Cme Group Stock Fundamentals
| CME Stock | USD 212.59 4.18 1.93% |
CME Group fundamentals help investors to digest information that contributes to CME's financial success or failures. It also enables traders to predict the movement of CME Stock. The fundamental analysis module provides a way to measure CME's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to CME stock.
At present, CME's Selling And Marketing Expenses is projected to increase significantly based on the last few years of reporting. The current year's Income Before Tax is expected to grow to about 4.4 B, whereas Total Revenue is forecasted to decline to about 3 B. CME | Select Account or Indicator |
CME Group Company Operating Margin Analysis
CME's Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Current CME Operating Margin | 0.62 % |
Most of CME's fundamental indicators, such as Operating Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, CME Group is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
| Competition |
CME Pretax Profit Margin
Pretax Profit Margin |
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Based on the recorded statements, CME Group has an Operating Margin of 0.6165%. This is 96.66% lower than that of the Capital Markets sector and significantly higher than that of the Financials industry. The operating margin for all United States stocks is 111.19% lower than that of the firm.
CME Group Fundamental Drivers Relationships
Comparative valuation techniques use various fundamental indicators to help in determining CME's current stock value. Our valuation model uses many indicators to compare CME value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across CME competition to find correlations between indicators driving CME's intrinsic value. More Info.CME Group is rated third in return on equity category among related companies. It is rated fifth in return on asset category among related companies reporting about 0.12 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for CME Group is roughly 8.47 . At present, CME's Return On Equity is projected to increase slightly based on the last few years of reporting.Comparative valuation analysis is a catch-all model that can be used if you cannot value CME by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for CME's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the CME's earnings, one of the primary drivers of an investment's value.CME Operating Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses CME's direct or indirect competition against its Operating Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of CME could also be used in its relative valuation, which is a method of valuing CME by comparing valuation metrics of similar companies.CME is currently under evaluation in operating margin category among related companies.
CME ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, CME's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to CME's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
CME Fundamentals
| Return On Equity | 0.12 | ||||
| Return On Asset | 0.0142 | ||||
| Profit Margin | 0.58 % | ||||
| Operating Margin | 0.62 % | ||||
| Current Valuation | 78.43 B | ||||
| Shares Outstanding | 360.02 M | ||||
| Shares Owned By Insiders | 0.45 % | ||||
| Shares Owned By Institutions | 89.47 % | ||||
| Number Of Shares Shorted | 4.42 M | ||||
| Price To Earning | 32.83 X | ||||
| Price To Book | 2.82 X | ||||
| Price To Sales | 13.54 X | ||||
| Revenue | 5.58 B | ||||
| Gross Profit | 5.01 B | ||||
| EBITDA | 3.79 B | ||||
| Net Income | 3.23 B | ||||
| Cash And Equivalents | 2.22 B | ||||
| Cash Per Share | 6.19 X | ||||
| Total Debt | 3.88 B | ||||
| Debt To Equity | 0.12 % | ||||
| Current Ratio | 1.02 X | ||||
| Book Value Per Share | 74.43 X | ||||
| Cash Flow From Operations | 3.45 B | ||||
| Short Ratio | 2.90 X | ||||
| Earnings Per Share | 8.87 X | ||||
| Price To Earnings To Growth | 8.46 X | ||||
| Target Price | 226.46 | ||||
| Number Of Employees | 3.56 K | ||||
| Beta | 0.49 | ||||
| Market Capitalization | 78.04 B | ||||
| Total Asset | 129.84 B | ||||
| Retained Earnings | 4.46 B | ||||
| Working Capital | 1.47 B | ||||
| Current Asset | 37.9 B | ||||
| Current Liabilities | 36.82 B | ||||
| Annual Yield | 0.04 % | ||||
| Five Year Return | 1.68 % | ||||
| Net Asset | 129.84 B | ||||
| Last Dividend Paid | 4.4 |
About CME Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze CME Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of CME using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of CME Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for Next Year | ||
| Current Deferred Revenue | -55.1 M | -57.9 M | |
| Total Revenue | 5.6 B | 3 B | |
| Cost Of Revenue | 1 B | 557.7 M | |
| Stock Based Compensation To Revenue | 0.01 | 0.01 | |
| Sales General And Administrative To Revenue | 0.03 | 0.02 | |
| Research And Ddevelopement To Revenue | 0.04 | 0.04 | |
| Capex To Revenue | (0.01) | (0.01) | |
| Revenue Per Share | 15.54 | 16.32 | |
| Ebit Per Revenue | 0.62 | 0.42 |
Pair Trading with CME
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if CME position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in CME will appreciate offsetting losses from the drop in the long position's value.Moving together with CME Stock
| 0.81 | ICE | Intercontinental Exchange Earnings Call This Week | PairCorr |
Moving against CME Stock
| 0.68 | DHIL | Diamond Hill Investment | PairCorr |
| 0.55 | SPGI | SP Global Earnings Call Today | PairCorr |
| 0.54 | DNB | Dun Bradstreet Holdings Earnings Call This Week | PairCorr |
The ability to find closely correlated positions to CME could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace CME when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back CME - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling CME Group to buy it.
The correlation of CME is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as CME moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if CME Group moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for CME can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out CME Piotroski F Score and CME Altman Z Score analysis. You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Complementary Tools for CME Stock analysis
When running CME's price analysis, check to measure CME's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CME is operating at the current time. Most of CME's value examination focuses on studying past and present price action to predict the probability of CME's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CME's price. Additionally, you may evaluate how the addition of CME to your portfolios can decrease your overall portfolio volatility.
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Is CME's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of CME. If investors know CME will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about CME listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.276 | Dividend Share 4.4 | Earnings Share 8.87 | Revenue Per Share 15.512 | Quarterly Revenue Growth 0.192 |
The market value of CME Group is measured differently than its book value, which is the value of CME that is recorded on the company's balance sheet. Investors also form their own opinion of CME's value that differs from its market value or its book value, called intrinsic value, which is CME's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because CME's market value can be influenced by many factors that don't directly affect CME's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between CME's value and its price as these two are different measures arrived at by different means. Investors typically determine if CME is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CME's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.