Seek Returns

Tradeweb Markets (TW) Stock Analysis

This is a peer-relative look at Tradeweb Markets (TW): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Financial Services peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Tradeweb Markets (TW)
Profile ItemTW
NameTradeweb Markets Inc. Class A Common Stock
Country/RegionUnited States
GICS SectorFinancials
GICS Industry GroupFinancial Services
GICS IndustryCapital Markets
GICS Sub-IndustryFinancial Exchanges & Data
Market Capitalization27.59 billion USD
CurrencyUSD
ExchangeNasdaq
Listing DateApril 4, 2019
Security TypeCommon Stock

Price Performance

Cumulative Growth

TW
GSPC
Loading price history…
Tradeweb Markets (TW) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

Loading price history…
Trailing total returns for Tradeweb Markets (TW) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for Tradeweb Markets (TW) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Total Return (1Y)17.01%1.90%
Total Return (3Y, Annualized)11.65%12.71%
Total Return (5Y, Annualized)6.31%2.81%

Risk Profile

Drawdown History

TW
GSPC
Loading price history…
Tradeweb Markets (TW) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

Loading price history…
Distribution of monthly total returns for Tradeweb Markets (TW) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Volatility (1Y, Annualized)30.82%36.24%
Beta (5Y)0.541.04
Max Drawdown (5Y)-48.64%-48.56%

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. TW is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Sharpe Ratio (1Y)0.41-0.09
Sortino Ratio (1Y)0.60-0.13

Profitability

ROE (TTM)

Tradeweb Markets (TW) posts ROE of 14.46%, roughly around the peer group’s normal range. Shareholders’ equity is producing a return that looks broadly typical for the industry.

TW

Financial Services industry group

14.46%

Group distribution
Max
44.78%
Q3
21.85%
TW
14.46%
Median
12.91%
Q1
4.48%
Min
-18.71%
Largest peers
MA
231.37%
V
63.51%
MS
18.04%
GS
17.71%
TW
14.46%
BRK.A
12.12%
BRK.B
12.12%
Loading chart…
Where Tradeweb Markets (TW) stands on ROE within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Tradeweb Markets (TW) keeps 39.86% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

TW

Financial Services industry group

39.86%

Group distribution
Max
62.84%
TW
39.86%
Q3
28.05%
Median
15.36%
Q1
4.82%
Min
-28.52%
Largest peers
V
51.20%
MA
46.73%
TW
39.86%
GS
31.21%
MS
25.63%
BRK.A
22.30%
BRK.B
22.30%
Loading chart…
Where Tradeweb Markets (TW) stands on net margin within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Tradeweb Markets (TW) turns 43.30% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

TW

Financial Services industry group

43.30%

Group distribution
Max
107.33%
Q3
55.90%
TW
43.30%
Median
30.09%
Q1
14.60%
Min
-44.34%
Largest peers
V
63.73%
MA
60.53%
TW
43.30%
MS
39.00%
GS
38.37%
BRK.A
32.56%
BRK.B
32.56%
Loading chart…
Where Tradeweb Markets (TW) stands on operating margin within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
ROE (TTM)14.46%12.91%
ROA (TTM)12.57%3.60%
Net Margin (TTM)39.86%15.36%
Operating Margin (TTM)43.30%30.09%
Gross Margin (TTM)----

Growth

Revenue Growth

Tradeweb Markets (TW) grew revenue 18.92%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

Loading chart…
Tradeweb Markets (TW): Revenue Growth across different time periods, set against Financial Services industry-group medians.

EPS Growth

Tradeweb Markets (TW) grew earnings per share 62.23%, in the upper peer quartile. Per-share profits are compounding faster than at most industry peers.

Loading chart…
Tradeweb Markets (TW): EPS Growth across different time periods, set against Financial Services industry-group medians.

Growth Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Revenue Growth (YoY)18.92%9.46%
Revenue Growth (3Y CAGR)19.97%10.90%
EPS Growth (YoY)62.23%7.46%
EPS Growth (3Y CAGR)36.69%13.04%

Financial Strength

Current Ratio (MRQ)

current ratio is set aside for Tradeweb Markets (TW) in Financial Services: these balance sheets are not best read through a current/non-current split, so regulatory, funding, or liquidity-coverage measures usually matter more.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for Tradeweb Markets (TW) in Financial Services: leverage is part of the business model itself, so capital adequacy, funding mix, and regulatory measures are usually better risk gauges.

Financial Strength Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Tradeweb Markets (TW) has dividend yield of 0.42%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

TW

Financial Services industry group

0.42%

Group distribution
Max
9.77%
Q3
3.92%
Median
1.09%
TW
0.42%
Q1
0.00%
Min
0.00%
Largest peers
MS
2.40%
GS
2.07%
V
0.66%
MA
0.53%
TW
0.42%
BRK.A
0.00%
BRK.B
0.00%
Loading chart…
Where Tradeweb Markets (TW) stands on dividend yield within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Tradeweb Markets (TW) has payout ratio of 12.68%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

TW

Financial Services industry group

12.68%

Group distribution
Max
241.07%
Q3
97.36%
Median
25.77%
TW
12.68%
Q1
0.00%
Min
0.00%
Largest peers
MS
32.91%
GS
25.88%
V
21.75%
MA
17.63%
TW
12.68%
BRK.A
0.00%
BRK.B
0.00%
Loading chart…
Where Tradeweb Markets (TW) stands on payout ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
Dividend Yield (TTM)0.42%1.09%
Dividend Payout Ratio (TTM)12.68%25.77%

Valuation

P/E Ratio (TTM)

Tradeweb Markets (TW) trades at P/E ratio of 29.98, in the richer earnings-multiple quartile for its industry. That premium needs support from growth, durable earnings, or stronger business quality.

TW

Financial Services industry group

29.98

Group distribution
Max
45.85
TW
29.98
Q3
24.64
Median
15.37
Q1
9.68
Min
0.16
Largest peers
V
34.31
MA
34.15
TW
29.98
MS
14.39
BRK.A
14.36
BRK.B
14.36
GS
12.45
Loading chart…
Where Tradeweb Markets (TW) stands on P/E ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Tradeweb Markets (TW) trades at 12.10 on P/S ratio, above the industry benchmark range. The stock is being valued at an unusually rich price per dollar of trailing revenue.

TW

Financial Services industry group

12.10

Group distribution
TW
12.10
Max
9.23
Q3
4.57
Median
2.72
Q1
1.28
Min
-0.55
Largest peers
V
17.18
MA
15.67
TW
12.10
MS
3.55
GS
3.52
BRK.A
3.18
BRK.B
3.18
Loading chart…
Where Tradeweb Markets (TW) stands on P/S ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Tradeweb Markets (TW) trades at 4.03 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

TW

Financial Services industry group

4.03

Group distribution
Max
7.79
TW
4.03
Q3
3.63
Median
1.57
Q1
0.81
Min
-0.39
Largest peers
MA
84.30
V
22.05
TW
4.03
MS
2.65
GS
2.36
BRK.A
1.72
BRK.B
0.00
Loading chart…
Where Tradeweb Markets (TW) stands on P/B ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Tradeweb Markets (TW) metric values compared with Financial Services industry-group medians
MetricCurrent stock: TWIndustry group median
P/E Ratio (TTM)29.9815.37
P/S Ratio (TTM)12.102.72
P/B Ratio (MRQ)4.031.57
Free Cash Flow Yield (TTM)----