London Stock Exchange Group: Income Meets Expectations; First Microsoft Products in First-Half 2024

We maintain our GBX 9,800 per share fair value estimate for London Stock Exchange Group after its first-quarter trading update release, which was in line with expectations. Total income of GBP 2.182 billion in the quarter matched consensus estimates collected by the exchange group prior to the release exactly. On a constant currency basis, income growth of 7% was good, supported by a strong quarter for Tradeweb, strong inflows into FTSE Russell-related products, and a good performance in OTC derivatives clearing. Our wide economic moat rating for London Stock Exchange Group is unchanged.