📊 NDAQ Key Takeaways
Is Nasdaq, Inc.. (NDAQ) a Good Investment?
NASDAQ demonstrates robust fundamental strength with double-digit revenue growth (11.6% YoY), exceptional profitability margins (63.5% gross, 28.2% operating, 21.6% net), and strong free cash flow generation ($2.0B, 24.1% margin). The company maintains solid financial health with moderate leverage (0.7x debt/equity), excellent interest coverage (21.6x), and generates substantial operating cash flow relative to capital requirements.
Nasdaq shows strong fundamental quality with double-digit revenue growth, high margins, and robust free cash flow generation, which supports resilience and capital flexibility. Profitability remains solid across gross, operating, and net levels, while leverage appears manageable given strong interest coverage. The main limitation is that net income growth is essentially flat, suggesting some recent EPS strength may be driven by factors other than broad-based earnings expansion.
Why Buy Nasdaq, Inc.. Stock? NDAQ Key Strengths
- Strong revenue growth of 11.6% YoY with $8.3B total revenue demonstrates market expansion
- Exceptional profitability margins across all levels (gross 63.5%, operating 28.2%, net 21.6%) indicating pricing power and operational efficiency
- Robust free cash flow generation of $2.0B with 24.1% FCF margin provides financial flexibility
- Conservative leverage with 0.7x debt/equity ratio and strong 21.6x interest coverage ratio
- Solid ROE of 14.6% and ROA of 5.8% indicate efficient capital deployment
- Double-digit revenue growth with strong 63.5% gross margin and 28.2% operating margin
- Robust free cash flow of $1.99B and a healthy 24.1% FCF margin
- Manageable leverage profile with 0.70x debt-to-equity and strong 21.6x interest coverage
NDAQ Stock Risks: Nasdaq, Inc.. Investment Risks
- Thin liquidity position with current ratio of 1.01x leaves minimal cushion for operational disruptions or unexpected obligations
- Net income growth of only 0.1% YoY despite 11.6% revenue growth suggests margin compression or increased operating costs offsetting revenue gains
- Significant long-term debt of $8.6B represents substantial financial obligations requiring consistent cash flow servicing
- Operating in cyclical financial services sector sensitive to market volatility, interest rates, and trading volumes
- Net income growth of just 0.1% may indicate slower underlying earnings expansion despite strong EPS growth
- Liquidity is only adequate with a 1.01x current and quick ratio and relatively modest cash balance
- Long-term debt of $8.57B remains meaningful and could pressure flexibility if operating conditions weaken
Key Metrics to Watch
- Operating cash flow sustainability and working capital trends given tight liquidity ratios
- Net margin trajectory and operating leverage improvement relative to revenue growth
- Debt reduction progress and debt/equity ratio management
- EPS dilution trends despite 60.1% YoY growth given only 0.1% net income growth
- Net income growth relative to revenue growth
- Free cash flow conversion and debt reduction progress
Nasdaq, Inc.. (NDAQ) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 24.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
NDAQ Profit Margin, ROE & Profitability Analysis
NDAQ vs Services Sector: How Nasdaq, Inc.. Compares
How Nasdaq, Inc.. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Nasdaq, Inc.. Stock Overvalued? NDAQ Valuation Analysis 2026
Based on fundamental analysis, Nasdaq, Inc.. has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Nasdaq, Inc.. Balance Sheet: NDAQ Debt, Cash & Liquidity
NDAQ Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Nasdaq, Inc..'s revenue has grown significantly by 40% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.08 reflects profitable operations.
NDAQ Revenue Growth, EPS Growth & YoY Performance
NDAQ Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.9B | $306.0M | $0.53 |
| Q2 2025 | $1.8B | $222.0M | $0.38 |
| Q1 2025 | $1.7B | $234.0M | $0.40 |
| Q3 2024 | $1.5B | $294.0M | $0.53 |
| Q2 2024 | $1.4B | $222.0M | $0.38 |
| Q1 2024 | $1.5B | $234.0M | $0.40 |
| Q3 2023 | $1.5B | $294.0M | $0.59 |
| Q2 2023 | $1.4B | $267.0M | $0.54 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Nasdaq, Inc.. Dividends, Buybacks & Capital Allocation
NDAQ SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Nasdaq, Inc.. (CIK: 0001120193)
📋 Recent SEC Filings
❓ Frequently Asked Questions about NDAQ
What is the AI rating for NDAQ?
Nasdaq, Inc.. (NDAQ) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 81% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are NDAQ's key strengths?
Claude: Strong revenue growth of 11.6% YoY with $8.3B total revenue demonstrates market expansion. Exceptional profitability margins across all levels (gross 63.5%, operating 28.2%, net 21.6%) indicating pricing power and operational efficiency. ChatGPT: Double-digit revenue growth with strong 63.5% gross margin and 28.2% operating margin. Robust free cash flow of $1.99B and a healthy 24.1% FCF margin.
What are the risks of investing in NDAQ?
Claude: Thin liquidity position with current ratio of 1.01x leaves minimal cushion for operational disruptions or unexpected obligations. Net income growth of only 0.1% YoY despite 11.6% revenue growth suggests margin compression or increased operating costs offsetting revenue gains. ChatGPT: Net income growth of just 0.1% may indicate slower underlying earnings expansion despite strong EPS growth. Liquidity is only adequate with a 1.01x current and quick ratio and relatively modest cash balance.
What is NDAQ's revenue and growth?
Nasdaq, Inc.. reported revenue of $8.3B.
Does NDAQ pay dividends?
Nasdaq, Inc.. pays dividends, with $601.0M distributed to shareholders in the trailing twelve months.
Where can I find NDAQ SEC filings?
Official SEC filings for Nasdaq, Inc.. (CIK: 0001120193) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is NDAQ's EPS?
Nasdaq, Inc.. has a diluted EPS of $3.09.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is NDAQ a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Nasdaq, Inc.. has a BUY rating with 81% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is NDAQ stock overvalued or undervalued?
Valuation metrics for NDAQ: ROE of 14.6% (sector avg: 16%), net margin of 21.6% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy NDAQ stock in 2026?
Our dual AI analysis gives Nasdaq, Inc.. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is NDAQ's free cash flow?
Nasdaq, Inc..'s operating cash flow is $2.3B, with capital expenditures of $266.0M. FCF margin is 24.1%.
How does NDAQ compare to other Services stocks?
Vs Services sector averages: Net margin 21.6% (avg: 10%), ROE 14.6% (avg: 16%), current ratio 1.01 (avg: 1.5).