 25.69% |
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%
ROICexgc growth 3Y-7.3%
ROICexgc 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 | 0.72 | ||
| Debt/FCF | 4.34 | ||
| Debt/EBITDA | 2.94 | ||
| Cap/Depr | 37.98% | ||
| Cap/Sales | 2.9% | ||
| Interest Coverage | 6.23 | ||
| Cash Conversion | 79.26% | ||
| Profit Quality | 129.11% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 | ||
| 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)17.99%
EPS 3Y3.77%
EPS 5Y11.09%
EPS Q2Q%18.92%
EPS Next Y23.68%
EPS Next 2Y17.06%
EPS Next 3Y15.24%
EPS Next 5Y13.25%
Revenue 1Y (TTM)16.44%
Revenue growth 3Y7.93%
Revenue growth 5Y11.67%
Sales Q2Q%14.75%
Revenue Next Year11.35%
Revenue Next 2Y9.37%
Revenue Next 3Y8.76%
Revenue Next 5Y7.56%
EBIT growth 1Y22.92%
EBIT growth 3Y6.98%
EBIT growth 5Y12.18%
EBIT Next Year19.17%
EBIT Next 3Y11.84%
EBIT Next 5Y9.28%
FCF growth 1Y29.27%
FCF growth 3Y23.48%
FCF growth 5Y15.68%
OCF growth 1Y31.7%
OCF growth 3Y21.43%
OCF growth 5Y15.02%
NASDAQ INC / NDAQ FAQ
What is the fundamental rating for NDAQ stock?
ChartMill assigns a fundamental rating of 5 / 10 to NDAQ.
What is the valuation status of NASDAQ INC (NDAQ) stock?
ChartMill assigns a valuation rating of 3 / 10 to NASDAQ INC (NDAQ). This can be considered as Overvalued.
What is the profitability of NDAQ stock?
NASDAQ INC (NDAQ) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for NDAQ stock?
The Price/Earnings (PE) ratio for NASDAQ INC (NDAQ) is 26.13 and the Price/Book (PB) ratio is 4.09.
What is the financial health of NASDAQ INC (NDAQ) stock?
The financial health rating of NASDAQ INC (NDAQ) is 4 / 10.