Cme Group Stock Current Valuation
CME Stock | USD 215.29 0.31 0.14% |
Valuation analysis of CME Group helps investors to measure CME's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of March 29, 2024, Enterprise Value Multiple is expected to decline to 14.80. Fundamental drivers impacting CME's valuation include:
Price Book 2.8988 | Enterprise Value 77.9 B | Enterprise Value Ebitda 16.6985 | Price Sales 13.9179 | Forward PE 22.5225 |
Fairly Valued
Today
Please note that CME's price fluctuation is very steady at this time. Calculation of the real value of CME Group is based on 3 months time horizon. Increasing CME's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for CME Group is useful when determining the fair value of the CME stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of CME. Since CME is currently traded on the exchange, buyers and sellers on that exchange determine the market value of CME Stock. However, CME's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. Historical | Market 215.29 | Real 211.54 | Target 224.79 | Hype 215.29 | Naive 212.92 |
The real value of CME Stock, also known as its intrinsic value, is the underlying worth of CME Group Company, which is reflected in its stock price. It is based on CME's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of CME's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence CME's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of CME Group helps investors to forecast how CME stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of CME more accurately as focusing exclusively on CME's fundamentals will not take into account other important factors: CME Current Valuation Analysis
CME's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
More About Current Valuation | All Equity Analysis
2021 | 2022 | 2023 | 2024 (projected) | Gross Profit | 3.9B | 4.3B | 4.5B | 2.5B | Total Revenue | 4.7B | 5.0B | 5.6B | 3.0B |
Enterprise Value | = | Market Cap + Debt | - | Cash |
Current CME Current Valuation | 77.91 B |
Most of CME's fundamental indicators, such as Current Valuation, 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.
CME Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for CME is extremely important. It helps to project a fair market value of CME Stock properly, considering its historical fundamentals such as Current Valuation. Since CME's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of CME's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of CME's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Competition |
In accordance with the recently published financial statements, CME Group has a Current Valuation of 77.91 B. This is 137.39% higher than that of the Capital Markets sector and significantly higher than that of the Financials industry. The current valuation for all United States stocks is significantly lower than that of the firm.
CME Current Valuation 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 Current Valuation 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 current valuation 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 | 77.91 B | |||
Shares Outstanding | 360.02 M | |||
Shares Owned By Insiders | 0.44 % | |||
Shares Owned By Institutions | 89.87 % | |||
Number Of Shares Shorted | 3.74 M | |||
Price To Earning | 32.83 X | |||
Price To Book | 2.90 X | |||
Price To Sales | 13.92 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 | 2.31 X | |||
Earnings Per Share | 8.87 X | |||
Price To Earnings To Growth | 8.69 X | |||
Target Price | 228.85 | |||
Number Of Employees | 3.56 K | |||
Beta | 0.5 | |||
Market Capitalization | 77.51 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 | |||
Z Score | 12.17 | |||
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.CME Group Inc., together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. CME Group Inc. was founded in 1898 and is headquartered in Chicago, Illinois. CME operates under Financial Data Stock Exchanges classification in the United States and is traded on NASDAQ Exchange. It employs 3480 people.
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 | MORN | Morningstar | PairCorr |
Moving against CME Stock
0.67 | DHIL | Diamond Hill Investment | PairCorr |
0.64 | MCBC | Macatawa Bank Fiscal Quarter End 31st of March 2024 | PairCorr |
0.63 | MBCN | Middlefield Banc Fiscal Quarter End 31st of March 2024 | PairCorr |
0.57 | VALU | Value Line | PairCorr |
0.52 | QMCI | Quotemedia Earnings Call Today | 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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.
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.