Should I buy NZX Limited stock in 2025?

What is NZX Limited?

How much is the NZX Limited stock?

The price of NZX Limited stock is stable this week. As of now, NZX trades at NZD 1.54, showing no movement in the last 24 hours and a 3.75% decrease over the week. The company's market capitalisation stands at NZD 505.94 million, with an average daily volume over the past three months of 426,609 shares. The current price-to-earnings ratio is 19.25, offering investors a dividend yield of 4.03%, while the stock’s five-year beta is 0.47, indicating relatively low volatility. With solid annual gains and its leading role in the NZ market, NZX Limited remains a steady option for income-focused investors.

Our full analysis of the NZX Limited stock

Having rigorously examined NZX Limited’s latest financial results alongside its robust three-year stock performance, our analysis integrates a blend of key financial metrics, technical indicators, comparative market data, and proprietary evaluation techniques. Synthesizing insights from both sector peers and internal algorithms, we detect a strengthening outlook for NZX’s pivotal role in New Zealand’s capital markets. So, why might NZX Limited stock once again become a strategic entry point into the evolving Australasian financial infrastructure sector in 2025?

Recent Performance and Market Context

NZX Limited’s share price is currently at NZD 1.54, reflecting an impressive 42.6% appreciation over the last twelve months—a significant outperformance relative to many regional financial services benchmarks. While recent weekly volatility saw a minor -3.75% pullback, the medium-term trend remains clearly supportive, with the stock rising by 3.36% in the past six months. This three-year trajectory is driven by a series of structurally favorable events:

• Superior 2024 financial results: Revenue surged 11.4% to NZD 120.8 million, operating EBITDA expanded 21% to NZD 48.5 million, and net profit soared by a remarkable 88.1% year-on-year, all comfortably exceeding consensus expectations.
• The launch of NZX Dark: Unveiled in June 2024, this anonymous trading platform now accounts for over 5% of all exchange volumes in just six months—a testament to NZX’s capacity for technological innovation and market responsiveness.
• Strong asset management momentum: The “Smart” segment (formerly Smartshares) maintains double-digit assets-under-management growth, closing 2024 with NZD 13.5 billion (+22.6% YoY).

Macroeconomic conditions remain supportive, underpinned by New Zealand’s resilient economic recovery and the resurgence of local and international capital inflows. As capital markets increasingly embrace technology and alternative platforms, NZX’s diversified product pipeline—spanning equities, ETFs, dairy futures, and wealth technologies—strengthens its pivotal market position.

Technical Analysis

Scrutinizing NZX’s present technical setup reveals several bullish cues. At NZD 1.54, the stock trades just beneath its 20-day moving average (NZD 1.55), signaling a potential challenge to immediate resistance. Key support zones cluster at the 50-day (NZD 1.53), 100-day (NZD 1.54), and especially the robust 200-day moving average (NZD 1.46), offering a reassuring technical safety net for new entrants.

• RSI (14 days): 48.73 (neutral), implying that the stock is neither overbought nor oversold, creating a foundation for constructive accumulation rather than risk of a correction.
• MACD: Slightly negative at 0.01 (bearish), but with stabilization evident; crossovers at these levels often precede upward momentum when fundamentals are aligned as they are today.
• 52-Week Range: NZD 1.04–1.68, with the latest price action consolidating securely above long-term supports and within striking distance of the recent highs.

The blend of strong foundational supports, neutral-to-bullish momentum readings, and proximity to key moving averages strongly suggests that NZX is poised for further upside as new catalysts emerge.

Fundamental Analysis

NZX Limited’s business model demonstrates innovation, resilience, and adaptability—hallmarks of quality in a sector defined by regulatory, technological, and economic change.

• Revenue & Earnings Strength: 2024 saw double-digit revenue growth and a near-doubling of net profits, driven by higher trading volumes, greater funds under management, and successful diversification into technology-enabled financial services.
• Attractive Valuation: At a price/earnings ratio of 19.25, NZX is reasonably valued relative to both historical averages and sector peers, especially given its 4.03% dividend yield—a strong signal of both profitability and shareholder return focus.
• Strategic Levers: As New Zealand’s de facto capital markets monopoly, NZX benefits from recurring transaction, listing, and information services revenue. Importantly, Smartshares and NZX Wealth Technologies now generate material income streams with fast-growing, stable business models.
• Brand & Market Leadership: The company enjoys a dominant share of financial infrastructure, buttressed by strategic alliances—such as the joint venture with SGX for dairy derivatives—expanding both global footprint and product set.

This blend of top-line acceleration, operational leverage, and premium yield signals a fundamental story underpinned by both defensive and growth characteristics.

Volume and Liquidity

High sustained volumes, with a daily average of nearly 300,000 shares (and a robust 3-month average of 426,600 shares), underscore deep liquidity and pronounced market confidence. With over 306 million shares representing the freely traded float, NZX’s capital structure promotes dynamic valuation while welcoming institutional and retail investors alike—critical for facilitating orderly entry and exit at scale.

Such liquidity metrics support:

• Ease of portfolio rebalancing and tactical trades
• Efficient price discovery and minimal slippage for new positions
• Confidence in attracting further capital should market interest increase

Catalysts and Positive Outlook

Several near- and medium-term catalysts position NZX for continued outperformance into 2025:

• Upcoming S&P/NZX 20 Index futures relaunch: Expected in H1 2025, revitalising derivatives trading and further growing non-equities revenues.
• Explosive dairy derivatives growth (+15.3% YoY): Bolstered by partnership with SGX, this segment is tapping into New Zealand’s status as a global leader in dairy trade finance.
• Wealth Technologies expansion: With 12 new client wins in 2024 and the achievement of operational profitability, this digital platform is on a strong upwards trajectory, addressing a key structural trend in asset and wealth management digitization.
• Guidance for 2025: Operating EBITDA is forecasted between NZD 49–54 million, a testament to management’s confidence in scalability and revenue durability.
• ESG and regulatory tailwinds: NZX is aligned with global trends in exchange transparency, sustainability, and digital innovation, offering potential optionality as further rules and investor demand for ESG-compliant products increase.

Altogether, these growth drivers reinforce the company’s ability to deliver earnings expansion while future-proofing its business mix.

Investment Strategies

NZX Limited presents compelling arguments for accumulation across multiple time horizons:

• Short-Term: The current technical base near longstanding support, combined with the imminent ex-dividend date (18 March 2025), makes tactical entry attractive for investors seeking dividend capture and the potential for a move back towards the NZD 1.65–1.68 resistance band.
• Medium-Term: Anticipated catalysts—both the relaunch of index futures and ongoing growth in asset/wealth management—align with technical consolidation, providing a solid foundation for price appreciation through H1/H2 2025.
• Long-Term: For those constructing New Zealand-centric, income-oriented, or diversification portfolios, NZX’s essential infrastructure role, proven management execution, and progressive business mix suggest a fundamentally robust holding. The company’s ability to evolve and expand its addressable markets, especially in digital platforms and derivatives, underpins growth potential well beyond cyclical market upswings.

Investors may find optimal positioning by leveraging current technical supports or by proactively establishing positions ahead of major news flow in the coming quarters.

Is it the Right Time to Buy NZX Limited?

A confluence of superior earnings growth, disciplined valuation, progressive innovation, and a commanding market position places NZX Limited at the forefront of New Zealand’s financial technology and infrastructure renaissance. The stock’s current consolidation near long-term technical supports, coupled with imminent growth catalysts and robust liquidity, seems to represent an excellent opportunity for both tactical and strategic accumulation. With a sector-leading dividend, healthy margin expansion, and a credible trajectory toward further product and revenue diversification, the fundamentals justify renewed interest in NZX Limited’s medium- to long-term outlook.

Given the company’s unmatched domestic strength, proven ability to execute, and strategically timed initiatives for 2025, NZX Limited arguably stands at the threshold of a new bullish phase. For investors seeking to capture the upside potential of New Zealand’s evolving capital markets landscape through exposure to a stable, innovative exchange operator, this moment warrants serious consideration.

In sum, NZX Limited’s blend of growth, resilience, and market leadership marks it as a standout opportunity on the NZX, at a time when the stars may be aligning for further outperformance.

How to buy NZX Limited stock in NZ?

Buying NZX Limited shares online is now straightforward and secure thanks to regulated New Zealand brokers. As a retail investor, you can either buy the shares directly (“spot buying”) and become a shareholder, or trade via Contracts for Difference (CFDs) to speculate on price movements without owning the stock. Both approaches can be accessed digitally, often with just a few clicks and robust investor protections in place. For those considering NZX Limited, it’s important to compare the fees, features, and security of available brokers—a comparison chart is provided further down this page.

Spot Buying

A cash purchase involves buying NZX Limited shares directly via a regulated broker, making you a legal owner eligible for dividends and voting rights. You’ll pay a fixed brokerage fee per transaction—typically $3–$15 NZD. For example, if NZX Limited trades at $1.54, a $1,000 investment (including an average $5 brokerage fee) allows you to acquire about 645 shares.

Information: Spot Buying Example

✔️ Gain scenario: If the share price climbs 10%, your holding is now worth $1,100.
Result: That’s a $100 gross gain, representing a 10% return on your investment (before taxes and nominal fees).

Trading via CFDs

CFDs are derivative contracts letting you trade NZX Limited share price movements with leverage, without actually owning the shares. Instead of a traditional commission, CFD brokers charge a spread (difference between buy/sell prices) and, if you hold positions overnight, a small daily financing fee. For instance, with $1,000 and 5x leverage, you open a CFD position for $5,000 of NZX Limited exposure.

Information: CFD Trading Example

✔️ Gain scenario: If the stock price rises 8%, your position gains 8% × 5 = 40%.
Result: That’s a $400 profit on your initial $1,000 margin (excluding spreads and overnight fees). Remember: losses can be magnified too.

Final Advice

Before you invest, always compare the fees, regulatory protections, and trading features offered by different online brokers. The best method depends on your goals: “spot buying” suits those seeking dividends and long-term growth, while CFDs offer flexibility and leverage for active traders. For help making your choice, see the comprehensive broker comparison lower on this page.

Our 7 tips for buying NZX Limited stock

The latest news about NZX Limited

NZX Limited delivered robust 2024 results, with net profit up 88.1% and revenue rising 11.4% year-on-year. This strong performance significantly exceeded market expectations and was fuelled by growth across all business lines, particularly a notable increase in operational EBITDA to NZD 48.5 million, marking a 21% rise. The net profit figure, NZD 25.5 million, reflects enhanced profitability and operational efficiency, underpinning a positive outlook for continued financial strength into 2025.

NZX launched its anonymous trading platform, NZX Dark, in June 2024, rapidly capturing over 5% of total market trading volumes. Within just six months, this platform has reached a 5.24% share of the exchange’s volumes, illustrating strong market uptake and positioning NZX as a leader in market innovation in New Zealand. This development enhances market liquidity and appeals to a broader set of institutional participants, contributing positively to the company’s earnings and reinforcing its technological edge.

Smart (formerly Smartshares) achieved a 22.6% year-on-year increase in assets under management, reaching NZD 13.5 billion. This sharp expansion underlines strong demand for index and managed funds in the New Zealand market and demonstrates NZX’s successful move into wealth and asset management services. The substantial growth in this segment diversifies the company’s revenue base, reduces reliance on capital markets activity, and solidifies its status as an integrated financial services provider.

NZX Wealth Technologies reached operational profitability in December 2024 and added twelve new clients through the year. Achieving break-even marks a major milestone for NZX’s fintech ambitions and validates investments in digital wealth platforms. The onboarding of a dozen new clients in 2024 is indicative of rising market trust and growing demand for wealth technology solutions from New Zealand institutions, boosting recurring revenue streams and enhancing long-term customer stickiness.

Guidance for 2025 remains optimistic, citing expected EBITDA of NZD 49-54 million and new market catalysts. The relaunch of S&P/NZX 20 Index futures and continued double-digit growth in dairy derivatives trading, alongside the successful expansion of the Wealth Technologies platform, offer promising routes for further growth. Consensus sentiment is positive, especially as NZX maintains a unique position as a near-monopoly supplier of market infrastructure and financial data in New Zealand, and continues to benefit from recent diversification efforts.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.