Nasdaq, Inc.
NDAQ
Security & Commodity Brokers, Dealers, Exchanges & Services
Mkt Cap
$34.64BPE
35.03Debt
$9.989BCash
$5.23BEV
$39.4BFCF
$1.504BP/E Ratio
35.03Debt
$9.989BCash
$5.23BEV
$39.4BFCF
$1.504BCharts data: {"Earnings":[{"time":"2014-12-30","value":413000000},{"time":"2015-12-30","value":427000000},{"time":"2016-12-30","value":108000000},{"time":"2017-12-30","value":734000000},{"time":"2018-12-30","value":458000000},{"time":"2019-12-30","value":774000000},{"time":"2020-12-30","value":933000000},{"time":"2021-12-30","value":1187000000},{"time":"2022-12-30","value":1123000000},{"time":"2023-12-30","value":1057000000}],"Sales":[{"time":"2014-12-30","value":3500000000},{"time":"2015-12-30","value":3403000000},{"time":"2016-12-30","value":3705000000},{"time":"2017-12-30","value":3965000000},{"time":"2018-12-30","value":4277000000},{"time":"2019-12-30","value":4262000000},{"time":"2020-12-30","value":5627000000},{"time":"2021-12-30","value":5886000000},{"time":"2022-12-30","value":6226000000},{"time":"2023-12-30","value":6064000000}],"Net Margins":[{"time":"2014-12-30","value":0.118},{"time":"2015-12-30","value":0.1254775198354393},{"time":"2016-12-30","value":0.029149797570850202},{"time":"2017-12-30","value":0.18511979823455232},{"time":"2018-12-30","value":0.10708440495674539},{"time":"2019-12-30","value":0.18160488033786953},{"time":"2020-12-30","value":0.16580771281322196},{"time":"2021-12-30","value":0.2016649677200136},{"time":"2022-12-30","value":0.18037263090266623},{"time":"2023-12-30","value":0.17430738786279684}],"Assets":[{"time":"2014-12-30","value":12087000000},{"time":"2015-12-30","value":11861000000},{"time":"2016-12-30","value":14150000000},{"time":"2017-12-30","value":15786000000},{"time":"2018-12-30","value":15700000000},{"time":"2019-12-30","value":13924000000},{"time":"2020-12-30","value":17979000000},{"time":"2021-12-30","value":20115000000},{"time":"2022-12-30","value":20868000000},{"time":"2023-12-30","value":32294000000}],"Stockholders Equity":[{"time":"2014-12-30","value":5794000000},{"time":"2015-12-30","value":5609000000},{"time":"2016-12-30","value":5430000000},{"time":"2017-12-30","value":5887000000},{"time":"2018-12-30","value":5449000000},{"time":"2019-12-30","value":5639000000},{"time":"2020-12-30","value":6436000000},{"time":"2021-12-30","value":6405000000},{"time":"2022-12-30","value":6164000000},{"time":"2023-12-30","value":10827000000}],"ROE":[{"time":"2014-12-30","value":0.07128063513979979},{"time":"2015-12-30","value":0.07612765198787663},{"time":"2016-12-30","value":0.019889502762430938},{"time":"2017-12-30","value":0.12468150161372515},{"time":"2018-12-30","value":0.08405211965498256},{"time":"2019-12-30","value":0.13725837914523853},{"time":"2020-12-30","value":0.1449658172778123},{"time":"2021-12-30","value":0.1853239656518345},{"time":"2022-12-30","value":0.18218689162881246},{"time":"2023-12-30","value":0.09762630460884825}],"ROA":[{"time":"2014-12-30","value":0.06238107057168859},{"time":"2015-12-30","value":0.060703144760138265},{"time":"2016-12-30","value":0.059293286219081275},{"time":"2017-12-30","value":0.06328392246294184},{"time":"2018-12-30","value":0.06777070063694267},{"time":"2019-12-30","value":0.07318299339270325},{"time":"2020-12-30","value":0.06863563045775627},{"time":"2021-12-30","value":0.07626149639572459},{"time":"2022-12-30","value":0.07494728771324516},{"time":"2023-12-30","value":0.048863565987489935}]}
Nasdaq, Inc. operates as a technology company that serves capital markets and other industries worldwide. It operates in three segments: Market Platforms, Capital Access Platforms, and Anti-Financial Crime. The Market Platforms segment trading services, including equity derivative trading and clearing, cash equity trading, fixed income and commodities trading and clearing, and trade management service businesses. This segment operates various exchanges and other marketplace facilities across various asset classes, which include derivatives, commodities, cash equity, debt, structured products, and exchange traded products; and provides broker, clearing, settlement, and central depository services. This segment also handles assets, such as cash equities, equity derivatives, currencies, interest-bearing securities, commodities, energy products, and digital currencies. The Capital Access Platforms segment sells and distributes historical and real-time market data; develops and licenses Nasdaq-branded indexes and financial products; operates listing platforms; investment insights and workflow solutions; and offers investor relations intelligence, ESG solutions, and governance solutions. The Anti-Financial Crime segment includes anti financial crime management solutions, which offers Nasdaq Trade Surveillance, a SaaS solution for brokers and other market participants to assist them in complying with market rules, regulations, and internal market surveillance policies; Nasdaq Market Surveillance, a market surveillance solution for markets and regulators; and Verafin, a SaaS technology provider of anti-financial crime management solutions. The company was formerly known as The NASDAQ OMX Group, Inc. and changed its name to Nasdaq, Inc. in September 2015. Nasdaq, Inc. was founded in 1971 and is headquartered in New York, New York.
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DCF
Discounted Cash Flow Valuation of Nasdaq, Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.504B | $1.687B | $1.878B | $2.076B | $2.279B | $2.483B | $2.686B | $2.884B | $3.074B | $3.252B | $3.415B | $34.15B |
| DCF | $1.467B | $1.42B | $1.365B | $1.303B | $1.235B | $1.161B | $1.084B | $1.005B | $924.5M | $844.1M | $8.441B | |
| Value | $20.25B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 19%
Earnings Stability 59%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 13% | 2.9% | 19% | 11% | 18% | 17% | 20% | 18% | 17% | 16% |
| ROA | 6.1% | 5.9% | 6.3% | 6.8% | 7.3% | 6.9% | 7.6% | 7.5% | 4.9% | 5.2% |
| ROE | 7.6% | 2% | 12% | 8.4% | 14% | 14% | 19% | 18% | 9.8% | 9.1% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +16.85%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +1.05%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +6.83%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -0.23%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +13.86%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +0.69%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 3.98 | 5.61 | 5.50 | 4.18 | 4.05 | 5.77 | 6.34 | 3.47 | 6.80 | 6.64 |
| Debt Equity | 0.42 | 0.66 | 0.71 | 0.70 | 0.60 | 0.95 | 0.91 | 0.88 | 0.97 | 0.92 |
| MIN | ||||||||||
| Graham Stability | - | - | 100% | 100% | 100% | 100% | 100% | 100% | 98% | 98% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 6.64.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is 0.34.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.98.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 7.3% | 7.2% | 2.5% | -2.6% | 0.18% |
| Net Income | 39% | 18% | 4.2% | -5.9% | -15% |
| Stockholders Equity | 10% | 15% | 19% | 76% | 5.3% |
| FCF | 13% | 11% | 13% | -1% | 1.4% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +7.23%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +0.18%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +18.21%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -14.6%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +14.72%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +5.29%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +10.9%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +1.43%.