NDAQ vs. CME, MCO, ICE, IBKR, MSCI, MKTX, AROW, TW, LPLA, and TROW
Should you be buying Nasdaq stock or one of its competitors? The main competitors of Nasdaq include CME Group (CME), Moody's (MCO), Intercontinental Exchange (ICE), Interactive Brokers Group (IBKR), MSCI (MSCI), MarketAxess (MKTX), Arrow Financial (AROW), Tradeweb Markets (TW), LPL Financial (LPLA), and T. Rowe Price Group (TROW). These companies are all part of the "finance" sector.
Nasdaq vs.
CME Group (NASDAQ:CME) and Nasdaq (NASDAQ:NDAQ) are both large-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their community ranking, valuation, institutional ownership, analyst recommendations, dividends, earnings, profitability, risk and media sentiment.
CME Group has higher earnings, but lower revenue than Nasdaq. CME Group is trading at a lower price-to-earnings ratio than Nasdaq, indicating that it is currently the more affordable of the two stocks.
CME Group currently has a consensus target price of $229.27, indicating a potential downside of 1.48%. Nasdaq has a consensus target price of $85.73, indicating a potential upside of 8.76%. Given Nasdaq's stronger consensus rating and higher probable upside, analysts clearly believe Nasdaq is more favorable than CME Group.
In the previous week, CME Group had 6 more articles in the media than Nasdaq. MarketBeat recorded 28 mentions for CME Group and 22 mentions for Nasdaq. CME Group's average media sentiment score of 1.00 beat Nasdaq's score of 0.75 indicating that CME Group is being referred to more favorably in the media.
Nasdaq received 203 more outperform votes than CME Group when rated by MarketBeat users. Likewise, 69.64% of users gave Nasdaq an outperform vote while only 58.87% of users gave CME Group an outperform vote.
CME Group has a beta of 0.56, suggesting that its share price is 44% less volatile than the S&P 500. Comparatively, Nasdaq has a beta of 0.98, suggesting that its share price is 2% less volatile than the S&P 500.
CME Group has a net margin of 57.34% compared to Nasdaq's net margin of 13.67%. Nasdaq's return on equity of 14.56% beat CME Group's return on equity.
87.8% of CME Group shares are owned by institutional investors. Comparatively, 72.5% of Nasdaq shares are owned by institutional investors. 0.3% of CME Group shares are owned by insiders. Comparatively, 0.7% of Nasdaq shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
CME Group pays an annual dividend of $4.60 per share and has a dividend yield of 2.0%. Nasdaq pays an annual dividend of $0.96 per share and has a dividend yield of 1.2%. CME Group pays out 48.4% of its earnings in the form of a dividend. Nasdaq pays out 57.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. CME Group has raised its dividend for 14 consecutive years and Nasdaq has raised its dividend for 13 consecutive years. CME Group is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Summary
Nasdaq beats CME Group on 11 of the 21 factors compared between the two stocks.
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This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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This page (NASDAQ:NDAQ) was last updated on 1/21/2025 by MarketBeat.com Staff