Tradeweb Markets Inc. (TW) stock analysis

P/E below its 5-year median

Tradeweb Markets's P/E of 30.7 is below its own 5-year median of 55.3.

P/E above the industry

Tradeweb Markets's P/E of 30.7 is above the Security & commodity brokers, dealers, exchanges & services median of 25.3.

EV/EBITDA below its 5-year median

Tradeweb Markets's EV/EBITDA of 23.1 is below its 5-year median of 27.1.

P/B above the industry

Tradeweb Markets's price-to-book of 4.58 is above the Security & commodity brokers, dealers, exchanges & services median of 4.26.

Trading below fair value

The share price of $130.60 is below our fair value estimate of $133.05.

Margin of safety under 20%

The price is 1.8% below fair value, less than the 20% cushion we look for.

Revenue growing 10%+ a year

Revenue grew 20.0% a year over the last three fiscal years.

EPS growing 10%+ a year

Diluted EPS grew 36.7% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 44.3% over the last twelve months, against a 5-year average of 37.3% a year.

Growing slower than the industry

Revenue grew 14.4% over the last twelve months; the Security & commodity brokers, dealers, exchanges & services median is 14.4%.

Guidance issued

The latest outlook (Full-Year 2026 LSEG Market Data Contract Revenue, Oct 29, 2026) was issued for the first time, so it neither adds nor takes away points.

Gross margin trend

This company does not report gross profit.

Return on equity under 15%

Return on equity was 14.1% over the last twelve months and averaged 8.2% over five years; we look for 15% on both.

Return on capital over 10%

Return on invested capital was 17.7%, above the 10% that usually covers the cost of capital.

Return on equity below the industry

Tradeweb Markets's return on equity of 14.1% is below the Security & commodity brokers, dealers, exchanges & services median of 14.2%.

Earnings grew over 5 years

Net income grew 37.3% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 39.8% over the last twelve months, against a 5-year average of 28.6%.

Net margin above the industry

Tradeweb Markets's net margin of 39.8% is above the Security & commodity brokers, dealers, exchanges & services median of 3.6%.

No debt

Tradeweb Markets has no borrowings on its latest balance sheet.

Debt not rising

With no debt today, leverage cannot have risen.

Debt covered by cash flow

There is no debt to cover.

Interest well covered

Operating income covers interest expense 490.2 times.

Short-term liquidity

The balance sheet is not split into current and non-current items.

Low bankruptcy risk

The Altman Z-score is 17.55; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Tradeweb Markets paid dividends worth 0.4% of the share price over the last twelve months.

Yield below Treasuries

The 0.4% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Tradeweb Markets yields 0.4%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 6 fiscal years.

Earnings cover

Needs dividends paid and net income.

Cash-flow cover

Needs dividends paid and free cash flow.