Friday, April 01, 2011

NASDAQ and ICE Making Takeover Offer for NYSE

Nasdaq (NDAQ) and IntercontinentalExchange (ICE) are making a joint offer of $11.3 billion offer for NYSE Euronext (NYX), the parent of the New York Stock Exchange. I have previously predicted stock exchange takeover activity in an article back in February. Just one week later, the NYSE Euronext and Deutsche Börse (DBOEY.PK), which operates the Frankfurt Stock Exchange, had agreed to a $10 billion stock merger.

NYSE Euronext, Inc. operates the New York Stock Exchange, Euronext and NYSE Arca. The stock trades at 13 times forward earnings and pays a yield of 3.4%.

The biggest American competitor to NYX is Nasdaq OMX Group Inc. which trades on its own exchange. NASDAQ was founded in 1971, and went public in 2002. It is the largest electronic screen-based equity securities trading market in the United States and second-largest by market capitalization in the world. The stock has a forward P/E of 10.

IntercontinentalExchange, Inc. (ICE) operates regulated futures exchange and over-the-counter markets, and derivatives clearing exchanges. The stock trades at 16 times forward earnings.

CME Group Inc. (CME) operates the CME, CBOT, NYMEX, and COMEX futures and options exchanges that trade futures contracts and options on futures contracts on interest rates, stock indexes, and other investments. The stock has a forward PE ratio of 16 and sports a yield of 1.9%.

To access other interesting stock lists like this, you should check out the various free downloadable stock lists at

Disclosure: Author did not own any of the above at the time the article was written.


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