Home : Research : Equity Research : U.S. Equity Research : U.S. Equity Research News

U.S. Equity Research News

Share |

Vinciquerra Upgrades Intercontinental Exchange (ICE) to OUTPERFORM from MARKET PERFORM

July 20, 2010

Michael Vinciquerra, senior research analyst covering Specialty Finance: Securities & Trading, has today upgraded Intercontinental Exchange (ICE) to an OUTPERFORM rating from MARKET PERFORM.

From Vinciquerra's note: "Shares of ICE have fallen 20% since reaching a closing high on June 16. Since then, news related to the company has been mixed (positive/negative), with the two most important developments being ICE's June operating release, which showed solid 2Q results but soft credit revenues, and the passing of the financial reform legislation. Overall, we've seen nothing terribly troubling. One legitimate concern is that a deflationary environment could be more challenging to ICE's growth. There are also still some important details to be worked out by regulators, but we view the passed legislation as being at worst neutral for ICE and more likely opening up some new opportunities. July activity to date has been softer than in recent months, but early July is typically not an active trading period, particularly given that much of ICE's energy trading is done in Europe. Overall, we believe the outlook for ICE's businesses is quite good, and we find the current price an attractive place to be accumulating a position."

To receive a full copy of the note or for more information, please contact your BMO Capital Markets representative.

<< Previous

Full List of News Items