McElhenny Sheffield Capital Management LLC Acquires Shares of Nasdaq, Inc.: What Does the Future Hold for the Financial Services Provider?

In a recent filing with the Securities and Exchange Commission (SEC), McElhenny Sheffield Capital Management LLC declared that it has acquired 13,344 shares of Nasdaq, Inc. (NASDAQ:NDAQ) in the first quarter of 2023, amounting to a valuation of $730,000. This new position has caused quite a stir among financial analysts and stock market enthusiasts alike, who are closely monitoring the movements of the financial services provider to determine what impact this acquisition could have on its future prospects.

Nasdaq’s most recent quarterly earnings report, released on April 19th, revealed positive results for the firm. The company reported earnings per share (EPS) of $0.69 for Q1 2023, beating estimates by $0.03. The financial services provider also achieved an impressive net margin of 18.38%, as well as a return on equity of 22.15%. The firm generated $914 million in revenue for Q1 alone, up from last year’s figures by 2.5%.

Despite these promising numbers, Nasdaq has been the subject of several research reports recently, some of which have expressed concern over the company’s direction. Deutsche Bank Aktiengesellschaft lowered their price objective on shares of Nasdaq from $56 to $53 in a report on June 13th while Morgan Stanley cut shares of Nasdaq from an “overweight” rating to an “equal weight” rating and lowered their price objective for the company from $70 to $60 in another report on April 11th.

However, Oppenheimer raised their price objective on shares of Nasdaq from $64 to $65 and gave the company an “outperform” rating in a report on April 20th while Rosenblatt Securities reiterated a “buy” rating and set a target price at $82.

As it stands now, two research analysts have rated Nasdaq’s shares as “sell,” eight have assigned a “hold” rating, and five have given a “buy” rating to the company’s stock. According to Bloomberg.com, the stock currently has an average rating of “hold,” with a consensus target price of $62.12.

With such mixed indicators in place, it remains anyone’s guess how the acquisition by McElhenny Sheffield Capital Management LLC will impact Nasdaq’s trajectory moving forward. As financial analysts continue to monitor this new position, we await with bated breath for Nasdaq’s next move in the high-stakes world of financial services providers.

Institutional investors increase their positions in Nasdaq despite market turbulence

Nasdaq, the global electronic marketplace for buying and selling securities, announced a series of changes in share positions among major institutional investors and hedge funds. Federated Hermes increased their position in Nasdaq by an impressive 168.8% during Q3, now owning 223,844 shares worth $12,687,000. UBS Asset Management Americas Inc., which now owns 1,411,223 shares of Nasdaq’s stock valued at $79,988,000 after acquiring an additional 953,784 shares in the last quarter increased its position by 208.5%. Moreover, Fund Management at Engine No.1 LLC acquired a new stake in Nasdaq valued at about $229k while Atria Investments rose their position by 35.1%, owning now 35,359 shares worth $2,169m after acquiring an additional 9.179 shares in the last quarter. Finally Gateway Investment Advisers increased their position to own 7,622 shares of the financial services provider’s stock valued at $468k after purchasing an additional 809 shares in Q4. As of June 23rd this year institutional investors and hedge funds own a majority holding (72.38%) on the company’s total stock.
 
Nasdaq opened at $49.55 on Friday; following a moving average of $54.55 for fifty days and standing above its two hundred days moving average that is currently fixed at $57.22 despite being subject to several research reports which may have led some investors to be concerned over future earnings growth potential with Deutsche Bank Aktiengesellschaft lowering their price objective on June13th from$56to$53.Shareholders who saw value remained loyal despite some negative rating commentary as indicated through Oppenheimer raising their prices objective from an initial price tag of$64 up to$65 making them buyers of this equities product offering.
 
Nasdaq’s beta of 0.97 brings a fairly low level of volatility to investors and after looking at some of the comparative industry data, Nasdaq’s payout ratio of 38.26% suggests a fair allocation given current earnings levels at $2.49 per share. Finally, it was also reported that Director Steven D.Black acquired 4,000 shares of Nasdaq Inc with a total value of$205,840 at an average $51.46.The Director now owns 144,469 shares in the company worth approximately $7,434,374.Furthermore insid­­ers own only 0.75% of the all stock floated suggesting both high levels of liquidity and transparency for shareholders on this securities exchange platform.