1 Magnificent S&P 500 Dividend Stock That's Down 63% and Trading at a Once-in-a-Decade Valuation
Trading at a lofty average price-to-earnings (P/E) ratio of 50 during the past decade, (NASDAQ: MKTX) and its electronic bond trading platform is a perfect example of a stock I loved but couldn't stomach buying in large quantities.
With less than 40% of the U.S. corporate bond market electronically traded, MarketAxess' leadership position in its burgeoning niche made it seem like a no-brainer investment. And the market priced it as such. However, after pulling forward a couple of years' worth of sales growth in 2020 -- as the pandemic encouraged electronic trading's adoption and higher volatility boosted trading volume -- MarketAxess has struggled mightily.
Now trading 63% below its all-time highs, is the company's new once-in-a-decade valuation a buying opportunity or a value trap? Here's why I'm thinking the former.
Source Fool.com
MarketAxess Holdings Aktie
Gleichstand bei MarketAxess Holdings: Die Anzahl der Buy- und Sell-Einschätzungen ist gleich.
Bei einem Kursziel von 233 € ergibt sich ein leicht positives Potenzial von 10.58% im Vergleich zum aktuellen Kurs von 210.7 € für MarketAxess Holdings.
