IntercontinentalExchange Group Inc. (ICE) Rating Lowered to Sell at Zacks Investment Research
IntercontinentalExchange Group Inc. (NYSE:ICE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Friday.
According to Zacks, “Intercontinental Exchange’s exposure to stiff competition, low interest rate, challenging regulations and volatile industry trends raise concerns. Moreover, weak volumes are a drag on margins and remain headwinds. The Zacks Consensus Estimate for both 2016 and 2017 witnessed a downward estimate revision over the last 60 days. Nonetheless, incremental cash flows and capital position support efficiencies, strategic acquisitions, alliances and divestments, product novelty, and global expansion. Successful integration of acquisitions, timely achievement of cost synergies and steady debt reduction raise optimism. The company now expects adjusted operating expenses in the range of $1.94–$1.97 billion for 2016. Its inorganic story seems impressive with prudent acquisitions. Notably, the second-quarter 2016 marked the seventh straight quarter of double-digit earnings growth.”
Other equities analysts also recently issued research reports about the stock. Deutsche Bank AG raised their target price on shares of IntercontinentalExchange Group from $310.00 to $311.00 and gave the company a “buy” rating in a research note on Friday, September 9th. Keefe, Bruyette & Woods raised their price target on shares of IntercontinentalExchange Group from $300.00 to $310.00 and gave the company an “outperform” rating in a research report on Thursday, August 4th. Barclays PLC raised their price target on shares of IntercontinentalExchange Group from $295.00 to $307.00 and gave the company an “overweight” rating in a research report on Thursday, August 4th. RBC Capital Markets reissued a “sector perform” rating and set a $282.00 price target (up previously from $255.00) on shares of IntercontinentalExchange Group in a research report on Thursday, August 4th. Finally, Royal Bank Of Canada raised their price target on shares of IntercontinentalExchange Group from $255.00 to $282.00 and gave the company a “sector perform” rating in a research report on Thursday, August 4th. One analyst has rated the stock with a sell rating, three have given a hold rating and seven have assigned a buy rating to the company. The stock currently has an average rating of “Buy” and a consensus target price of $296.18.
Shares of IntercontinentalExchange Group (NYSE:ICE) opened at 268.40 on Friday. The company has a market cap of $30.88 billion, a PE ratio of 22.14 and a beta of 0.92. IntercontinentalExchange Group has a one year low of $227.22 and a one year high of $287.02. The firm’s 50-day moving average is $277.39 and its 200-day moving average is $262.01.
IntercontinentalExchange Group (NYSE:ICE) last announced its earnings results on Wednesday, August 3rd. The company reported $3.43 earnings per share for the quarter, beating the Zacks’ consensus estimate of $3.38 by $0.05. IntercontinentalExchange Group had a net margin of 25.83% and a return on equity of 10.72%. The business earned $1.10 billion during the quarter, compared to the consensus estimate of $1.12 billion. During the same quarter last year, the firm earned $2.90 earnings per share. The business’s revenue for the quarter was up 41.7% on a year-over-year basis. On average, equities analysts anticipate that IntercontinentalExchange Group will post $13.80 EPS for the current year.
In other news, CFO Scott A. Hill sold 9,117 shares of IntercontinentalExchange Group stock in a transaction on Wednesday, August 3rd. The shares were sold at an average price of $280.00, for a total transaction of $2,552,760.00. Following the transaction, the chief financial officer now owns 38,809 shares in the company, valued at approximately $10,866,520. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Charles A. Vice sold 1,500 shares of IntercontinentalExchange Group stock in a transaction on Wednesday, October 5th. The stock was sold at an average price of $267.55, for a total transaction of $401,325.00. Following the transaction, the insider now owns 61,483 shares in the company, valued at approximately $16,449,776.65. The disclosure for this sale can be found here. Insiders own 1.40% of the company’s stock.
Several hedge funds and other institutional investors have recently modified their holdings of ICE. D. Scott Neal Inc. boosted its position in IntercontinentalExchange Group by 100.0% in the second quarter. D. Scott Neal Inc. now owns 400 shares of the company’s stock worth $102,000 after buying an additional 200 shares during the period. Point72 Asia Hong Kong Ltd purchased a new position in IntercontinentalExchange Group during the second quarter worth $102,000. LSV Asset Management purchased a new position in IntercontinentalExchange Group during the second quarter worth $116,000. Johnson Financial Group Inc. boosted its position in IntercontinentalExchange Group by 225.0% in the second quarter. Johnson Financial Group Inc. now owns 468 shares of the company’s stock worth $120,000 after buying an additional 324 shares during the period. Finally, Invictus RG boosted its position in IntercontinentalExchange Group by 2,695.5% in the first quarter. Invictus RG now owns 615 shares of the company’s stock worth $145,000 after buying an additional 593 shares during the period. Institutional investors and hedge funds own 90.04% of the company’s stock.
IntercontinentalExchange Group Company Profile
Intercontinental Exchange Inc, formerly IntercontinentalExchange Group, Inc, is a network of regulated exchanges and clearing houses for financial and commodity markets. The Company delivers transparent and accessible data, technology and risk management services to markets around the world through its portfolio of exchanges, including the New York Stock Exchange, ICE Futures, Liffe and Euronext.
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