Nasdaq CEO Adena Friedman Bought Up the Sliding Stock

In June, Nasdaq agreed to acquire Adenza, a maker of software used by banks and brokerages, for $10.5 billion in cash and stock. That deal was expected to close in six to nine months. A strong second-quarter report in mid-July didn’t provide a sustainable lift to Nasdaq stock.

Friedman paid $510,000 on July 31 for 10,000 Nasdaq shares, at an average price of $51 each. She now owns 1,672,318 Nasdaq shares in a personal account, and 147,000 shares through trusts, according to a form Friedman filed with the Securities and Exchange Commission.

Friedman declined to comment. It’s her first open-market purchase since she was named CEO on Jan. 1, 2017. Most of her holdings are from grants of restricted shares and performance share units.

Oppenheimer analyst Owen Lau wrote in July that with Adenza, Nasdaq “could generate higher recurring revenue and more stable earnings.” He kept an Outperform rating on Nasdaq stock, with a $65 price target.

Inside Scoop is a regular Barron’s feature covering stock transactions by corporate executives and board members—so-called insiders—as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.

Write to Ed Lin at [email protected] and follow @BarronsEdLin.