In the last three months, 6 analysts have published ratings on Virtu Finl (NASDAQ:VIRT), offering a diverse range of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 3 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 2 | 0 | 2 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $24.62, a high estimate of $31.00, and a low estimate of $21.50. Observing a 16.57% increase, the current average has risen from the previous average price target of $21.12.
Deciphering Analyst Ratings: An In-Depth Analysis
A clear picture of Virtu Finl's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Patrick Moley | Piper Sandler | Raises | Overweight | $31.00 | $25.00 |
| Alex Kramm | UBS | Raises | Neutral | $24.00 | $18.00 |
| Alexander Blostein | Goldman Sachs | Raises | Neutral | $21.70 | $19.20 |
| Christopher Allen | Citigroup | Raises | Buy | $24.50 | $22.50 |
| Kenneth Worthington | JP Morgan | Raises | Neutral | $21.50 | $20.00 |
| Craig Siegenthaler | B of A Securities | Raises | Buy | $25.00 | $22.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Virtu Finl. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Virtu Finl compared to the broader market.
- Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Virtu Finl's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Virtu Finl analyst ratings.
Discovering Virtu Finl: A Closer Look
Virtu Financial Inc is a technology-enabled market maker and liquidity provider to the financial markets. The company's operating segment includes Market Making; and Execution Services. The non-operating segment of the company includes the Corporate segment. The company generates maximum revenue from the market-making segment. The Market Making segment principally consists of market-making in the cash, futures, and options markets across equities, options, fixed income, currencies, and commodities. Geographically, it derives a majority of its revenue from the United States and also has a presence in Ireland and Other Countries.
Virtu Finl's Financial Performance
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Positive Revenue Trend: Examining Virtu Finl's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 3.62% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Financials sector.
Net Margin: Virtu Finl's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 8.2%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Virtu Finl's ROE stands out, surpassing industry averages. With an impressive ROE of 4.37%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.39%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 4.79, caution is advised due to increased financial risk.
How Are Analyst Ratings Determined?
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.