Intercontinental Exchange, Inc. (ICE) Stock Valuation — PE Analysis
Financial - Data & Stock Exchanges · NYSE
Current Price
$157.40
PE Ratio (TTM)
22.1x
Intrinsic Value
$166.53
+5.5% margin of safety
COMPETITIVE MOAT
↑Network Effects in Trading Platforms
ICE's exchanges benefit from strong network effects. More participants attract more participants, increasing liquidity and making the platform more valuable for everyone.
↑Data Dominance and Scale
ICE possesses vast amounts of historical and real-time market data. This scale provides a significant advantage in analytics and product development, creating a data moat.
↑High Switching Costs for Clients
Clients are deeply integrated into ICE's trading and data infrastructure. Migrating away involves substantial costs and operational disruption, fostering customer stickiness.
INVESTMENT RISKS
↓Dependence on Financial Market Volatility
ICE's revenue is tied to trading volumes and data subscriptions, which are sensitive to market conditions. Prolonged periods of low volatility could negatively impact performance.
↓Competition from Alternative Data Providers
While ICE has a data advantage, other firms are developing sophisticated data analytics. Increased competition could pressure pricing and market share for its data products.
↓Cybersecurity Threats and Data Breaches
As a custodian of sensitive financial data, ICE is a prime target for cyberattacks. A significant breach could lead to financial losses and reputational damage.
Base case
ICE base case PE valuation
At a current price of $157.4, the base case PE valuation puts ICE fair value near $166.53 per share. That figure assumes 6.5% yearly earnings growth, a target PE multiple of 22.04x, and a 10% discount rate.
Intrinsic Value
$166.53
Margin of safety
+5.5%
Expected annual return
+1.1%
Base case assumptions: 6.5% annual earnings growth, 22.04x target PE, 10% discount rate, 5 year projection. Data as of 2026-09-11.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the ICE PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Intercontinental Exchange, Inc. respond.
Open PE Calculator for ICECompany Overview
Intercontinental Exchange, Inc. (ICE) manages a global network of regulated financial venues, encompassing exchanges, clearing houses, and listing platforms. These operations serve diverse markets, including commodities, financial instruments, fixed income products, and equities, with a geographical footprint spanning key financial centers such as the United States, United Kingdom, European Union, Singapore, Israel, and Canada. The company's business is segmented into three core areas: Exchanges, Fixed Income and Data Services, and Mortgage Technology. Within its Exchanges segment, ICE oversees a robust network comprising 13 regulated exchanges and 6 clearing houses. These extensive marketplaces enable the listing, trading, and clearing of a wide spectrum of derivatives contracts and financial securities. This includes futures and options across diverse sectors such as energy, agriculture, metals, financials, and equities, in addition to providing critical listing, market data, and connectivity solutions. The Fixed Income and Data Services division provides comprehensive analytics and execution services for fixed income products, manages Credit Default Swap (CDS) clearing, and offers multi-asset class data and network solutions. Furthermore, its Mortgage Technology segment delivers an advanced, proprietary platform designed for residential mortgage origination. This division also provides closing solutions that streamline connections across the mortgage supply chain and facilitate secure information exchange, alongside data analytics and "Data as a Service" offerings for lenders to access vital origination insights. Intercontinental Exchange, Inc. was established in 2000 and maintains its headquarters in Atlanta, Georgia.
Financial Metrics — ICE PE Stock Valuation Data
PE Ratio (TTM)
22.1x
PEG Ratio
0.62
Earnings Yield
4.54%
ROE (TTM)
13.8%
Revenue/Share (TTM)
$23.80
Dividend Yield
1.27%
Debt/Equity
0.69x
Frequently Asked Questions
What is the PE ratio of ICE?
The trailing twelve-month PE ratio of ICE reflects how much investors pay per dollar of Intercontinental Exchange, Inc.'s earnings. This metric is most useful when compared to Financial - Data & Stock Exchanges peers and the company's own historical range.
Is ICE overvalued based on PE ratio?
ICE's PE of 22.1x combined with a PEG ratio of 0.62 provides a growth-adjusted perspective. A PEG below 1.0 means the P/E is low relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Financial - Data & Stock Exchanges, a DCF analysis may be more appropriate.
How do I value ICE stock using PE ratio?
To value Intercontinental Exchange, Inc. using PE: (1) Compare the current PE (22.1x) against the Financial - Data & Stock Exchanges median to assess relative pricing, (2) check the PEG ratio (0.62) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of ICE?
ICE's PEG ratio is 0.62, calculated by dividing the PE ratio (22.1x) by the expected earnings growth rate. A PEG below 1.0 means the P/E is low relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for ICE stock valuation?
PE ratio gives a quick relative read — how ICE is priced versus Financial - Data & Stock Exchanges peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See ICE DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Financial Services valuationsP/E and DCF value ICE with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-09-11. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.