MarketAxess (MKTX) Earnings Expected to Grow: Should You Buy?

Core Viewpoint - The upcoming earnings report for MarketAxess is critical, with expectations of a year-over-year earnings increase, but the actual results will significantly influence stock movement [18]. Estimate Revisions Trend - The consensus EPS estimate for MarketAxess has been revised down by 2.4% over the last 30 days, indicating a bearish sentiment among analysts [2]. - The Most Accurate Estimate for MarketAxess is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.69%, suggesting analysts have become more pessimistic about the company's earnings prospects [12]. - Despite the negative Earnings ESP, the company has beaten consensus EPS estimates three out of the last four quarters, indicating some potential for positive surprises [26]. Earnings Expectations - MarketAxess is expected to report quarterly earnings of $1.69 per share, reflecting a year-over-year increase of 3.7% [4]. - Revenues are projected to be $199.15 million, which is a 10.7% increase from the same quarter last year [19]. Earnings Surprise Prediction - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [17]. - The current Zacks Rank for MarketAxess is 3, making it challenging to predict a definitive earnings beat [24][25]. Market Sentiment - The stock's movement may not solely depend on the earnings beat or miss, as other factors can influence investor sentiment and stock performance [23].