Tradeweb Markets Inc.

Financial ServicesFinancial - Capital MarketsNASDAQ

$109.94

Market Cap: $23.43B

Tradeweb Markets Inc. (TW) Valuation Summary

Updated Apr 6, 2026 22:29

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Growth Exit 5Y	$72.53 – $545.62	$120.43	-2.5%
Growth Exit 10Y	$93.40 – $716.08	$156.84	+26.9%
EBITDA Exit 5Y	$53.60 – $106.86	$77.98	-36.9%
EBITDA Exit 10Y	$72.85 – $151.99	$106.48	-13.8%
▸ Trading Multiples
P/E	$43.37 – $60.17	$48.82	-60.5%
EV/EBITDA	$48.81 – $107.90	$93.26	-24.5%
EV/Revenue	$28.25 – $39.21	$34.33	-72.2%
▸ PEG
PEG Fair Value	$55.25 – $55.25	$55.25	-55.3%
▸ Earnings Power Value
Earnings Power Value	$45.07 – $64.16	$52.64	-57.4%
▸ Dividend Discount
Dividend Discount	$11.64 – $44.89	$19.47	-84.2%

Valuation History

DCF Analysis

Fair Value

$120.43

Market Price

$109.94

Upside / Downside

+9.5%

Verdict

Undervalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Tradeweb Markets Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 13.2% to 8.8% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 70, DPO 157, DIO 60). At a 7.3% WACC with mid-year discounting, the terminal value (85% of enterprise value) is derived from the Gordon Growth Model on Year 6 FCFF at a 3.5% perpetual rate. After subtracting net debt, the equity value implies a fair price of $120.43 per share, suggesting TW is fairly valued by 9.5% at the current price of $109.94.

FCFF Present Value Calculation

WACC

7.26%

3% – 20%

Terminal Growth

3.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	1,007	1,117	1,212	1,333	1,450	1,501
(−) Net Interest	3	3	4	4	4	4
(+) D&A	51	58	65	74	89	92
EBITDA	1,061	1,178	1,281	1,412	1,544	1,598

(−) Tax	228	253	275	302	329	340
(−) CapEx	87	97	105	116	126	130
(−) ΔWC	183	28	24	31	29	30
Free Cash Flow (FCFF)	562	801	877	963	1,060	1,097

Terminal Value						29,171
WACC / Discount Rate	7.3%
Long-term Growth Rate	3.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	543	721	736	754	773	20,548

Enterprise Value	24,074
Projection Period	3,526	14.6%
Terminal Value	20,548	85.4%

(−) Current Net Debt	(1,806)

Equity Value	25,881
(/) Outstanding Shares	215

Fair Price	$120.43

Sensitivity Analysis

WACC \ Terminal Growth Rate	2.5%	3.0%	3.5%	4.0%	4.5%
5.3%	$169	$200	$250	$339	$546
6.3%	$125	$141	$162	$192	$239
7.3%	$100	$109	$120	$135	$155
8.3%	$84	$90	$97	$105	$116
9.3%	$73	$76	$81	$86	$93

Current price: $109.94. Green = undervalued, Red = overvalued.

Fair Value

$156.84

Market Price

$109.94

Upside / Downside

+42.7%

Verdict

Undervalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Tradeweb Markets Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 13.2% to 5.4% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 70, DPO 157, DIO 60). At a 7.3% WACC with mid-year discounting, the terminal value (75% of enterprise value) is derived from the Gordon Growth Model on Year 11 FCFF at a 3.5% perpetual rate. After subtracting net debt, the equity value implies a fair price of $156.84 per share, suggesting TW is undervalued by 42.7% at the current price of $109.94.

FCFF Present Value Calculation

WACC

7.26%

3% – 20%

Terminal Growth

3.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	1,007	1,117	1,212	1,333	1,450	1,669	1,881	2,073	2,236	2,357	2,439
(−) Net Interest	3	3	4	4	4	5	6	6	7	7	7
(+) D&A	51	58	65	74	89	106	118	131	146	161	167
EBITDA	1,061	1,178	1,281	1,412	1,544	1,780	2,004	2,210	2,388	2,525	2,614

(−) Tax	228	253	275	302	329	378	426	470	507	534	553
(−) CapEx	87	97	105	116	126	145	163	180	194	204	211
(−) ΔWC	183	28	24	31	29	55	53	49	41	31	32
Free Cash Flow (FCFF)	562	801	877	963	1,060	1,202	1,361	1,512	1,646	1,756	1,818

Terminal Value											48,344
WACC / Discount Rate	7.3%
Long-term Growth Rate	3.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	543	721	736	754	773	817	863	894	907	902	23,987

Enterprise Value	31,898
Projection Period	7,910	24.8%
Terminal Value	23,987	75.2%

(−) Current Net Debt	(1,806)

Equity Value	33,704
(/) Outstanding Shares	215

Fair Price	$156.84

Sensitivity Analysis

WACC \ Terminal Growth Rate	2.5%	3.0%	3.5%	4.0%	4.5%
5.3%	$233	$273	$337	$451	$716
6.3%	$170	$189	$214	$251	$309
7.3%	$133	$144	$157	$174	$197
8.3%	$110	$116	$124	$133	$145
9.3%	$93	$98	$102	$108	$115

Current price: $109.94. Green = undervalued, Red = overvalued.

Fair Value

$77.97

Market Price

$109.94

Upside / Downside

-29.1%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Tradeweb Markets Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 13.2% to 8.8% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 70, DPO 157, DIO 60). At a 7.3% WACC with mid-year discounting, the terminal value (76% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 10.3x to Year 6 EBITDA. After subtracting net debt, the equity value implies a fair price of $77.98 per share, suggesting TW is overvalued by 29.1% at the current price of $109.94.

FCFF Present Value Calculation

WACC

7.26%

3% – 20%

EV/EBITDA Exit Multiple

10.25x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	1,007	1,117	1,212	1,333	1,450	1,486
(−) Net Interest	3	3	4	4	4	4
(+) D&A	51	58	65	74	89	91
EBITDA	1,061	1,178	1,281	1,412	1,544	1,582

(−) Tax	228	253	275	302	329	—
(−) CapEx	87	97	105	116	126	—
(−) ΔWC	183	28	24	31	29	—
Free Cash Flow (FCF)	562	801	877	963	1,060	—

Peers' EBITDA Multiple						10.3x
Terminal Value						16,217
WACC / Discount Rate	7.26%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	543	721	736	754	773	11,424

Enterprise Value	14,950
Projection Period	3,526	23.6%
Terminal Value	11,424	76.4%

(−) Current Net Debt	(1,806)
Equity Value	16,756
(÷) Outstanding Shares	215M
Fair Price	$78	-29.1%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	6.3x	8.3x	10.3x	12.3x	14.3x
5.3%	$61	$73	$84	$95	$107
6.3%	$59	$70	$81	$92	$103
7.3%	$57	$68	$78	$88	$99
8.3%	$55	$65	$75	$85	$95
9.3%	$54	$63	$73	$82	$91

Current price: $109.94. Green = undervalued, Red = overvalued.

Based on default parameters

Fair Value

$106.48

Market Price

$109.94

Upside / Downside

-3.1%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Tradeweb Markets Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 13.2% to 5.4% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 70, DPO 157, DIO 60). At a 7.3% WACC with mid-year discounting, the terminal value (62% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 10.3x to Year 11 EBITDA. After subtracting net debt, the equity value implies a fair price of $106.48 per share, suggesting TW is fairly valued by 3.1% at the current price of $109.94.

FCFF Present Value Calculation

WACC

7.26%

3% – 20%

EV/EBITDA Exit Multiple

10.25x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	1,007	1,117	1,212	1,333	1,450	1,669	1,881	2,073	2,236	2,357	2,416
(−) Net Interest	3	3	4	4	4	5	6	6	7	7	7
(+) D&A	51	58	65	74	89	106	118	131	146	161	165
EBITDA	1,061	1,178	1,281	1,412	1,544	1,780	2,004	2,210	2,388	2,525	2,589

(−) Tax	228	253	275	302	329	378	426	470	507	534	—
(−) CapEx	87	97	105	116	126	145	163	180	194	204	—
(−) ΔWC	183	28	24	31	29	55	53	49	41	31	—
Free Cash Flow (FCF)	562	801	877	963	1,060	1,202	1,361	1,512	1,646	1,756	—

Peers' EBITDA Multiple											10.3x
Terminal Value											26,532
WACC / Discount Rate	7.26%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	543	721	736	754	773	817	863	894	907	902	13,165

Enterprise Value	21,075
Projection Period	7,910	37.5%
Terminal Value	13,165	62.5%

(−) Current Net Debt	(1,806)
Equity Value	22,882
(÷) Outstanding Shares	215M
Fair Price	$106	-3.1%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	6.3x	8.3x	10.3x	12.3x	14.3x
5.3%	$94	$109	$123	$138	$152
6.3%	$88	$101	$114	$128	$141
7.3%	$83	$95	$106	$118	$130
8.3%	$77	$88	$99	$110	$121
9.3%	$73	$83	$93	$103	$113

Current price: $109.94. Green = undervalued, Red = overvalued.

Based on default parameters

Trading Multiples

Fair Value

$48.82

Market Price

$109.94

Upside / Downside

-55.6%

Verdict

Overvalued

Using the industry peer median P/E Multiples multiple (trailing + forward), Tradeweb Markets Inc. (TW) has a fair value of $48.82 based on 8 comparable companies in the Financial - Capital Markets industry.

P/E Valuation — Financial - Capital Markets

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing P/E	Forward P/E
Tradeweb Markets Inc.TW	23,626	29.1x	27.2x
Citizens Financial Group, Inc.CFG	26,375	15.9x	20.3x
Nomura Holdings, Inc.NMR	23,642	10.9x	—
LPL Financial Holdings Inc.LPLA	23,580	27.0x	14.9x
Huntington Bancshares IncorporatedHBAN	23,574	11.5x	13.2x
Regions Financial CorporationRF	23,090	11.7x	13.3x
First Citizens BancShares, Inc.FCNCA	22,814	11.6x	10.3x
Futu Holdings LimitedFUTU	19,655	13.8x	—
T. Rowe Price Group, Inc.TROW	19,480	9.7x	9.2x
Industry Median		11.7x	13.2x
(*) Profit after tax		813	869
Equity Value		9,472	11,511
(/) Outstanding shares		215	215
Fair Price		$44	$54

Selected Fair Value (avg of trailing + forward)

$48.82

-55.6%

Fair Value

$93.99

Market Price

$109.94

Upside / Downside

-14.5%

Verdict

Overvalued

Using the industry peer median EV/EBITDA multiple (trailing + forward), Tradeweb Markets Inc. (TW) has a fair value of $93.99 based on 8 comparable companies in the Financial - Capital Markets industry.

EV/EBITDA Valuation — Financial - Capital Markets

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/EBITDA	Forward EV/EBITDA
Tradeweb Markets Inc.TW	23,626	15.3x	13.3x
Citizens Financial Group, Inc.CFG	26,375	9.3x	13.2x
Nomura Holdings, Inc.NMR	23,642	55.0x	—
LPL Financial Holdings Inc.LPLA	23,580	13.7x	13.8x
Huntington Bancshares IncorporatedHBAN	23,574	15.0x	25.5x
Regions Financial CorporationRF	23,090	6.1x	8.1x
First Citizens BancShares, Inc.FCNCA	22,814	11.2x	17.5x
Futu Holdings LimitedFUTU	19,655	3.5x	—
T. Rowe Price Group, Inc.TROW	19,480	5.9x	5.9x
Industry Median		10.3x	13.5x
(*) EBITDA		1,427	1,639
= Enterprise Value		14,629	22,153
(-) Net Debt		-1,806	-1,806
Equity Value		16,435	23,960
(/) Outstanding shares		215	215
Fair Price		$76	$111

Selected Fair Value (avg of trailing + forward)

$93.99

-14.5%

Fair Value

$34.55

Market Price

$109.94

Upside / Downside

-68.6%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Tradeweb Markets Inc. (TW) has a fair value of $34.55 based on 8 comparable companies in the Financial - Capital Markets industry.

EV/Revenue Valuation — Financial - Capital Markets

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Tradeweb Markets Inc.TW	23,626	10.6x	9.3x
Citizens Financial Group, Inc.CFG	26,375	2.2x	3.2x
Nomura Holdings, Inc.NMR	23,642	6.5x	—
LPL Financial Holdings Inc.LPLA	23,580	1.8x	1.8x
Huntington Bancshares IncorporatedHBAN	23,574	3.2x	5.5x
Regions Financial CorporationRF	23,090	1.8x	2.4x
First Citizens BancShares, Inc.FCNCA	22,814	2.6x	4.1x
Futu Holdings LimitedFUTU	19,655	2.1x	—
T. Rowe Price Group, Inc.TROW	19,480	2.3x	2.3x
Industry Median		2.3x	2.8x
(*) Revenue		2,052	2,357
= Enterprise Value		4,675	6,560
(-) Net Debt		-1,806	-1,806
Equity Value		6,481	8,367
(/) Outstanding shares		215	215
Fair Price		$30	$39

Selected Fair Value (avg of trailing + forward)

$34.55

-68.6%

PEG Fair Value

Fair Value

$55.25

Market Price

$109.94

Upside / Downside

-49.7%

Verdict

Overvalued

Using the PEG framework with analyst consensus forward EPS growth of 13.7% plus 0.4% dividend yield, the company has a fair value of $55.25 based on NTM EPS (FY2026) of $4.04. The current PEG ratio is 2.24.

PEG Ratio

2.24Expensive

01.02.03.0+

PEG = P/E ÷ (Growth + Yield) = 30.6 ÷ (13.3% + 0.4%) = 2.24

PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.

Growth Category: StalwartPEG highly applicable

PEG works well for steady growers with predictable earnings.

Fair Value Calculation

EPS Growth RateForward	13.3%
Dividend Yield	+0.4%
Adjusted Growth (clamped 8–25%)	13.7%
Fair P/E	13.7x
NTM EPS (FY2026)	$4.04
Fair Value	$55.25

Growth Analysis

Forward GrowthActive

Period	EPS Est.	Growth	Analysts
FY2025 (actual)	$3.78	—	—
FY2026E	$4.04	+7.0%	12
FY2027E	$4.49	+11.1%	12
FY2028E	$4.99	+11.1%	7
FY2029E	$5.75	+15.2%	3
FY2030E	$7.05	+22.5%	6

5Y Forward EPS CAGR: 13.3%

Historical Growth

Year	Net Income	EPS	YoY
FY2021	$226.8M	$1.09	—
FY2022	$309.3M	$1.48	+35.8%
FY2023	$364.9M	$1.71	+15.5%
FY2024	$501.5M	$2.34	+36.8%
FY2025	$812.8M	$3.78	+61.5%

4Y Historical EPS CAGR: 36.5%

Earnings Power Value

Fair Value

$52.64

Market Price

$109.94

Upside / Downside

-52.1%

Verdict

Overvalued

Using the Earnings Power Value framework with a WACC of 7.3% and normalized earnings of $690.1M, the company has a fair value of $52.64 per share. The EPV range is $45.07 – $64.16 based on WACC sensitivity (5.8% – 8.8%).

Currency: USD Millions

	Low	Selected	High
Normalized Earnings	690	690	690
(/) WACC	8.8%	7.3%	5.8%
Enterprise Value	7,878	9,506	11,982
(-) Net debt	-1,806	-1,806	-1,806
Equity Value	9,684	11,312	13,788
(/) Outstanding shares	215	215	215
Fair Price	$45.07	$52.64	$64.16

Dividend Discount Model

Fair Value

$19.47

Market Price

$109.94

Upside / Downside

-82.3%

Verdict

Overvalued

Using the Two-Stage Dividend Discount Model with a Cost of Equity of 7.3% and projected dividend growth of 13.1%, the fair value is $19.47 per share. The DDM range is $11.64 – $44.89 based on sensitivity analysis across Cost of Equity and growth rate assumptions.

Dividend Profile

Current DPS

$0.48

Dividend Yield

0.39%

Payout Ratio

12.6%

Dividend Coverage

7.94x

FCF Payout Ratio9.1%

DPS CAGR (4Y)11.2%

Historical Dividends Per Share

Year	DPS	Payout Ratio	YoY Growth
2025	$0.48	12.6%	+20.1%
2024	$0.40	17.0%	+11.1%
2023	$0.36	20.8%	+12.7%
2022	$0.32	21.3%	+1.7%
2021	$0.31	28.5%	—

Dividend Projections (5-Year)

Year	Projected DPS	Growth	Discount Factor	Present Value
2026	$0.54	13.1%	0.9317	$0.50
2027	$0.61	13.1%	0.8681	$0.53
2028	$0.69	13.1%	0.8088	$0.56
2029	$0.78	13.1%	0.7535	$0.59
2030	$0.88	13.1%	0.7021	$0.62
Terminal Value	$0.91 DPS	3.5%		$16.68

PV of Projected Dividends$2.79

PV of Terminal Value$16.68

Fair Value per Share$19.47

Sensitivity Analysis

Fair value under different Cost of Equity (rows) and DPS Growth Rate (columns) assumptions.

Ke \ Growth	11.1%	12.1%	13.1%	14.1%	15.0%
5.3%	$38	$40	$41	$43	$45
6.3%	$24	$25	$27	$28	$29
7.3%	$18	$19	$19	$20	$21
8.3%	$14	$15	$15	$16	$17
9.3%	$12	$12	$13	$13	$14

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.