Virtu Financial price target lowered to $20 from $22 at BofA

BofA lowered the firm’s price target on Virtu Financial to $20 from $22 and keeps a Buy rating on the shares after the company reported adjusted EPS that missed consensus by 27%, which stemmed from the market-making segment, where the firm notes that revenue hit a post-pandemic low driven by a retail pivot to sub-dollar equity trading and crypto in addition to lower spreads. Given that volatility remains near a multi-year low, the firm anticipates that revenue capture will be hurt by narrow spreads and it has lowered its 2024, 2025 and 2026 EPS estimates.