MarketAxess Holdings Inc. increased its share‑repurchase authorization to $505 million, adding $400 million to the $105 million that remained from a prior authorization. The move is part of the company’s broader capital‑return strategy and signals confidence in its cash‑flow generation and balance‑sheet strength.
The company will execute an Accelerated Stock Repurchase (ASR) with JPMorgan Chase Bank to buy back $300 million of common stock. The ASR will be funded with $80 million in cash on hand and $220 million borrowed under the company’s revolving credit facility, leaving $205 million of repurchase capacity after the transaction.
MarketAxess’s decision follows strong cash‑flow performance: net cash from operating activities reached $400 million and trailing‑twelve‑month free cash flow was $385 million as of September 30, 2025. The company’s balance sheet is debt‑free, with a debt‑to‑equity ratio of 0%, providing the flexibility to support the buyback and future investments.
Management highlighted confidence in the long‑term strategy and the importance of technology modernization. CEO Chris Concannon said the repurchase program demonstrates a commitment to shareholder value and that continued investment in technology will drive future revenue growth.
The announcement coincides with new medium‑term financial targets for 2026‑2028: average annual revenue growth of 8‑9% and operating‑margin improvement of 75‑125 basis points per year, driven by growth in composite credit and U.S. government bond average daily volume. Investors responded positively to the announcement, underscoring confidence in MarketAxess’s capital allocation and growth outlook.
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