Nasdaq (NASDAQ:NDAQ – Get Free Report) released its quarterly earnings results on Thursday. The financial services provider reported $0.96 earnings per share for the quarter, topping analysts’ consensus estimates of $0.93 by $0.03, FiscalAI reports. The business had revenue of $2.14 billion for the quarter, compared to analysts’ expectations of $1.42 billion. Nasdaq had a return on equity of 16.90% and a net margin of 21.77%.The company’s revenue was up 13.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.79 EPS.
Here are the key takeaways from Nasdaq’s conference call:
- Strong Q1 results: Nasdaq reported $1.4B in net revenue (+13% YoY), ARR of $3.2B (+12%), operating income up 17% and diluted EPS up 21%, driven by solutions and record Financial Technology growth.
- Financial Technology momentum: Record ACV bookings (>50% YoY), 64 new clients, 85 upsells, and 80% of bookings cloud-based, with Verafin revenue +21% and expanding SMB and enterprise traction.
- Market innovation & expansion: SEC approval to extend to 23/5 trading (target launch Dec 6, 2026) and permission for tokenized securities position Nasdaq to lead in always-on markets and new tokenization-related products and services.
- Rising operating expense guidance: Operating expenses rose 8% in Q1 and management raised 2026 non-GAAP expense guidance ($2.485B–$2.545B), warning of higher expense growth in Q2 due to annual compensation timing.
- Capital returns & cash flow: Generated $629M of free cash flow in Q1, repurchased $548M of stock in the quarter, and announced a dividend increase to $0.31, returning over $700M to shareholders in Q1.
Nasdaq Trading Up 0.7%
Shares of Nasdaq stock traded up $0.59 during trading hours on Thursday, reaching $86.96. 2,148,217 shares of the company’s stock were exchanged, compared to its average volume of 4,131,153. Nasdaq has a 52-week low of $71.98 and a 52-week high of $101.79. The firm has a market capitalization of $49.43 billion, a price-to-earnings ratio of 28.15, a price-to-earnings-growth ratio of 1.80 and a beta of 1.02. The company has a fifty day moving average of $85.28 and a 200-day moving average of $89.61. The company has a current ratio of 1.01, a quick ratio of 1.01 and a debt-to-equity ratio of 0.70.
Nasdaq Announces Dividend
Insider Buying and Selling at Nasdaq
In other Nasdaq news, CEO Adena T. Friedman sold 300,000 shares of the stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $96.91, for a total transaction of $29,073,000.00. Following the transaction, the chief executive officer owned 1,924,903 shares of the company’s stock, valued at $186,542,349.73. This represents a 13.48% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Over the last 90 days, insiders sold 506,451 shares of company stock worth $47,142,951. Corporate insiders own 0.70% of the company’s stock.
Institutional Inflows and Outflows
Large investors have recently made changes to their positions in the business. Uniplan Investment Counsel Inc. purchased a new position in shares of Nasdaq during the 4th quarter worth $35,000. Kemnay Advisory Services Inc. purchased a new position in shares of Nasdaq during the 4th quarter worth $44,000. Safe Harbor Fiduciary LLC purchased a new position in shares of Nasdaq in the 4th quarter worth $56,000. Geneos Wealth Management Inc. raised its position in shares of Nasdaq by 345.5% in the 1st quarter. Geneos Wealth Management Inc. now owns 597 shares of the financial services provider’s stock worth $45,000 after buying an additional 463 shares during the period. Finally, DV Equities LLC purchased a new position in shares of Nasdaq in the 4th quarter worth $61,000. Hedge funds and other institutional investors own 72.47% of the company’s stock.
Nasdaq News Roundup
Here are the key news stories impacting Nasdaq this week:
- Positive Sentiment: Q1 results beat expectations — Nasdaq reported adjusted EPS of $0.96, topping consensus, and delivered double‑digit net revenue growth year‑over‑year, signaling broad execution across its businesses. Nasdaq (NDAQ) Tops Q1 Earnings and Revenue Estimates
- Positive Sentiment: Fintech and index businesses were key drivers of the beat — strength in recurring-data, index licensing and fintech solutions supported margins and revenue upside. This helps justify the stock rally as investors favor predictable, high‑margin streams. Nasdaq stock up as fintech, index segments drive Q1 earnings beat
- Positive Sentiment: Board raised the quarterly dividend to $0.31 per share, payable June 26 — a direct shareholder return and a signal of confidence in cash flow. That tends to support income‑oriented demand for the shares. Nasdaq Announces Increase in Quarterly Dividend to $0.31 Per Share
- Neutral Sentiment: Analysts and commentary are reassessing valuation after recent share‑price weakness; some see upside vs. targets while others caution on stretched multiples — this discussion could temper further rallies until forward growth visibility is clearer. Assessing Nasdaq (NDAQ) Valuation After Recent Share Price Weakness And Growth Expectations
- Neutral Sentiment: Pre‑earnings previews and metric deep dives were published ahead of results — useful for framing the beat but not materially new now that results are out. Nasdaq (NDAQ) To Report Earnings Tomorrow: Here Is What To Expect
- Negative Sentiment: Insider selling and large institutional position reductions were noted in recent filings (several executive sales and a major institutional cut), which can weigh on sentiment if perceived as profit‑taking or reduced conviction. Monitor ongoing insider/institutional activity for follow‑through. Nasdaq Reports Strong First‑Quarter 2026 Financial Results (with insider/institutional notes)
Analysts Set New Price Targets
A number of equities research analysts recently weighed in on the company. UBS Group restated a “buy” rating and issued a $120.00 price target (up from $115.00) on shares of Nasdaq in a report on Monday, January 12th. Argus upgraded Nasdaq to a “strong-buy” rating in a report on Wednesday, February 11th. Morgan Stanley set a $116.00 target price on Nasdaq and gave the company an “overweight” rating in a report on Friday, January 30th. Royal Bank Of Canada reiterated an “outperform” rating and set a $108.00 target price on shares of Nasdaq in a report on Friday, January 30th. Finally, JPMorgan Chase & Co. increased their target price on Nasdaq from $100.00 to $101.00 and gave the company an “overweight” rating in a report on Friday, January 30th. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $106.25.
View Our Latest Analysis on Nasdaq
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.
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