Nasdaq Inc. (NASDAQ: NDAQ) stock fell -2.00% on Friday to $57.40 against a previous-day closing price of $58.57. With 1.78 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.25 million shares. During the session, the Financial Data & Stock Exchanges company that operates in wider Financial sector, reached to the highest price of $58.37 whereas the lowest price it dropped to was $56.89. The 52-week range on NDAQ shows that it touched its highest point at $71.65 and its lowest point at $46.77 during that stretch. It currently has a 1-year price target of $65.44. With its current market cap of 28.24 billion, NDAQ has annualized dividend of $0.80 while the current yield stands at 1.39%. Beta for the stock currently stands at 0.95.
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 NDAQ was down-trending over the past week, with a drop of -6.07%, but this was down by -6.58% over a month. Three-month performance surged to 8.81% while six-month performance fell -1.11%. The stock lost -11.47% in the past year, while it has lost -18.00% so far this year. A look at the trailing 12-month EPS for NDAQ yields 2.26 with Next year EPS estimates of 2.81. For the next quarter, that number is 0.65. This implies an EPS growth rate of 26.10% for this year and 6.11% for next year. EPS is expected to grow by 7.57% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 61.60%.
Float and Shares Shorts:
At present, 492.24 million NDAQ shares are outstanding with a float of 340.92 million shares on hand for trading. On Jul 14, 2022, short shares totaled 2.31 million, which was 1.40% higher than short shares on Jun 14, 2022. In addition to Ms. Adena T. Friedman as the firm’s Pres, CEO & Director, Ms. Ann M. Dennison serves as its Exec. VP & CFO.
Through their ownership of 76.25% of NDAQ’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 41.97% of NDAQ, in contrast to 24.07% held by mutual funds. Shares owned by individuals account for 11.61%. As the largest shareholder in NDAQ with 7.57% of the stake, The Vanguard Group, Inc. holds 37,382,829 shares worth 37,382,829. A second-largest stockholder of NDAQ, Massachusetts Financial Services, holds 36,670,485 shares, controlling over 7.42% of the firm’s shares. Capital Research & Management Co is the third largest shareholder in NDAQ, holding 16,559,991 shares or 3.35% stake. With a 3.49% stake in NDAQ, the MFS Value Fund is the largest stakeholder. A total of 17,260,977 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.07% of NDAQ stock, is the second-largest Mutual Fund holder. It holds 10,236,276 shares valued at 609.37 million. Vanguard Mid Cap Index Fund holds 1.61% of the stake in NDAQ, owning 7,936,026 shares worth 472.43 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for NDAQ since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With NDAQ analysts setting a high price target of $80.33 and a low target of $21.67, the average target price over the next 12 months is $62.27. Based on these targets, NDAQ could surge 39.95% to reach the target high and fall by -62.25% to reach the target low. Reaching the average price target will result in a growth of 8.48% 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.
Dividends & Yield:
In terms of dividends, NDAQ has a current ratio of $0.8, which is $0.8 over the trailing 12-months, while a dividend of $0.63 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and NDAQ currently yields $1.32. In the past year, NDAQ’s dividend yield has been $1.32, but when looking at the stock over the past five years, its yield has been $1.58. Accordingly, NDAQ has a current buyback yield of $4.44. This was $4.44 for the TTM, and it was $2.13 for the past five years.
Summary of Insider Activity:
Insiders traded NDAQ stock several times over the past three months with 3 Buys and 10 Sells. In these transactions, 46,348 shares were bought while 12,127 shares were sold. The number of buy transactions has increased to 36 while that of sell transactions has risen to 53 over the past year. The total number of shares bought during that period was 544,059 while 285,610 shares were sold.