ICE Intercontinental Exchange, Inc. - Fundamental Analysis
BULLISH
ICE Stock | Fundamental Analysis & Investment Insights
NYSE
•
Financial Services
•
Financial Data & Stock Exchanges
Current Price
$152.07
Analyst Target
$192.44
+26.5% Upside
52W High
$189.35
52W Low
$142.29
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
88%
Analysis Accuracy
Intercontinental Exchange (ICE) presents a compelling investment case supported by strong profitability, consistent earnings growth, and favorable valuation relative to peers despite near-term price underperformance. The company has delivered 23 out of 25 earnings beats over the past six years, with accelerating YoY EPS growth of 10.3% and a robust 24.6% year-over-year earnings increase. While insider selling raises a cautionary note, the stock trades at a forward P/E of 22.56—below its historical average and at a discount to sector leaders—amid improving momentum and a $192.44 analyst target implying 26.5% upside. ICE’s dominant margin profile, disciplined capital allocation, and exposure to structural trends in data and markets position it well for sustained outperformance.
Key Strengths
Exceptional operating margin of 49.07%, among the highest in the Financial Services sector, reflecting pricing power and cost discipline
Gross margin of 100.00%, indicative of a highly scalable, asset-light business model in data and exchange services
Earnings growth accelerating with 24.6% YoY and 24.2% Q/Q growth, outpacing sector average revenue growth of 24.18%
Forward P/E of 22.56 trades at a discount to its own historical levels and peers like MMC and APO despite superior profitability
Strong analyst consensus with a $192.44 target price, implying 26.5% upside from current levels
Key Risks
Insider selling activity: $46.32M in sales over the last 6 months with zero buys, suggesting lack of confidence among executives
High current valuation on trailing P/E of 27.70, above sector average P/E of 20.60, creating multiple expansion risk
Weak liquidity profile: current ratio of 1.01 and extremely low quick ratio of 0.03 indicate potential near-term cash conversion pressure
Revenue growth of 2.60% YoY lags peer group and sector average, raising concerns about top-line scalability
Missing key financial data (EV, debt, cash, shares outstanding) limits full credit and leverage risk assessment
AI Fair Value Estimate
Based on comprehensive analysis
$192.44
+26.5% above current price
Performance Snowflake
Multi-dimensional AI analysis across 5 key categories
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Historical Performance Trends
Long-term financial metrics and growth patterns
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability, Growth & Financial Health
Detailed profit margins, ROE, debt ratios, and liquidity metrics
Sector Comparison & Peer Analysis
Compare ICE against industry averages and similar companies
Insider Trading & Analyst Ratings
Track insider transactions and Wall Street analyst recommendations