-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Following strong Q1 results and accounting for economic uncertainty, we reduce our 12-month target price by $15 to $120, applying a forward P/E of 27.0x our 2027 EPS estimate, above NDAQ's five-year average forward P/E of 23.5x, given continued wins in financial crime and momentum in the Index segment. We increase our 2026 EPS estimate by $0.03 to $3.98 and raise 2027's by $0.18 to $4.44. NDAQ is firing on all cylinders with no signs of AI disrupting its strong competitive moat. In fact, performance is accelerating. The company posted its strongest Q1 organic growth since 2021 across net revenue, solutions revenue, and operating income. Record revenue growth in Financial Technology was particularly encouraging as we have long argued that NDAQ holds a competitive advantage with Verafin and its industry leading anti-financial crime solutions. Momentum is building in Verafin, which added 58 new small and medium bank clients in Q1, a 24% Y/Y increase, signaling a bright outlook ahead.