Since August 2025, MarketAxess has been in a holding pattern, posting a small loss of 1.4% while floating around $184.95. The stock also fell short of the S&P 500’s 7.2% gain during that period.

Is now the time to buy MarketAxess, or should you be careful about including it in your portfolio? See what our analysts have to say in our full research report, it’s free.

Why Do We Think MarketAxess Will Underperform?

We don't have much confidence in MarketAxess. Here are two reasons there are better opportunities than MKTX and a stock we'd rather own.

1. Long-Term Revenue Growth Disappoints

A company’s long-term sales performance can indicate its overall quality. Any business can have short-term success, but a top-tier one grows for years.

Over the last five years, MarketAxess grew its revenue at a sluggish 4.2% compounded annual growth rate. This was below our standard for the financials sector.

2. EPS Trending Down

Analyzing the long-term change in earnings per share (EPS) shows whether a company's incremental sales were profitable – for example, revenue could be inflated through excessive spending on advertising and promotions.

Sadly for MarketAxess, its EPS declined by 1.3% annually over the last five years while its revenue grew by 4.2%. This tells us the company became less profitable on a per-share basis as it expanded.

Final Judgment

We see the value of companies driving economic growth, but in the case of MarketAxess, we’re out. With its shares underperforming the market lately, the stock trades at 22.1× forward P/E (or $184.95 per share). This multiple tells us a lot of good news is priced in - we think other companies feature superior fundamentals at the moment. We’d recommend looking at a top digital advertising platform riding the creator economy.

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