Credit Suisse Sees Strong Organic Revenue Growth for Markit Ltd.

In a report published Thursday, Credit Suisse analyst Georgios Mihalos reiterated an Outperform rating and $30.00 price target on

. In the report, Credit Suisse noted, “MRKT reported solid 3Q results that exceeded our expectations, with revenue growth of 13.1% (8% organic, up from 4.3% in 2Q) exceeding our 7% estimate and adj. EPS of $0.37, $0.03 ahead of our estimate. All segments performed ahead of our expectations, with the biggest upside in Processing (+12.5% vs. CS -2%) as headwinds from electronic trading are unlikely to materialize in 2014 as we had thought, but will be a drag in 2015 and beyond. Ex-Processing, total revenue was still 2% higher than we had anticipated. MRKT reiterated its long-term growth targets, including 5-7% organic growth (d-d with acquisitions) and low-mid 40% adj. EBITDA margins which we believe the company will exceed in 2014, but will factor into 2015 and beyond.” Markit Ltd. closed on Wednesday at $25.11.