This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Consider Trailing Stop Losses and Buying NYX

Stocks in this article: NYX

With that said, let me introduce you to a company that is in the business of operating securities (i.e. stock) exchanges: NYSE Euronext (NYX).

At the moment, shares of NYX are "on sale!"

Headquartered in New York City, NYX is an international exchange operator. It owns and runs the New York Stock Exchange (NYSE), NYSE Arca, Inc., and NYSE Amex LLC in the United States.

It also operates five European-based exchanges comprised of the Euronext N.V., the Paris, Amsterdam, Brussels, and Lisbon stock exchanges, as well as the NYSE Liffe derivatives markets in London, Paris, Amsterdam, Brussels, and Lisbon.

NYSE Euronext offers an expansive range of products and services in cash equities, futures, options, swaps, exchange-traded products, bonds, clearing operations, market data, commercial technology solutions and carbon trading to investors, issuers, financial institutions and market participants.

You can learn more about the company by visiting its user-friendly Web site and exploring all the ways it makes money and makes markets for all sorts of investment products.

NYX has a $6.22 billion market cap and an average daily volume of 2,385,000 shares traded. For various and sundry reasons, including the problems associated with Hurricane Sandy, NYX is trading closer to its 52-week low price.

As I write, the share price is at $25.30, giving it a dividend yield-to-price of 4.74%. Try to find a company that has a solid corner on its market with a 22% operating margin, operating cash flow (trailing 12-month) of $938 million and levered free cash flow of $696 million with a dividend yield of 4.74%. Bet you can't!

As you can see from the five-year chart below, there appears to be a disconnect between the share price of NYX and its impressive operating margin. My thesis is that this may be corrected in the very near future. NYX Chart NYX data by YCharts

Now before you buy some shares I have one warning. NYX reports its latest quarterly earnings results on Tuesday, Election Day. If the company disappoints or if its forward guidance isn't encouraging enough, the stock could move lower in reaction. The opposite scenario could see a sharp spike in shares.

2 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs