Intercontinental Exchange Inc. (ICE) Covered Calls
Intercontinental Exchange (ICE) is a global provider of marketplace technology, data services, and digital networks. It operates the New York Stock Exchange and leading energy futures markets. Through its Mortgage Technology segment, ICE is digitizing the U.S. residential mortgage lifecycle. With a focus on subscription-based recurring revenue and mission-critical workflows, ICE serves as a vital architect of the world’s financial and energy trading infrastructure.
You can sell covered calls on Intercontinental Exchange Inc. to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for ICE (prices last updated Fri 4:16 PM ET):
| Intercontinental Exchange Inc. (ICE) Stock Quote | ||||||
|---|---|---|---|---|---|---|
| Last | Change | Bid | Ask | Volume | P/E | Market Cap |
| 169.00 | +0.71 | 163.00 | 168.83 | 3.4M | 31 | 96 |
| Covered Calls For Intercontinental Exchange Inc. (ICE) | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Net Debit | Return If Flat |
Annualized Return If Flat |
|
| Feb 20 | 170 | 2.35 | 166.48 | 1.4% | 34.1% | |
| Mar 20 | 170 | 4.60 | 164.23 | 3.1% | 26.3% | |
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Extended Business Description
Intercontinental Exchange, Inc. (ICE) is a global financial powerhouse that designs, builds, and operates the digital networks used to manage risk and raise capital across major asset classes. Founded by Jeffrey Sprecher in 2000 as an electronic energy marketplace, ICE has evolved into a diversified technology giant. It is perhaps most famous as the parent company of the New York Stock Exchange (NYSE), but its reach extends far deeper into the plumbing of global finance, from the benchmark Brent Crude oil contracts to the software powering the U.S. mortgage industry.
Core Business and Operating Segments
- Exchanges: This segment includes the NYSE and global futures markets for energy, environmental products, and agricultural commodities. ICE operates the world’s most liquid markets for Brent Crude and London’s gasoil, making it central to global energy pricing. In 2026, this segment is benefiting from record trading volumes and the successful launch of tokenized securities trading on the NYSE.
- Fixed Income and Data Services: A high-margin, recurring revenue engine, this segment provides mission-critical data, analytics, and execution services. It is a leader in fixed income pricing and indices, offering the transparent data required by institutional investors to value trillions of dollars in bond portfolios. It also operates the ICE Global Network, a low-latency infrastructure connecting market participants worldwide.
- Mortgage Technology: Through its acquisition of Black Knight and Ellie Mae, ICE has become the dominant technology provider for the U.S. residential mortgage market. This segment provides a "life-of-loan" platform that digitizes everything from the initial application (Encompass) to final servicing and registration, aiming to drive out the massive inefficiencies and costs inherent in paper-based lending.
Competitive Landscape
ICE operates in a highly defensive, wide-moat industry characterized by significant regulatory barriers. In the global derivatives and exchange space, its primary rival is CME Group, while it competes for listings and technology leadership with Nasdaq. In its data and analytics division, it faces titans like S&P Global and Moody’s Corporation.
Strategic Outlook and Innovation
The 2026 strategy for ICE is centered on "Sustainable Recurring Growth" and the integration of Artificial Intelligence across its data platforms. The company is currently realizing $275 million in annualized synergies from the Black Knight integration, far ahead of original targets. A key innovation for the year is the expansion of AI-driven "automated underwriting" tools within its mortgage segment, designed to reduce loan processing times from weeks to days. Financially, ICE maintains a disciplined capital allocation policy, prioritizing an 8% dividend increase in 2026 while investing heavily in its "revenue-generating data center capacity." By transitioning more of its business toward subscription-based software and mission-critical data, ICE has insulated itself from market volatility, making it a favorite for investors seeking high-margin, defensive growth in the financial technology sector.
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