Nasdaq (NASDAQ:NDAQ) Releases Earnings Results, Beats Estimates By $0.04 EPS

Nasdaq (NASDAQ:NDAQ) announced its quarterly earnings data on Thursday. The financial services provider reported $0.96 EPS for the quarter, beating the consensus estimate of $0.92 by $0.04, FiscalAI reports. The firm had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.37 billion. Nasdaq had a return on equity of 16.28% and a net margin of 19.90%.The company’s revenue was up 13.4% on a year-over-year basis. During the same period in the prior year, the company earned $0.76 EPS.

Here are the key takeaways from Nasdaq’s conference call:

• Nasdaq reported a milestone year, surpassing $5 billion in annual net revenue and $4 billion in solutions revenue with 12% net revenue growth and ARR of $3.1 billion, meeting the top of its medium‑term outlook.
• Profitability and balance‑sheet metrics strengthened — operating income grew 16%, diluted EPS rose 24%, free cash flow was ~$2.2 billion (109% conversion), gross leverage finished at 2.9x, and Moody’s/S&P upgraded Nasdaq’s debt ratings.
• Financial technology momentum — FinTech revenue up 11% for the year (Q4 +12%), financial crime management up 24% in Q4, all G‑SIBs are now clients, and the new Agentic AI Workforce has seen strong early client adoption and cross‑sell progress.
• Capital‑markets franchises showed strength — record index net inflows of $99 billion (ETP AUM $882 billion), a record $1.2 trillion in listing transfers, a 72% listings win rate, and an active IPO/switch pipeline heading into 2026.
• Strategic initiatives carry upside but depend on approvals and execution — Nasdaq plans 23×5 trading (target H2 2026, subject to SEC approval) and filed a tokenized‑securities approach focused on interoperability and investor protection, with benefits contingent on regulator/infrastructure outcomes.

Nasdaq Trading Down 1.4%

NDAQ traded down $1.36 during midday trading on Friday, reaching $96.73. 778,306 shares of the company’s stock traded hands, compared to its average volume of 3,267,449. Nasdaq has a 52 week low of $64.84 and a 52 week high of $101.79. The company has a debt-to-equity ratio of 0.72, a current ratio of 0.99 and a quick ratio of 0.99. The firm has a fifty day moving average of $95.55 and a two-hundred day moving average of $92.56. The stock has a market capitalization of $55.23 billion, a price-to-earnings ratio of 34.60, a P/E/G ratio of 1.47 and a beta of 1.01.

Nasdaq Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 30th. Investors of record on Monday, March 16th will be issued a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date is Monday, March 16th. Nasdaq’s payout ratio is currently 38.57%.

Key Stories Impacting Nasdaq

Here are the key news stories impacting Nasdaq this week:

• Positive Sentiment: Q4 results beat expectations: reported EPS $0.96 vs. consensus $0.91 and revenue $1.39B vs. $1.37B, signaling continued top‑line momentum. Nasdaq Q4 earnings, revenue beats reflect Index, FinTech growth
• Positive Sentiment: Annual results show scale: full‑year net revenue exceeded $5.2B and Solutions revenue topped $4.0B, underpinning long‑term growth narratives. Nasdaq Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Segment strengths: Index and FinTech businesses drove the revenue beat and were highlighted on the earnings call as growth engines. Nasdaq Inc (NDAQ) Q4 2025 Earnings Call Highlights
• Positive Sentiment: Board approved a quarterly dividend of $0.27 per share (annualized yield ~1.1%), which supports income investors and signals confidence in cash flow. Nasdaq Announces Quarterly Dividend of $0.27 Per Share
• Neutral Sentiment: Earnings call transcript and slide deck are available for deeper color on strategy and bookings — useful for investors parsing recurring vs. one‑time items. Nasdaq (NDAQ) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Analyst commentary and updated price‑target pieces are circulating; these will influence near‑term flows but carry mixed views. How The Latest Price Target Is Shaping The Nasdaq NDAQ Investment Story
• Negative Sentiment: Management flagged higher expenses / tweaked expense outlook, which compresses margins despite revenue growth — a likely reason for profit‑taking. Nasdaq Beats Q4 Earnings & Revenue Estimates, Tweaks Expense View
• Negative Sentiment: Valuation/positioning headwind: NDAQ trades near its 52‑week high with a relatively high PE (~35), so even modest disappointing guidance or margin pressure can trigger downward moves.

Insider Activity

In other Nasdaq news, CEO Adena T. Friedman sold 300,000 shares of the company’s stock in a transaction on Friday, January 2nd. The shares were sold at an average price of $96.39, for a total value of $28,917,000.00. Following the completion of the transaction, the chief executive officer directly owned 1,924,903 shares in the company, valued at approximately $185,541,400.17. This represents a 13.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP John Zecca sold 4,500 shares of Nasdaq stock in a transaction dated Tuesday, January 6th. The shares were sold at an average price of $100.01, for a total transaction of $450,045.00. Following the sale, the executive vice president directly owned 125,674 shares in the company, valued at $12,568,656.74. The trade was a 3.46% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 306,605 shares of company stock valued at $29,546,812. Company insiders own 0.70% of the company’s stock.

Institutional Trading of Nasdaq

Several large investors have recently bought and sold shares of NDAQ. Empowered Funds LLC grew its holdings in shares of Nasdaq by 3.8% during the 1st quarter. Empowered Funds LLC now owns 14,574 shares of the financial services provider’s stock worth $1,106,000 after acquiring an additional 538 shares during the period. Woodline Partners LP grew its stake in Nasdaq by 40.7% in the first quarter. Woodline Partners LP now owns 34,962 shares of the financial services provider’s stock worth $2,652,000 after purchasing an additional 10,110 shares during the period. Focus Partners Wealth raised its holdings in Nasdaq by 22.0% in the first quarter. Focus Partners Wealth now owns 14,351 shares of the financial services provider’s stock worth $1,089,000 after purchasing an additional 2,584 shares in the last quarter. Geneos Wealth Management Inc. raised its holdings in Nasdaq by 345.5% in the first quarter. Geneos Wealth Management Inc. now owns 597 shares of the financial services provider’s stock worth $45,000 after purchasing an additional 463 shares in the last quarter. Finally, Guggenheim Capital LLC lifted its position in Nasdaq by 4.4% during the second quarter. Guggenheim Capital LLC now owns 11,386 shares of the financial services provider’s stock valued at $1,018,000 after buying an additional 481 shares during the period. 72.47% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several research analysts have commented on NDAQ shares. TD Cowen reissued a “hold” rating on shares of Nasdaq in a research note on Wednesday, January 14th. Barclays reiterated an “overweight” rating and issued a $115.00 target price (up previously from $114.00) on shares of Nasdaq in a research report on Friday. Weiss Ratings restated a “buy (b-)” rating on shares of Nasdaq in a research report on Friday, January 9th. UBS Group reaffirmed a “buy” rating and set a $120.00 price objective (up from $115.00) on shares of Nasdaq in a research note on Monday, January 12th. Finally, Raymond James Financial reissued an “outperform” rating and issued a $100.00 target price (up previously from $99.00) on shares of Nasdaq in a research note on Monday, October 13th. Fourteen equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $103.87.

About Nasdaq

Nasdaq, Inc is a global financial technology company that operates one of the world’s leading electronic securities exchanges and provides a broad array of products and services to capital markets participants. Its core activities include operating the Nasdaq Stock Market and other trading venues, developing and supplying market technology and matching engines to exchanges and trading firms, licensing market data and indices, and offering clearing, trade execution and post-trade solutions. The company also provides market surveillance, risk management and regulatory technology used by exchanges and regulators.

Founded in 1971 by the National Association of Securities Dealers (NASD) as the first electronic stock market, Nasdaq has evolved into a diversified marketplace and technology provider.