MarketAxess Holdings (Nasdaq: MKTX) reported earnings on Nov. 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q3), MarketAxess Holdings beat slightly on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP earnings per share expanded.

Margins contracted across the board.

Revenue details
MarketAxess Holdings chalked up revenue of $48.3 million. The six analysts polled by S&P Capital IQ foresaw revenue of $47.7 million on the same basis. GAAP reported sales were 3.6% higher than the prior-year quarter's $46.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.36. The four earnings estimates compiled by S&P Capital IQ predicted $0.32 per share. GAAP EPS of $0.36 for Q3 were 5.9% higher than the prior-year quarter's $0.34 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 62.9%, 170 basis points worse than the prior-year quarter. Operating margin was 44.0%, 390 basis points worse than the prior-year quarter. Net margin was 27.9%, 100 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $48.5 million. On the bottom line, the average EPS estimate is $0.34.

Next year's average estimate for revenue is $194.8 million. The average EPS estimate is $1.33.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 41 members out of 51 rating the stock outperform, and 10 members rating it underperform. Among 14 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 12 give MarketAxess Holdings a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on MarketAxess Holdings is hold, with an average price target of $33.75.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.