NDAQ·Nasdaq, Inc.

Nasdaq’s latest end‑of‑month short‑interest data shows a decline to 18.45 billion shares, or 2.45 days of average daily volume, down from 2.79 days on June 15, indicating a potential easing of bearish sentiment that could reduce volatility over the next week. However, there is conflicting information about whether total short‑interest shares rose or fell, so the precise direction of the shift remains unclear until the next release. Meanwhile, Nasdaq President Nelson Griggs highlighted SK Hynix’s blockbuster IPO as a catalyst that could spur other foreign firms to list on the exchange, potentially boosting the company’s fee revenue and strengthening its competitive edge against other global exchanges. The announcement also signals Nasdaq’s intent to become a preferred platform for international listings, which could translate into higher revenue from listing fees over the next ten trading days if additional foreign IPOs materialize. In mid‑June, Nasdaq announced the delisting of five companies that had been suspended for months, tightening market depth and possibly affecting liquidity for remaining listed securities. Earlier in the week, Keefe Bruyette & Woods cut its price target for NDAQ from $97 to $92, citing concerns over earnings growth and valuation amid rising competition and regulatory scrutiny, a downgrade that may influence short‑term trading sentiment. The same day, Morgan Stanley lowered its target to $112 from $116, reinforcing the valuation concerns and signaling that investors may need to reassess risk premiums in the near term. Nasdaq’s recent expansion into AI‑as‑a‑Service (AaaS) aims to generate new revenue streams by leveraging its proprietary data moat, but the move also introduces regulatory scrutiny and competition from other cloud AI providers, factors that could affect the company’s growth trajectory. Together, these developments suggest that while short‑interest easing may provide short‑term relief, the company’s valuation outlook remains under pressure from analyst downgrades and the need to capture new fee income through foreign listings and AI services. Traders should watch the next short‑interest release, the pace of foreign IPO filings, Nasdaq’s earnings guidance, and any SEC regulatory updates that could impact the AI‑as‑a‑Service initiative.