LONDON, April 25, 2026, 16:02 BST
- LSEG shares climbed on Friday, picking up momentum after a robust first-quarter update, even as the broader FTSE 100 slipped.
- The company is now projecting 2026 revenue growth toward the higher end of its 6.5%–7.5% target.
- Investors juggle a volatile market lift with mounting pressure from AI disruption and scrutiny from activist investor Elliott.
Shares of London Stock Exchange Group plc climbed Friday, with the company sounding a more optimistic note on its 2026 revenue guidance. Boosted by strong volumes and resilience in its subscription data units, the stock ended the session up 1.83% at 9,992 pence. By contrast, the FTSE 100 dropped 0.75% to 10,379.08.
This development takes on fresh significance as LSEG aims to show it can maintain solid growth in its market-data and trading infrastructure business—even with clients experimenting with artificial intelligence tools that could disrupt financial data purchasing. At the same time, Elliott Management’s involvement has zeroed in attention on margins, buybacks, and strategic decisions.
LSEG reported a 9.8% increase in first-quarter total income, excluding recoveries, on an organic constant-currency basis—filtering out currency shifts and certain deal impacts. Markets income jumped 15.5%. Data & Analytics was up 5.1%, FTSE Russell advanced 8.8%, and Risk Intelligence rose 10.5%.
The company has raised its outlook for full-year income growth, excluding recoveries, and is now guiding for results toward the top end of its 6.5% to 7.5% range. That’s a clearer signal than investors were getting previously, but LSEG left its wider financial targets unchanged.
LSEG CEO David Schwimmer described a “great start to 2026,” highlighting solid uptake for both trading venues and data offerings. He noted that over 150 customers were either already connected or in the process of joining the Model Context Protocol server—the firm’s bridge for AI models tapping into external data. LSEG
AI sits right at the heart of this. LSEG’s Refinitiv data arm is up against Bloomberg, S&P and FactSet in the fight for financial-data spending, but there’s a risk: clients could drop the old-school seat licenses and opt for AI-powered, pay-as-you-go models instead. Third Bridge’s Max Harper flagged “income compression” ahead for LSEG in that scenario, but he also noted the group could outmaneuver competitors as the industry leans further into AI. Morningstar
Reuters said 90 clients have linked up to LSEG’s MCP server since it went live in December, and there are 64 more queued up. Quilter Cheviot’s Will Howlett, who covers financials, noted the Q1 beat plus the stronger outlook could put some of the growth concerns to rest.
Capital returns are still a focus for LSEG. The company wrapped up £1.1 billion in share buybacks in the first quarter and confirmed it expects to hit its £3 billion target by February 2027.
Broader market moves offered little support. UK stocks slipped on Friday, with traders juggling fresh U.S.-Iran friction, triple-digit oil and the Bank of England’s caution about global equities taking a hit. Against that, LSEG’s advance was conspicuous—yet it also highlighted the same challenging backdrop that’s been buoying its trading turnover.
There’s the chance that a chunk of that Q1 momentum just slips away should volatility settle down. Another, deeper threat hangs over LSEG: AI could reshape the way banks, asset managers, and traders handle data, and if that shift happens quicker than LSEG can adapt its pricing and offerings, the very technology driving growth might end up squeezing legacy revenues.
