In this article, we discuss 5 stocks to buy according to William Von Mueffling’s Cantillon Capital Management. If you want to read our detailed analysis of Mueffling’s investment philosophy and performance, go directly to 10 Stocks to Buy According to William von Mueffling’s Cantillon Capital Management.
5. Intercontinental Exchange, Inc. (NYSE:ICE)
Cantillon Capital Management’s Stake Value: $523,170,000
Percentage of Cantillon Capital Management’s Portfolio: 3.73%
Number of Hedge Fund Holders: 60
Together with its subsidiaries, Intercontinental Exchange, Inc. (NYSE:ICE) runs regulated exchanges, clearing houses, and listings venues for the commodities, financial, fixed income, and equities markets in the US, UK, EU, Singapore, Israel, and Canada. On July 21, Intercontinental Exchange (NYSE:ICE) acquired climate risk analytics company Urgentem, expanding its service for climate risk.
Securities filings reveal that Cantillon Capital Management inched up its position in Intercontinental Exchange (NYSE:ICE) by 3% during the first quarter of 2022. With a $523.17 million stake, Cantillon Capital Management is the leading shareholder of Intercontinental Exchange, Inc. (NYSE:ICE).
On July 13, Deutsche Bank analyst Brian Bedell maintained a Buy rating on Intercontinental Exchange, Inc. (NYSE:ICE), while trimming his price objective from $117 to $114. The analyst revised his macroeconomic forecasts, price objectives, and assumptions for the broker and asset management group, and he perceived a negative bias.
Out of the 912 hedge funds in the database of Insider Monkey, 60 owned long positions in Intercontinental Exchange, Inc. (NYSE:ICE) at the end of the first quarter of 2022, with a combined value of $2.77 billion.
Here is what Oakmark Funds has to say about Intercontinental Exchange, Inc. (NYSE:ICE) in its Q2 2021 investor letter:
“Intercontinental Exchange is one of the largest and, in our view, most successful financial exchange operators in the world. The company was created through a series of shrewd acquisitions executed by their founder and CEO Jeff Sprecher. Sprecher is one of the more capable CEOs we’ve evaluated, having demonstrated a long history of astute capital allocation and a willingness to act and adapt rapidly to new opportunities and competitive threats. Today, Intercontinental Exchange competes in three primary business segments: exchanges, fixed income/data services and mortgage technology. We believe each of these businesses exhibits attractive economic characteristics and that each should grow earnings well in excess of GDP over the long term. Despite this favorable long-term outlook, the company currently trades at a P/E ratio that is roughly in line with the S&P 500. We believe a business with Intercontinental Exchange’s strong competitive position, excellent management team and attractive growth outlook deserves to trade well above a market multiple. We like buying great businesses at average prices and believe Intercontinental Exchange represents a compelling opportunity to do just that.”
