We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
MarketAxess (MKTX) Boosts Trading for Emerging Market Bonds
Read MoreHide Full Article
MarketAxess Holdings Inc. (MKTX - Free Report) recently announced the launch of Open Trading for local currency bonds of Poland, Czech Republic, Hungary and South Africa. This move enhances MKTX’s award-winning emerging market (EM) trading product, as traders can now trade in these bonds with an all-to-all solution. MKTX also completed the acquisition of Pragma, further enhancing its artificial intelligence-powered technology solutions for clients.
With the launch of Open Trading for the four local currency markets, MKTX’s offerings will be enhanced, thereby improving trader retention and satisfaction. As its end-to-end global EM offerings are improved, local dealers can connect to international buyers, and hence liquidity will improve. Improvement in liquidity will reinforce the main aim of an electronic trading platform i.e., to improve trading outcomes and lower transaction costs.
This move builds on MKTX’s Open Trading core value proposition of providing access to non-dealer counterparties, which are unavailable in traditional inter-dealer networks. This will further deliver real price improvements and improve efficiency in trading. The company’s acquisition of Pragma should boost the efficiency of its trading platform.
This move is expected to improve MKTX’s trading volume in the future. Higher trading volumes are expected to drive the company’s most significant top-line contributor, which is commissions. In the first half of 2023, EM local currency bonds contributed 40% to MKTX’s global EM volumes. Moreover, the company aims to expand Open Trading to more local currencies next year.
Shares of MarketAxess lost 6.8% in the past month compared with the industry’s 3% decline. Nevertheless, its strong fundamentals are likely to help shares bounce back in the days ahead.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Presently, MarketAxess carries a Zacks Rank #3 (Hold).
Axos Financial’s earnings surpassed estimates in each of the last four quarters, the average surprise being 11.6%. The Zacks Consensus Estimate for AX’s 2023 earnings and revenues indicates a rise of 6.9% and 14.2%, respectively, from the year-ago actuals.
The bottom line of Houlihan Lokey beat estimates in three of the trailing four quarters, missing once, the average beat being 7.4%. The Zacks Consensus Estimate for HLI’s 2023 revenues indicates a rise of 2.8% from the year-ago tally. The consensus mark for HLI’s 2023 earnings has moved 0.2% north in the past 60 days.
MidCap Financial Investment’s earnings outpaced estimates in three of the trailing four quarters and missed the mark once, the average surprise being 5.7%. The Zacks Consensus Estimate for MFIC’s 2023 earnings and revenues indicates a rise of 13.4% and 19.4% from the respective year-ago actuals. The consensus mark for MFIC’s 2023 earnings has moved 0.6% north in the past 60 days.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
MarketAxess (MKTX) Boosts Trading for Emerging Market Bonds
MarketAxess Holdings Inc. (MKTX - Free Report) recently announced the launch of Open Trading for local currency bonds of Poland, Czech Republic, Hungary and South Africa. This move enhances MKTX’s award-winning emerging market (EM) trading product, as traders can now trade in these bonds with an all-to-all solution. MKTX also completed the acquisition of Pragma, further enhancing its artificial intelligence-powered technology solutions for clients.
With the launch of Open Trading for the four local currency markets, MKTX’s offerings will be enhanced, thereby improving trader retention and satisfaction. As its end-to-end global EM offerings are improved, local dealers can connect to international buyers, and hence liquidity will improve. Improvement in liquidity will reinforce the main aim of an electronic trading platform i.e., to improve trading outcomes and lower transaction costs.
This move builds on MKTX’s Open Trading core value proposition of providing access to non-dealer counterparties, which are unavailable in traditional inter-dealer networks. This will further deliver real price improvements and improve efficiency in trading. The company’s acquisition of Pragma should boost the efficiency of its trading platform.
This move is expected to improve MKTX’s trading volume in the future. Higher trading volumes are expected to drive the company’s most significant top-line contributor, which is commissions. In the first half of 2023, EM local currency bonds contributed 40% to MKTX’s global EM volumes. Moreover, the company aims to expand Open Trading to more local currencies next year.
Shares of MarketAxess lost 6.8% in the past month compared with the industry’s 3% decline. Nevertheless, its strong fundamentals are likely to help shares bounce back in the days ahead.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Presently, MarketAxess carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader Finance space include Axos Financial, Inc. (AX - Free Report) , Houlihan Lokey, Inc. (HLI - Free Report) and MidCap Financial Investment Corporation (MFIC - Free Report) . Each of these companies presently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Axos Financial’s earnings surpassed estimates in each of the last four quarters, the average surprise being 11.6%. The Zacks Consensus Estimate for AX’s 2023 earnings and revenues indicates a rise of 6.9% and 14.2%, respectively, from the year-ago actuals.
The bottom line of Houlihan Lokey beat estimates in three of the trailing four quarters, missing once, the average beat being 7.4%. The Zacks Consensus Estimate for HLI’s 2023 revenues indicates a rise of 2.8% from the year-ago tally. The consensus mark for HLI’s 2023 earnings has moved 0.2% north in the past 60 days.
MidCap Financial Investment’s earnings outpaced estimates in three of the trailing four quarters and missed the mark once, the average surprise being 5.7%. The Zacks Consensus Estimate for MFIC’s 2023 earnings and revenues indicates a rise of 13.4% and 19.4% from the respective year-ago actuals. The consensus mark for MFIC’s 2023 earnings has moved 0.6% north in the past 60 days.