Tradeweb Markets initiated with an Outperform at William Blair

William Blair initiated coverage of Tradeweb Markets with an Outperform rating. Tradeweb is a leading global operator of electronic marketplaces, with a focus on fixed income, the analyst tells investors in a research note. The firm says the company has one of the broadest client networks, the most diverse products, and innovative technology and protocols “that keep it at the industry forefront.” It also has a strong balance sheet with no debt and benefits in market dislocations, adds Blair. The firm believes secular growth trends, market share gains, and margin expansion will drive 15%-20% earnings growth in 2024 and 2025. Its discounted cash flow model supports a share price of $120-$124.