Intercontinental Exchange (ICE) Caught in AI Loser Narrative Despite Strong Results

Madison Investments reported on its second-quarter 2026 results for the Madison Large Cap Fund. The fund returned 8.4% in Q2 2026, slightly outperforming the S&P 500 Index's 15.2% increase. While AI-driven stocks spurred market gains, Intercontinental Exchange (ICE) lagged, posting a 9.75% return and a 52-week loss of 12.30%. The fund's letter noted that ICE is currently viewed as an "AI loser" and is trading at a decade-low valuation.

The fund maintains a positive outlook on ICE, believing the company's exchanges and data/software could thrive as AI trading strategies emerge, and the mortgage market rebounds. Despite the current dip, the fund sees potential in ICE's valuation and believes AI may present an opportunity for the company to grow revenue and profits.