Tradeweb Markets Inc. (TW) on Decifer

Decifer ranks TW number 77 of 265 tracked names on durable business quality.

Why it ranks here

• It earns solid returns on the money it puts to work, around 9% and those returns have been improving and it turns most of its profit into real cash.
• Revenue is growing about 19% a year and profits grew 61% over the past year.
• It keeps a high share of every sale as profit, and that has stayed steady over the years, a sign of real pricing power, with profitability widening as it grows.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• And it returns cash to shareholders.
• It trades about 114% above similar companies, and its growth does not yet back up that price.
• One of 3 trade execution suppliers with improving 9% returns in a partly recognized system, but a 116% premium and weak momentum of 4 out of 35 suggest waiting.

The current read

The evidence on TW lines up on the supportive side: a live market force supports this name through its theme connection. The independent signals we track are telling the same story.

Themes

• Electronification of Capital Markets: Trading in equities, options, fixed income and rates is moving structurally onto electronic venues, driving volume and data-monetization growth for exchanges and platform brokers.

Read the full TW research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.