Intercontinental Exchange Inc. (NYSE: ICE) stock jumped 4.29% on Friday to $107.44 against a previous-day closing price of $103.02. With 3.78 million shares changed hands, the volume of the stock remained heavier than its average volume of 3.34 million shares. During the session, the Financial Data & Stock Exchanges company that operates in wider Financial sector, reached to the highest price of $108.31 whereas the lowest price it dropped to was $106.12. The 52-week range on ICE shows that it touched its highest point at $139.79 and its lowest point at $90.05 during that stretch. It currently has a 1-year price target of $123.83. With its current market cap of 57.35 billion, ICE has annualized dividend of $1.52 while the current yield stands at 1.41%. Beta for the stock currently stands at 0.91.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of ICE was up-trending over the past week, with a rise of 4.76%, but this was up by 12.50% over a month. Three-month performance dropped to -2.20% while six-month performance fell -16.73%. The stock lost -10.11% in the past year, while it has lost -21.44% so far this year. A look at the trailing 12-month EPS for ICE yields 7.20 with Next year EPS estimates of 5.73. For the next quarter, that number is 1.27. This implies an EPS growth rate of 90.80% for this year and 8.07% for next year. EPS is expected to grow by 6.52% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 24.60%.
Float and Shares Shorts:
At present, 561.00 million ICE shares are outstanding with a float of 550.74 million shares on hand for trading. On Jul 14, 2022, short shares totaled 7.58 million, which was 1.36% higher than short shares on Jun 14, 2022. In addition to Mr. Jeffrey C. Sprecher as the firm’s Founder, Chairman & CEO, Mr. Benjamin R. Jackson serves as its Pres.
Through their ownership of 91.93% of ICE’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 48.32% of ICE, in contrast to 42.24% held by mutual funds. Shares owned by individuals account for 1.68%. As the largest shareholder in ICE with 7.59% of the stake, The Vanguard Group, Inc. holds 42,394,120 shares worth 42,394,120. A second-largest stockholder of ICE, SSgA Funds Management, Inc., holds 25,669,427 shares, controlling over 4.60% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in ICE, holding 25,542,457 shares or 4.58% stake. With a 2.95% stake in ICE, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 16,458,422 shares are owned by the mutual fund manager. The Vanguard 500 Index Fund, which owns about 2.21% of ICE stock, is the second-largest Mutual Fund holder. It holds 12,355,484 shares valued at 1.16 billion. T Rowe Price Capital Appreciation holds 1.31% of the stake in ICE, owning 7,318,975 shares worth 688.28 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for ICE since 15 analysts follow the stock currently. There are 8 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 4 believe that the stock is worth HOLDING, 3 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With ICE analysts setting a high price target of $155.00 and a low target of $95.00, the average target price over the next 12 months is $122.20. Based on these targets, ICE could surge 44.27% to reach the target high and fall by -11.58% to reach the target low. Reaching the average price target will result in a growth of 13.74% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. ICE will report FY 2022 earnings on 02/09/2023. Analysts have provided yearly estimates in a range of $5.54 being high and $5.17 being low. For ICE, this leads to a yearly average estimate of $5.34. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Intercontinental Exchange Inc. surprised analysts by $0.05 when it reported $1.32 EPS against a consensus estimate of $1.27. The surprise factor in the prior quarter was $0.01. Based on analyst estimates, the high estimate for the next quarter is $1.29 and the low estimate is $1.23. The average estimate for the next quarter is thus $1.27.
Summary of Insider Activity:
Insiders traded ICE stock several times over the past three months with 8 Buys and 11 Sells. In these transactions, 78,097 shares were bought while 96,943 shares were sold. The number of buy transactions has increased to 40 while that of sell transactions has risen to 94 over the past year. The total number of shares bought during that period was 556,864 while 729,850 shares were sold.