Virtu Financial: The Perfect Hedge In Every Environment
Summary
- Virtu Financial's share price is up 52% YTD, outperforming the S&P 500.
- Virtu benefits from increased trading volumes and volatility, providing a perfect hedge for unexpected market downturns.
- Despite flat net income growth, Virtu's aggressive share buybacks and a forward PE of 10.15 make it undervalued by roughly 16%.
- Upcoming Q3 and Q4 earnings are expected to be strong due to increased market volatility, providing short-term catalysts for the stock price.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of VIRT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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