MarketAxess Holdings Inc. (MKTX): Today's Featured Financial Services Winner

MarketAxess Holdings ( MKTX) pushed the Financial Services industry higher today making it today's featured financial services winner. The industry as a whole closed the day down 0.6%. By the end of trading, MarketAxess Holdings rose 43 cents (1.4%) to $30.63 on light volume. Throughout the day, 179,153 shares of MarketAxess Holdings exchanged hands as compared to its average daily volume of 286,200 shares. The stock ranged in a price between $30.05-$30.92 after having opened the day at $30.07 as compared to the previous trading day's close of $30.20. Other companies within the Financial Services industry that increased today were: Paulson Capital ( PLCC), up 13.5%, Manhattan Bridge Capital ( LOAN), up 8.9%, CD International ( CDII), up 8.5%, and MicroFinancial ( MFI), up 5.3%.

MarketAxess Holdings Inc., through its subsidiaries, operates an electronic trading platform that allows investment industry professionals to trade corporate bonds and other types of fixed-income instruments. MarketAxess Holdings has a market cap of $1.1 billion and is part of the financial sector. The company has a P/E ratio of 23.5, equal to the average financial services industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 0.8% year to date as of the close of trading on Tuesday. Currently there are four analysts that rate MarketAxess Holdings a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates MarketAxess Holdings as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the negative front, Penson Worldwide ( PNSN), down 10%, Direct Markets Holdings ( MKTS), down 9.8%, Rodman & Renshaw Capital Group ( RODM), down 9.8%, and CIFC ( DFR), down 9.2%, were all losers within the financial services industry with CME Group ( CME) being today's financial services industry loser.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the financial services industry could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial services industry could consider Proshares Short Financials ( SEF).
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