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MarketAxess Holdings Inc. (MKTX) stock has touched a 52-week low, dipping to $191.91, as investors navigate through a landscape of fluctuating interest rates and shifting economic indicators. According to InvestingPro data, the stock’s RSI indicates oversold territory, while the company maintains a "GOOD" Financial Health score with strong profitability metrics. The leading electronic trading platform for fixed-income securities has seen its shares retreat significantly over the past year, with a 1-year change showing a decline of -14.91%. Despite the downturn, the company maintains strong fundamentals with an 8.6% revenue growth and has raised its dividend for 11 consecutive years. This downturn reflects broader market trends and challenges within the fintech sector, as MarketAxess grapples with competitive pressures and evolving market dynamics. Investors are closely monitoring the company’s strategic moves to revitalize growth and regain momentum in the face of these headwinds. For deeper insights into MKTX’s valuation and growth prospects, access the comprehensive Pro Research Report available on InvestingPro.
In other recent news, MarketAxess has been the subject of several analyst adjustments following its recent financial performance. Keefe, Bruyette & Woods (KBW) reduced the price target for MarketAxess from $251.00 to $225.00, maintaining a Market Perform rating. The revision came after MarketAxess reported slightly higher earnings per share (EPS), attributed to increased revenues, lower expenses, and a lower tax rate, offset by higher nonoperating expenses and a rise in share count.
Citi analysts also adjusted their price target for the company, reducing it from $325 to $300 while maintaining a Buy rating. This followed MarketAxess’s December report, which showed a total credit average daily volume (ADV) of $12.3 billion, a 14% sequential decrease and flat compared to the same period last year.
In the face of these adjustments, MarketAxess reported disappointing November trading data, with a 3% sequential decline from October levels. The company’s U.S. high-grade segment saw a 5% decrease from the previous month, and its high-yield ADV saw a 31% year-over-year and 12% month-over-month decline. Despite these setbacks, MarketAxess reported a 15% year-over-year increase in emerging markets ADV and a 5% growth in municipal bond ADV.
These are among the recent developments for MarketAxess, as analysts continue to monitor its performance and adjust their expectations accordingly. As 2025 approaches, both KBW and Citi anticipate changes in the company’s market share and industry volumes, which could potentially impact its stock performance.
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