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Valued at a market cap of $91.1 billion, Intercontinental Exchange, Inc. (ICE) provides technology and data to financial institutions, corporations, and government entities. The Atlanta, Georgia-based company operates regulated exchanges, clearing houses, and listings venues, along with providing data services for commodity, financial, fixed-income, and equity markets. It is scheduled to announce its fiscal Q1 earnings for 2025 before the market opens on Thursday, May 1.
Ahead of this event, analysts expect this financial services company to report a profit of $1.69 per share, up 14.2% from $1.48 per share in the year-ago quarter. The company has met or surpassed Wall Street's earnings estimates in each of the last four quarters. In Q4 2024, ICE’s EPS of $1.52 outpaced the forecasted figure by 2%.
For fiscal 2025, analysts expect ICE to report a profit of $6.83 per share, up 12.5% from $6.07 in fiscal 2024. Furthermore, its EPS is expected to grow 10.8% year over year to $7.57 in fiscal 2026.
ICE has rallied 21.3% over the past 52 weeks, outpacing both the S&P 500 Index's ($SPX) 5.4% gain, and the Financial Select Sector SPDR Fund’s (XLF) 17.5% uptick over the same time frame.
On Feb. 6, shares of ICE surged 4.3% following its better-than-expected Q4 earnings release. The company posted adjusted revenue of $2.3 billion, up 5.5% year-over-year, beating Wall Street estimates. This growth was driven by solid performance across all its business segments, supported by a balanced and diversified model and strategic investments. Additionally, a 2.4% decrease in total operating expenses led to a 16.4% increase in its operating income, reaching $1.1 billion. This also contributed to a 100-basis point improvement in the company’s adjusted operating margin. Adding to the uptick, its adjusted EPS advanced 14.3% from the year-ago quarter to $1.52 and came in 2% above consensus estimates.
Wall Street analysts are highly optimistic about ICE’s stock, with a "Strong Buy" rating overall. Among 17 analysts covering the stock, 11 recommend "Strong Buy," three advise “Moderate Buy,” and three suggest “Hold.” The mean price target for ICE is $190, which indicates a 19.8% potential upside from the current levels.
