Global market infrastructure company Intercontinental Exchange (NYSE: ICE) will be announcing earnings results this Thursday before the bell. Here’s what to look for.
Intercontinental Exchange beat analysts’ revenue expectations last quarter, reporting revenues of $2.50 billion, up 7.8% year on year. It was a satisfactory quarter for the company, with a narrow beat of analysts’ revenue estimates.
Is Intercontinental Exchange a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Intercontinental Exchange’s revenue to grow 19% year on year, improving from the 8% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Intercontinental Exchange has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Intercontinental Exchange’s peers in the financial exchanges & data segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Nasdaq delivered year-on-year revenue growth of 13.7%, beating analysts’ expectations by 2.2%, and MSCI reported revenues up 14.1%, topping estimates by 1.4%. Nasdaq traded up 3.7% following the results while MSCI was also up 7.2%.
Read our full analysis of Nasdaq’s results here and MSCI’s results here.
There has been positive sentiment among investors in the financial exchanges & data segment, with share prices up 12.8% on average over the last month. Intercontinental Exchange is up 1.3% during the same time and is heading into earnings with an average analyst price target of $198.80 (compared to the current share price of $159.00).
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