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.
Here's Why You Should Hold Intercontinental (ICE) Stock Now
Read MoreHide Full Article
Intercontinental Exchange (ICE - Free Report) remains well-poised to gain from a compelling portfolio, expansive risk-management services, strategic acquisitions, solid balance sheet, effective capital deployment and favorable growth estimates.
Zacks Rank & Price Performance
Intercontinental currently carries a Zacks Rank #3 (Hold). Over the past year, the stock has gained 17.1% compared with the industry’s growth of 17.3%.
Image Source: Zacks Investment Research
Growth Projections
The Zacks Consensus Estimate for ICE’s 2024 earnings is pegged at $5.81 per share, indicating an increase of 3.8% year over year on 13.9% higher revenues of $9.17 billion.
Earnings Surprise History
Intercontinental has a solid surprise history, beating earnings estimates in three of the last four reported quarters while missing in one, the average being 2.15%.
Return on Equity (ROE)
The company’s ROE for the trailing 12 months is 13%, comparing favorably with the industry’s 12.3% and reflecting the company’s efficiency in utilizing shareholders’ funds.
Growth Drivers
With more than 5,000 indices representing over $1 trillion in benchmark assets under management, ICE is the second-largest global fixed-income provider.
An expansive and compelling product and service portfolio should continue to fuel top-line improvement. Black Knight acquisition further complements existing revenue streams and improves the mix of high-growth recurring revenues. ICE estimates mid-single digit growth in Fixed Income and Data Services recurring revenues.
The insurer, with the largest mortgage network across the United States, should benefit from accelerated digitization in the U.S. residential mortgage industry. Intercontinental projects Mortgage revenues to grow at an average annual rate of 8-10% over the next 10 years, while the Mortgage Technology business is expected to grow in the low to mid-teens. ICE estimates mid to high-single-digit growth in recurring revenues in the mortgage technology segment in 2023.
Intercontinental has an impressive history of acquisitions, which have not only fueled growth but also helped achieve expense synergies.
Its healthy and minimal risk-based balance sheet is likely to continue providing stability and buoyancy over the medium to long term while supporting strategic investments.
A solid capital position helps ICE boost shareholders' value by buying back shares and hiking dividends. While ICE has more than doubled its dividends in the last six years, it has $2.5 billion remaining under its authorization kitty.
Cboe Global has a solid track record of beating earnings estimates in each of the last trailing four quarters, the average being 4.07%. In the past year, CBOE has gained 41.9%.
The Zacks Consensus Estimate for CBOE’s 2024 earnings per share is pegged $8.09, indicating a year-over-year increase of 5.8%.
Coinbase Global has a solid track record of beating earnings estimates in three of the last four quarters and missing in one, the average being 62.95%. In the past year, COIN has rallied 218.2%.
The Zacks Consensus Estimate for COIN’s 2024 earnings per share indicates a year-over-year increase of 34.6%.
Deutsche Boerse has a solid track record of beating earnings estimates in each of the last trailing four quarters, the average being 3.85%. In the past year, DBOEY has gained 16.4%.
The Zacks Consensus Estimate for DBOEY’s 2024 earnings per share is pegged at $1.05, indicating a year-over-year increase of 3.9%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's Why You Should Hold Intercontinental (ICE) Stock Now
Intercontinental Exchange (ICE - Free Report) remains well-poised to gain from a compelling portfolio, expansive risk-management services, strategic acquisitions, solid balance sheet, effective capital deployment and favorable growth estimates.
Zacks Rank & Price Performance
Intercontinental currently carries a Zacks Rank #3 (Hold). Over the past year, the stock has gained 17.1% compared with the industry’s growth of 17.3%.
Image Source: Zacks Investment Research
Growth Projections
The Zacks Consensus Estimate for ICE’s 2024 earnings is pegged at $5.81 per share, indicating an increase of 3.8% year over year on 13.9% higher revenues of $9.17 billion.
Earnings Surprise History
Intercontinental has a solid surprise history, beating earnings estimates in three of the last four reported quarters while missing in one, the average being 2.15%.
Return on Equity (ROE)
The company’s ROE for the trailing 12 months is 13%, comparing favorably with the industry’s 12.3% and reflecting the company’s efficiency in utilizing shareholders’ funds.
Growth Drivers
With more than 5,000 indices representing over $1 trillion in benchmark assets under management, ICE is the second-largest global fixed-income provider.
An expansive and compelling product and service portfolio should continue to fuel top-line improvement. Black Knight acquisition further complements existing revenue streams and improves the mix of high-growth recurring revenues. ICE estimates mid-single digit growth in Fixed Income and Data Services recurring revenues.
The insurer, with the largest mortgage network across the United States, should benefit from accelerated digitization in the U.S. residential mortgage industry. Intercontinental projects Mortgage revenues to grow at an average annual rate of 8-10% over the next 10 years, while the Mortgage Technology business is expected to grow in the low to mid-teens. ICE estimates mid to high-single-digit growth in recurring revenues in the mortgage technology segment in 2023.
Intercontinental has an impressive history of acquisitions, which have not only fueled growth but also helped achieve expense synergies.
Its healthy and minimal risk-based balance sheet is likely to continue providing stability and buoyancy over the medium to long term while supporting strategic investments.
A solid capital position helps ICE boost shareholders' value by buying back shares and hiking dividends. While ICE has more than doubled its dividends in the last six years, it has $2.5 billion remaining under its authorization kitty.
Stocks to Consider
Some better-ranked stocks from the Securities and Exchanges sector are Cboe Global Markets, Inc. (CBOE - Free Report) , Coinbase Global, Inc. (COIN - Free Report) and Deutsche Boerse AG (DBOEY - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cboe Global has a solid track record of beating earnings estimates in each of the last trailing four quarters, the average being 4.07%. In the past year, CBOE has gained 41.9%.
The Zacks Consensus Estimate for CBOE’s 2024 earnings per share is pegged $8.09, indicating a year-over-year increase of 5.8%.
Coinbase Global has a solid track record of beating earnings estimates in three of the last four quarters and missing in one, the average being 62.95%. In the past year, COIN has rallied 218.2%.
The Zacks Consensus Estimate for COIN’s 2024 earnings per share indicates a year-over-year increase of 34.6%.
Deutsche Boerse has a solid track record of beating earnings estimates in each of the last trailing four quarters, the average being 3.85%. In the past year, DBOEY has gained 16.4%.
The Zacks Consensus Estimate for DBOEY’s 2024 earnings per share is pegged at $1.05, indicating a year-over-year increase of 3.9%.