Rothschild Redburn downgrades Tradeweb Markets stock on growth concerns

Published 18/09/2025, 10:08
Rothschild Redburn downgrades Tradeweb Markets stock on growth concerns

Investing.com - Rothschild Redburn downgraded Tradeweb Markets (NASDAQ:TW) from Buy to Neutral on Thursday, while reducing its price target to $129.00 from $157.00. The electronic trading platform, currently trading at $117.21, has seen its shares decline 16.38% over the past six months. According to InvestingPro analysis, the stock’s RSI suggests it’s in oversold territory.

The downgrade reflects growing market concerns about broader challenges in fixed-income trading and the company’s growth outlook, according to the research firm. Despite these concerns, InvestingPro data shows Tradeweb maintains strong fundamentals with a 94.2% gross profit margin and 28.05% revenue growth in the last twelve months.

Rothschild Redburn noted that Tradeweb has benefited from strong structural growth tailwinds over the past five years, often gaining at the expense of MarketAxess’s growth and market share performance.

The firm expects Tradeweb’s growth over the next five years to remain strong but fall below what investors have come to expect from the electronic trading platform.

While Tradeweb maintained a significant premium valuation in early 2025 compared to MarketAxess, its premium has started to erode in recent months, with its share price performance suffering as market concerns have increased.

In other recent news, Tradeweb Markets Inc . reported an 11.3% increase in average daily trading volume for August 2025, reaching $2.5 trillion. The total trading volume for the month was $54.1 trillion across various markets, including rates, credit, equities, and money markets. In its Q2 2025 earnings report, Tradeweb slightly exceeded expectations with earnings per share of $0.87, just above the forecasted $0.86, although there was a minor revenue miss. Despite these positive earnings, Goldman Sachs downgraded Tradeweb’s stock from Buy to Neutral, citing growth concerns, and set a price target of $136.00. Conversely, Barclays raised its price target for Tradeweb to $170.00 from $152.00, maintaining an Overweight rating and acknowledging the company’s earnings performance. These developments highlight differing perspectives among analysts regarding Tradeweb’s future growth prospects.

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