MarketAxess Q1 Results Analysis
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy MKTX?
Source: Yahoo Finance
- Performance Meets Expectations: MarketAxess reported Q1 revenues of $233 million and earnings per share of $2.20, aligning with estimates, yet the stock fell 2.9% over the past week, indicating a negative market reaction.
- Analyst Forecasts Stable: Despite the latest results not significantly altering analysts' views, the 2026 revenue forecast stands at $906.5 million, reflecting a 4.1% increase from the previous year, while EPS is expected to decline by 6% to $8.18, suggesting sustained confidence in the company's prospects.
- Price Target Unchanged: Analysts reaffirmed a price target of $190, indicating recognition of the company's execution, although opinions vary with the most optimistic analyst targeting $250 and the most pessimistic at $172, reflecting a reasonable consensus.
- Industry Growth Consistency: MarketAxess is projected to achieve an annual revenue growth rate of 5.5% by 2026, consistent with its past five-year growth rate of 4.7%, indicating that the company's performance aligns with broader industry trends.
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Analyst Views on MKTX
Wall Street analysts forecast MKTX stock price to rise
8 Analyst Rating
3 Buy
4 Hold
1 Sell
Hold
Current: 152.660
Low
167.00
Averages
194.43
High
225.00
Current: 152.660
Low
167.00
Averages
194.43
High
225.00
About MKTX
MarketAxess Holdings Inc. operates electronic trading platforms. The Company offers end-to-end trading solutions, including the operation of electronic platforms for the trading of fixed-income and other securities and related data, analytics compliance tools, post-trade services, automated trading services and technology services. The Company provides an Open Trading marketplace which offers an all-to-all trading solution in the global credit markets, creating a liquidity pool for a range of credit market participants. It leverages its diverse set of trading protocols, automated and algorithmic trading solutions, intelligent data and index products and a range of post-trade services to provide an end-to-end trading solution to its robust network of platform participants. The Company also provides several integrated and actionable data offerings, including CP+ and Axess All, to assist clients. Its RFQ-hub platform is a bilateral multi-asset and multi-dealer request for quote platform.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
MarketAxess Q1 Results Analysis
- Performance Meets Expectations: MarketAxess reported Q1 revenues of $233 million and earnings per share of $2.20, aligning with estimates, yet the stock fell 2.9% over the past week, indicating a negative market reaction.
- Analyst Forecasts Stable: Despite the latest results not significantly altering analysts' views, the 2026 revenue forecast stands at $906.5 million, reflecting a 4.1% increase from the previous year, while EPS is expected to decline by 6% to $8.18, suggesting sustained confidence in the company's prospects.
- Price Target Unchanged: Analysts reaffirmed a price target of $190, indicating recognition of the company's execution, although opinions vary with the most optimistic analyst targeting $250 and the most pessimistic at $172, reflecting a reasonable consensus.
- Industry Growth Consistency: MarketAxess is projected to achieve an annual revenue growth rate of 5.5% by 2026, consistent with its past five-year growth rate of 4.7%, indicating that the company's performance aligns with broader industry trends.
See More
MarketAxess Reports Record Q1 2026 Earnings Driven by International Growth
- Significant Revenue Growth: MarketAxess achieved total revenue of $233 million in Q1 2026, reflecting a 12% year-over-year increase, with a notable 20% growth in non-U.S. credit product areas, underscoring the company's strong performance in international markets and enhancing its competitive position.
- New Product Launch: The company plans to pilot its new issue trading solution at the end of May, with a streamlined click-to-trade feature set for the second half of 2026, aimed at improving client experience and addressing challenges in the new issue market, thereby driving future revenue growth.
- Profitability Improvement: The operating margin reached 44% in Q1, up nearly 200 basis points year-over-year, and despite an 8% increase in total expenses, the optimized capital return program contributed to a diluted EPS of $2.25, demonstrating effective management in cost control and profitability.
- Market Share Focus: Management highlighted the need for attention on U.S. credit market share, particularly post-new issue, indicating challenges ahead, and emphasized that they will leverage new products and technological innovations to enhance market performance and maintain a competitive edge in a challenging environment.
See More
MarketAxess Reports Significant Q1 Earnings Growth
- Profitability Surge: MarketAxess reported a net income of $77.88 million for Q1, translating to earnings per share of $2.20, a substantial increase from last year's $15.07 million and $0.40 per share, indicating a significant improvement in the company's profitability.
- Adjusted Earnings Performance: Excluding items, MarketAxess posted adjusted earnings of $79.72 million or $2.25 per share, further reflecting the strength of its core business and an enhancement in earnings quality.
- Revenue Growth: The company's revenue rose by 11.9% year-over-year to $233.38 million, compared to $208.58 million last year, demonstrating sustained strong market demand and an expansion of the company's market share.
- Optimistic Market Outlook: With significant improvements in revenue and profitability, MarketAxess strengthens its competitive position in the bond trading market, and is expected to continue benefiting from an improving market environment and growing customer demand.
See More
MarketAxess Set to Announce Q4 Earnings on May 7
- Earnings Announcement: MarketAxess is scheduled to release its Q4 earnings on May 7 before market open, with consensus estimates of $8.25 EPS and $912 million in revenue, which, if achieved, would further solidify its market position.
- Performance Expectations: Over the past year, MarketAxess has beaten EPS estimates 100% of the time, indicating strong profitability, while achieving a 50% revenue beat rate suggests resilience amid market fluctuations.
- Estimate Revisions: In the last three months, EPS estimates have seen seven upward revisions and one downward, while revenue estimates have experienced five upward revisions and one downward, reflecting analysts' optimistic outlook on the company's future performance.
- Volume Growth: MarketAxess reported a 35% year-over-year increase in average daily block trading volume in Q1 and has set a revenue growth target of 8%-9% through 2028, showcasing its diversification potential in a counter-cyclical market.
See More
MarketAxess April 2026 Trading Volume Insights
- Volume Decline: In April 2026, MarketAxess reported total trading volume of $869.13 billion, reflecting a 28% year-over-year decline primarily due to reduced market volatility and tighter credit spreads, indicating challenges faced in the fixed-income market.
- Market Share Changes: Despite the difficulties, MarketAxess achieved a market share of 20.2% in U.S. high-grade credit portfolio trading, up from 19.6% a year earlier, demonstrating potential growth amidst competitive pressures.
- Client-Initiated Channel: The average daily volume (ADV) for client-initiated block trading fell 12% to $5.1 billion, with U.S. credit block ADV down 21% to $3.0 billion, suggesting weakened client demand that may impact future revenue growth.
- Dealer-Initiated Channel: Dealer-initiated ADV was $1.7 billion, an 11% decline year-over-year, while Mid-X trading volume reached $6.7 billion, a 156% increase from the previous year, indicating strong performance in specific trading modes that could support future business development.
See More
MarketAxess and Moment Enhance Liquidity Access for Wealth Managers
- Enhanced Liquidity Access: The partnership between MarketAxess and Moment enables large wealth managers and registered investment advisors to access liquidity from over 2,100 institutional investors directly on the Moment platform, significantly improving pricing outcomes for retail fixed-income investors.
- Market Integration Innovation: Moment's platform seamlessly integrates retail order-driven markets with traditional institutional RFQ markets, allowing clients to tap into a fundamentally deeper fixed-income market, enhancing execution quality and competitive positioning.
- Expanded Client Base: Moment's clients manage over $10 trillion in assets, including prominent wealth platforms like LPL Financial and Edward Jones, and this collaboration is expected to further solidify its market position in wealth management.
- Strategic Implications: By extending institutional liquidity to retail investors, the collaboration between MarketAxess and Moment not only helps bridge the gap between retail and institutional fixed-income markets but also lays the groundwork for future market development.
See More
MarketAxess Q1 Results Analysis
- Performance Meets Expectations: MarketAxess reported Q1 revenues of $233 million and earnings per share of $2.20, aligning with estimates, yet the stock fell 2.9% over the past week, indicating a negative market reaction.
- Analyst Forecasts Stable: Despite the latest results not significantly altering analysts' views, the 2026 revenue forecast stands at $906.5 million, reflecting a 4.1% increase from the previous year, while EPS is expected to decline by 6% to $8.18, suggesting sustained confidence in the company's prospects.
- Price Target Unchanged: Analysts reaffirmed a price target of $190, indicating recognition of the company's execution, although opinions vary with the most optimistic analyst targeting $250 and the most pessimistic at $172, reflecting a reasonable consensus.
- Industry Growth Consistency: MarketAxess is projected to achieve an annual revenue growth rate of 5.5% by 2026, consistent with its past five-year growth rate of 4.7%, indicating that the company's performance aligns with broader industry trends.
See More
MarketAxess Reports Record Q1 2026 Earnings Driven by International Growth
- Significant Revenue Growth: MarketAxess achieved total revenue of $233 million in Q1 2026, reflecting a 12% year-over-year increase, with a notable 20% growth in non-U.S. credit product areas, underscoring the company's strong performance in international markets and enhancing its competitive position.
- New Product Launch: The company plans to pilot its new issue trading solution at the end of May, with a streamlined click-to-trade feature set for the second half of 2026, aimed at improving client experience and addressing challenges in the new issue market, thereby driving future revenue growth.
- Profitability Improvement: The operating margin reached 44% in Q1, up nearly 200 basis points year-over-year, and despite an 8% increase in total expenses, the optimized capital return program contributed to a diluted EPS of $2.25, demonstrating effective management in cost control and profitability.
- Market Share Focus: Management highlighted the need for attention on U.S. credit market share, particularly post-new issue, indicating challenges ahead, and emphasized that they will leverage new products and technological innovations to enhance market performance and maintain a competitive edge in a challenging environment.
See More
MarketAxess Reports Significant Q1 Earnings Growth
- Profitability Surge: MarketAxess reported a net income of $77.88 million for Q1, translating to earnings per share of $2.20, a substantial increase from last year's $15.07 million and $0.40 per share, indicating a significant improvement in the company's profitability.
- Adjusted Earnings Performance: Excluding items, MarketAxess posted adjusted earnings of $79.72 million or $2.25 per share, further reflecting the strength of its core business and an enhancement in earnings quality.
- Revenue Growth: The company's revenue rose by 11.9% year-over-year to $233.38 million, compared to $208.58 million last year, demonstrating sustained strong market demand and an expansion of the company's market share.
- Optimistic Market Outlook: With significant improvements in revenue and profitability, MarketAxess strengthens its competitive position in the bond trading market, and is expected to continue benefiting from an improving market environment and growing customer demand.
See More
MarketAxess Set to Announce Q4 Earnings on May 7
- Earnings Announcement: MarketAxess is scheduled to release its Q4 earnings on May 7 before market open, with consensus estimates of $8.25 EPS and $912 million in revenue, which, if achieved, would further solidify its market position.
- Performance Expectations: Over the past year, MarketAxess has beaten EPS estimates 100% of the time, indicating strong profitability, while achieving a 50% revenue beat rate suggests resilience amid market fluctuations.
- Estimate Revisions: In the last three months, EPS estimates have seen seven upward revisions and one downward, while revenue estimates have experienced five upward revisions and one downward, reflecting analysts' optimistic outlook on the company's future performance.
- Volume Growth: MarketAxess reported a 35% year-over-year increase in average daily block trading volume in Q1 and has set a revenue growth target of 8%-9% through 2028, showcasing its diversification potential in a counter-cyclical market.
See More
MarketAxess April 2026 Trading Volume Insights
- Volume Decline: In April 2026, MarketAxess reported total trading volume of $869.13 billion, reflecting a 28% year-over-year decline primarily due to reduced market volatility and tighter credit spreads, indicating challenges faced in the fixed-income market.
- Market Share Changes: Despite the difficulties, MarketAxess achieved a market share of 20.2% in U.S. high-grade credit portfolio trading, up from 19.6% a year earlier, demonstrating potential growth amidst competitive pressures.
- Client-Initiated Channel: The average daily volume (ADV) for client-initiated block trading fell 12% to $5.1 billion, with U.S. credit block ADV down 21% to $3.0 billion, suggesting weakened client demand that may impact future revenue growth.
- Dealer-Initiated Channel: Dealer-initiated ADV was $1.7 billion, an 11% decline year-over-year, while Mid-X trading volume reached $6.7 billion, a 156% increase from the previous year, indicating strong performance in specific trading modes that could support future business development.
See More
MarketAxess and Moment Enhance Liquidity Access for Wealth Managers
- Enhanced Liquidity Access: The partnership between MarketAxess and Moment enables large wealth managers and registered investment advisors to access liquidity from over 2,100 institutional investors directly on the Moment platform, significantly improving pricing outcomes for retail fixed-income investors.
- Market Integration Innovation: Moment's platform seamlessly integrates retail order-driven markets with traditional institutional RFQ markets, allowing clients to tap into a fundamentally deeper fixed-income market, enhancing execution quality and competitive positioning.
- Expanded Client Base: Moment's clients manage over $10 trillion in assets, including prominent wealth platforms like LPL Financial and Edward Jones, and this collaboration is expected to further solidify its market position in wealth management.
- Strategic Implications: By extending institutional liquidity to retail investors, the collaboration between MarketAxess and Moment not only helps bridge the gap between retail and institutional fixed-income markets but also lays the groundwork for future market development.
See More
