The NASDAQ OMX Group (Nasdaq: NDAQ) is a U.S. based financial services company which is best known for being the owner of the NASDAQ stock market. It is currently the largest and most actively traded electronic stock market in the U.S. with a daily share trading volume of over 2 billion for 3,200 listed companies. The company faces challenges due to the decline in new listings of traditional equities (i.e., company stocks), which is compounded by fierce competition from NYSE Euronext (NYX) in the mature U.S. equities market. Nasdaq currently makes about two-thirds of its revenue from the listing and transacting of equities. As such, the company is dependent on the overall health of the U.S. economy, in particular the information technology and financial services sectors.

The company is poised to leverage new opportunities in the increase of derivative finance instruments, as evidenced by its acquisition of the Philadelphia Stock Exchange—the third biggest derivatives player—in 2007. In addition, the company is staking much of its growth potential on its ability to continue expanding outside the mature U.S. markets, as key international markets are growing at a much faster rate.^[1]

(Read more at Wikinvest )