OTC Markets Group’s (OTCM’s) Q321 revenues were 20% ahead of our expectations, driven by trading (+22%), Market Data Licensing operations, which we consider to be a high-value business (+6%) and Corporate Services (+32%). Net acquisition of corporate clients has tempered marginally from Q221 but remains elevated, which bodes well despite a likely normalisation in trading activity. We raise our EPS forecast by 8% for 2021 and 14% for 2022. Management’s confidence prompted it to maintain the quarterly dividend at $0.18/share and to announce a special dividend of $1.50, and we expect the group to pay a similar special dividend in 2022.
24 Nov 2021
OTC Markets Group - Hitting it out of the ballpark
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OTC Markets Group - Hitting it out of the ballpark
- Published:
24 Nov 2021 -
Author:
Karl Morris -
Pages:
8
OTC Markets Group’s (OTCM’s) Q321 revenues were 20% ahead of our expectations, driven by trading (+22%), Market Data Licensing operations, which we consider to be a high-value business (+6%) and Corporate Services (+32%). Net acquisition of corporate clients has tempered marginally from Q221 but remains elevated, which bodes well despite a likely normalisation in trading activity. We raise our EPS forecast by 8% for 2021 and 14% for 2022. Management’s confidence prompted it to maintain the quarterly dividend at $0.18/share and to announce a special dividend of $1.50, and we expect the group to pay a similar special dividend in 2022.