Nasdaq (NASDAQ:NDAQ) Issues Earnings Results, Beats Estimates By $0.05 EPS

Nasdaq (NASDAQ:NDAQ) released its earnings results on Thursday. The financial services provider reported $0.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.91 by $0.05, FiscalAI reports. Nasdaq had a return on equity of 16.28% and a net margin of 19.90%.The firm had revenue of $1.39 billion during the quarter, compared to analysts’ expectations of $1.37 billion.

Here are the key takeaways from Nasdaq’s conference call:

• Nasdaq reported a milestone year, surpassing $5 billion in annual net revenue and $4 billion in solutions revenue with 12% net revenue growth and ARR of $3.1 billion, meeting the top of its medium‑term outlook.
• Profitability and balance‑sheet metrics strengthened — operating income grew 16%, diluted EPS rose 24%, free cash flow was ~$2.2 billion (109% conversion), gross leverage finished at 2.9x, and Moody’s/S&P upgraded Nasdaq’s debt ratings.
• Financial technology momentum — FinTech revenue up 11% for the year (Q4 +12%), financial crime management up 24% in Q4, all G‑SIBs are now clients, and the new Agentic AI Workforce has seen strong early client adoption and cross‑sell progress.
• Capital‑markets franchises showed strength — record index net inflows of $99 billion (ETP AUM $882 billion), a record $1.2 trillion in listing transfers, a 72% listings win rate, and an active IPO/switch pipeline heading into 2026.
• Strategic initiatives carry upside but depend on approvals and execution — Nasdaq plans 23×5 trading (target H2 2026, subject to SEC approval) and filed a tokenized‑securities approach focused on interoperability and investor protection, with benefits contingent on regulator/infrastructure outcomes.

Nasdaq Stock Up 0.7%

Shares of NASDAQ:NDAQ traded up $0.72 during midday trading on Thursday, hitting $99.43. The stock had a trading volume of 1,040,224 shares, compared to its average volume of 3,130,168. The company has a market cap of $56.77 billion, a P/E ratio of 35.55, a PEG ratio of 1.47 and a beta of 1.01. Nasdaq has a 12 month low of $64.84 and a 12 month high of $101.79. The business’s 50-day simple moving average is $95.33 and its 200-day simple moving average is $92.52. The company has a quick ratio of 0.99, a current ratio of 0.99 and a debt-to-equity ratio of 0.72.

Insider Buying and Selling at Nasdaq

In other news, EVP Jeremy Skule sold 2,105 shares of the company’s stock in a transaction dated Monday, November 3rd. The shares were sold at an average price of $85.40, for a total value of $179,767.00. Following the sale, the executive vice president directly owned 84,974 shares of the company’s stock, valued at approximately $7,256,779.60. This represents a 2.42% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Adena T. Friedman sold 300,000 shares of Nasdaq stock in a transaction dated Friday, January 2nd. The stock was sold at an average price of $96.39, for a total value of $28,917,000.00. Following the transaction, the chief executive officer owned 1,924,903 shares of the company’s stock, valued at $185,541,400.17. The trade was a 13.48% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 306,605 shares of company stock worth $29,546,812 over the last quarter. 0.70% of the stock is currently owned by insiders.

Institutional Trading of Nasdaq

Institutional investors and hedge funds have recently bought and sold shares of the business. State Street Corp lifted its position in shares of Nasdaq by 7.7% in the third quarter. State Street Corp now owns 19,619,192 shares of the financial services provider’s stock valued at $1,735,318,000 after buying an additional 1,404,348 shares during the last quarter. Invesco Ltd. lifted its holdings in Nasdaq by 11.8% during the 3rd quarter. Invesco Ltd. now owns 5,044,521 shares of the financial services provider’s stock valued at $446,188,000 after purchasing an additional 532,775 shares during the last quarter. Northern Trust Corp lifted its holdings in Nasdaq by 2.9% during the 3rd quarter. Northern Trust Corp now owns 4,198,608 shares of the financial services provider’s stock valued at $371,367,000 after purchasing an additional 116,542 shares during the last quarter. Qube Research & Technologies Ltd boosted its position in Nasdaq by 129.0% during the third quarter. Qube Research & Technologies Ltd now owns 2,159,556 shares of the financial services provider’s stock worth $191,013,000 after purchasing an additional 1,216,580 shares during the period. Finally, AQR Capital Management LLC increased its holdings in shares of Nasdaq by 100.0% in the third quarter. AQR Capital Management LLC now owns 2,041,790 shares of the financial services provider’s stock valued at $180,596,000 after purchasing an additional 1,021,020 shares during the last quarter. Institutional investors own 72.47% of the company’s stock.

Analyst Ratings Changes

NDAQ has been the subject of several recent research reports. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Nasdaq in a research report on Friday, January 9th. TD Cowen reaffirmed a “hold” rating on shares of Nasdaq in a research report on Wednesday, January 14th. Raymond James Financial reaffirmed an “outperform” rating and set a $100.00 price target (up from $99.00) on shares of Nasdaq in a research note on Monday, October 13th. UBS Group reiterated a “buy” rating and issued a $120.00 price objective (up from $115.00) on shares of Nasdaq in a report on Monday, January 12th. Finally, Morgan Stanley restated an “overweight” rating and set a $113.00 target price (up previously from $111.00) on shares of Nasdaq in a report on Thursday, January 15th. Fourteen investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $103.67.

Nasdaq Company Profile

Nasdaq, Inc is a global financial technology company that operates one of the world’s leading electronic securities exchanges and provides a broad array of products and services to capital markets participants. Its core activities include operating the Nasdaq Stock Market and other trading venues, developing and supplying market technology and matching engines to exchanges and trading firms, licensing market data and indices, and offering clearing, trade execution and post-trade solutions. The company also provides market surveillance, risk management and regulatory technology used by exchanges and regulators.

Founded in 1971 by the National Association of Securities Dealers (NASD) as the first electronic stock market, Nasdaq has evolved into a diversified marketplace and technology provider.