Redburn Atlantic has just upgraded Nasdaq, Inc. (NDAQ) from Neutral to Buy, placing a fresh price target of $91. This marks a shift in sentiment fueled by Nasdaq’s strategic pivot toward becoming a tech-centric financial infrastructure powerhouse.
🟢 At the core of this upgrade is Nasdaq’s transformation from a traditional stock exchange to a global provider of analytics, cloud-based solutions, and anti-financial crime tools. The company’s continued investment in these high-margin, high-growth verticals is beginning to pay off, attracting more institutional clients and expanding its technology footprint across global markets.
🟢 Its Market Services arm continues to deliver, but what’s catching analyst attention is the growth in the Investment Intelligence and Market Technology segments. These units are bringing in recurring revenue and increasing operational leverage—critical components for long-term earnings momentum.
💰 Dividend Fundamentals
🟢 Nasdaq currently pays an annual dividend of $0.96 per share, translating to a yield of roughly 1.31% at current levels. This dividend is backed by a payout ratio near 49%, suggesting the company is striking a healthy balance between rewarding shareholders and reinvesting in its business.
🟢 More impressively, the company has raised its dividend for 13 consecutive years, showing confidence in its cash flow stability and long-term profitability. This kind of consistency is a strong vote of confidence for income-focused investors.
🔍 Final Take
🟢 For those looking to gain exposure to financial infrastructure with a tech-forward edge, Nasdaq offers a unique value proposition. The recent analyst upgrade underscores this momentum. Combined with a reliable dividend history and a renewed growth narrative, NDAQ is increasingly standing out as a strategic addition to growth and income portfolios alike.