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Compared to Estimates, Tradeweb (TW) Q3 Earnings: A Look at Key Metrics

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Tradeweb Markets (TW - Free Report) reported $448.92 million in revenue for the quarter ended September 2024, representing a year-over-year increase of 36.7%. EPS of $0.75 for the same period compares to $0.55 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $449.19 million, representing a surprise of -0.06%. The company delivered an EPS surprise of -1.32%, with the consensus EPS estimate being $0.76.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Tradeweb performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Average variable fees per million dollars of volume - Money Markets: $0.54 compared to the $0.45 average estimate based on 10 analysts.
  • Average variable fees per million dollars of volume - Equities: $15.82 compared to the $15.55 average estimate based on 10 analysts.
  • Average variable fees per million dollars of volume - Credit: $39.76 versus the 10-analyst average estimate of $43.56.
  • Average variable fees per million dollars of volume - Rates: $2.07 compared to the $2.02 average estimate based on 10 analysts.
  • Revenue by Asset Class- Credit- Variable: $109.52 million versus $103.81 million estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +32.8% change.
  • Revenue by Asset Class- Money Markets- Fixed: $4.20 million versus the 10-analyst average estimate of $4.51 million. The reported number represents a year-over-year change of -3.1%.
  • Revenue by Asset Class- Money Markets- Variable: $31.93 million versus $27.84 million estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +179.3% change.
  • Revenue by Asset Class- Equities- Variable: $23.22 million versus the 10-analyst average estimate of $25.67 million. The reported number represents a year-over-year change of +25.1%.
  • Revenue by Asset Class- Equities- Fixed: $2.30 million compared to the $2.34 million average estimate based on 10 analysts. The reported number represents a change of -1.2% year over year.
  • Revenue by Asset Class- Credit- Fixed: $8.79 million versus $8.18 million estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +16% change.
  • Revenue by Asset Class- Rates- Fixed: $59.42 million compared to the $60.10 million average estimate based on 10 analysts. The reported number represents a change of +1.2% year over year.
  • Revenue by Asset Class- Other: $6.09 million versus the 10-analyst average estimate of $5.99 million. The reported number represents a year-over-year change of +4%.
View all Key Company Metrics for Tradeweb here>>>

Shares of Tradeweb have returned +5.3% over the past month versus the Zacks S&P 500 composite's +1.8% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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