CME Group Inc Stock Research

Market Summary

USD187.21+4.54

Delayed

2.49%

CME Stock Price

CME RSI Chart

CME Valuation

Market Cap

67.2B

Price/Earnings (Trailing)

24.96

Price/Sales (Trailing)

13.38

EV/EBITDA

16.87

Price/Free Cashflow

22.64

CME Price/Sales (Trailing)

CME Profitability

EBT Margin

70.74%

Return on Equity

10.01%

Return on Assets

1.54%

Free Cashflow Yield

4.42%

CME Fundamentals

CME Revenue

Revenue (TTM)

5.0B

Revenue Y/Y

5.27%

Revenue Q/Q

-1.63%

CME Earnings

Earnings (TTM)

2.7B

Earnings Y/Y

2.03%

Earnings Q/Q

-6.14%

Price Action

52 Week Range

166.55250.73

(Low)(High)

Last 7 days

1.0%

Last 30 days

-1.4%

Last 90 days

5.9%

Trailing 12 Months

-20.9%

CME Financial Health

Current Ratio

1.01

CME Investor Care

Dividend Yield

4.54%

Dividend/Share (TTM)

8.5

Shares Dilution (1Y)

0.10%

Diluted EPS (TTM)

7.4

Peers (Alternatives to CME Group)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
CME	67.2B	5.0B	-1.37%	-20.87%	24.96	13.38	7.03%	2.07%
ICE	55.5B	9.6B	-10.69%	-24.62%	38.36	5.76	5.10%	-64.37%
NDAQ	26.1B	6.2B	-12.89%	-69.27%	23.21	4.19	5.78%	-5.22%
TROW	24.5B	6.5B	-12.11%	-22.62%	12.06	3.54	-15.43%	-49.47%
CBOE	13.1B	4.0B	-4.92%	7.40%	55.9	3.32	13.27%	-55.58%
MID-CAP
IBKR	7.9B	2.7B	-12.10%	23.15%	4.31	2.95	95.77%	12.59%
SEIC	7.5B	2.0B	-12.37%	-3.86%	15.68	3.75	3.79%	-13.01%
SF	6.2B	4.6B	-17.08%	-14.81%	9.36	1.35	-3.98%	-19.72%
SNEX	1.9B	64.7B	-11.71%	27.62%	8	0.03	35.87%	74.73%
SMALL-CAP
BGCP	2.0B	1.8B	17.91%	16.69%	41.14	1.12	16.43%	-60.72%
VIRT	1.8B	2.4B	-12.59%	-48.39%	6.93	0.78	-15.89%	-44.42%
COWN	1.1B	1.5B	0.39%	32.10%	14.3	0.71	-27.22%	-74.14%
AC	816.3M	10.3M	-0.68%	-10.61%	-15.36	79.32	-29.47%	-152.67%
WETF	742.8M	301.3M	9.41%	-21.41%	14.66	2.47	-0.98%	1.78%
OPY	445.7M	1.1B	-15.80%	-8.69%	13.78	0.4	-20.31%	-79.65%

Financials for CME Group

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	1.2%	5,019	4,959	4,841	4,783	4,690
Costs and Expenses	1.2%	2,004	1,980	1,987	2,004	2,045
EBITDA	-4.0%	3,819	3,978	3,928	3,714	-
EBITDA Margin	-7.4%	0.76*	0.82*	0.82*	0.79*	-
Earnings Before Taxes	-7.5%	3,551	3,839	3,651	-	-
EBT Margin	-1.2%	0.71*	0.72*	0.79*	0.76*	0.73*
Interest Expenses	-0.1%	133	133	-	-	-
Net Income	0.5%	2,691	2,678	2,925	2,773	2,636
Net Income Margin	-0.7%	0.54*	0.54*	0.60*	0.58*	0.56*
Free Cahsflow	11.9%	2,966	2,650	2,616	2,477	2,275

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	-2.4%	174,176	178,432	176,671	205,918	196,780
Current Assets	-2.9%	139,078	143,253	141,451	171,004	161,762
Cash Equivalents	27.7%	2,720	2,130	1,880	2,046	2,835
Net PPE	-2.1%	456	466	482	494	505
Goodwill	0.3%	10,483	10,447	10,484	10,516	10,528
Liabilities	-1.9%	147,297	150,181	148,670	178,181	169,381
Current Liabilities	-2.1%	137,688	140,573	139,000	168,459	160,398
. Short Term Borrowings	10.3%	16.00	15.00	-	-	749
Shareholder's Equity	-4.9%	26,879	28,251	28,002	27,737	27,399
Retained Earnings	-22.3%	4,747	6,112	5,798	5,499	5,152
Additional Paid-In Capital	0.1%	22,262	22,235	22,232	22,206	22,190
Accumulated Depreciation	1.2%	1,111	1,097	1,071	1,039	-
Shares Outstanding	0.0%	359	359	359	-	-
Minority Interest	-	-	-	-	-	-

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	11.4%	3,056	2,743	2,717	2,599	2,402
Share Based Compensation	8.9%	84.00	77.00	74.00	74.00	75.00
Cashflow From Investing	-23.5%	-489	-396	-314	70.00	58.00
Cashflow From Financing	-133.0%	-25,381	-10,895	-4,506	42,731	69,909
Dividend Payments	1.4%	2,634	2,597	2,556	2,515	2,189

Risks for CME

What is the probability of a big loss on CME?

41.1%

Probability that CME Group stock will be more than 20% underwater in next one year

9.2%

Probability that CME Group stock will be more than 30% underwater in next one year.

Probability that CME Group stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does CME drawdown profile look like?

Y-axis is the maximum loss one would have experienced if CME Group was unfortunately bought at previous high price.

Drawdowns

Returns for CME

Cumulative Returns on CME

15.4%

10-Year Cumulative Returns

13.0%

7-Year Cumulative Returns

4.6%

5-Year Cumulative Returns

2.5%

3-Year Cumulative Returns

What are the long-term rolling returns for CME?

FIve years rolling returns for CME Group.

Annualized Returns

Which funds bought or sold CME recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-15	B. Riley Wealth Advisors, Inc.	reduced	-32.91	-279,598	524,402	0.01%
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	reduced	-4.88	-5,740,660	53,451,300	0.06%
2023-03-06	NORTH STAR ASSET MANAGEMENT INC	reduced	-1.51	-75,915	1,098,080	0.07%
2023-03-06	Rockefeller Capital Management L.P.	reduced	-22.32	-6,880,000	19,324,000	0.10%
2023-03-03	TIAA, FSB	reduced	-1.12	-46,488	714,512	-%
2023-03-02	LORING WOLCOTT & COOLIDGE FIDUCIARY ADVISORS LLP/MA	new	-	58,856	58,856	-%
2023-03-01	Lakewood Asset Management LLC	new	-	40,000	40,000	0.03%
2023-03-01	Regal Investment Advisors LLC	added	27.61	73,755	419,755	0.04%
2023-02-28	Voya Investment Management LLC	reduced	-2.11	-13,984,400	183,989,000	0.26%
2023-02-27	Cravens & Co Advisors, LLC	new	-	614,625	614,625	0.57%

Latest Funds Activity

Are funds buying CME calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own CME

No. of Funds

CME Group News

Schedule 13G FIlings of CME Group

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 13, 2023	capital world investors	4.4%	15,768,261	SC 13G/A
Feb 09, 2023	vanguard group inc	9.21%	33,139,178	SC 13G/A
Jan 31, 2023	blackrock inc.	7.2%	26,025,197	SC 13G/A
Feb 11, 2022	capital world investors	9.3%	33,473,618	SC 13G/A
Feb 09, 2022	vanguard group inc	8.72%	31,356,965	SC 13G/A
Feb 03, 2022	blackrock inc.	6.7%	24,162,418	SC 13G/A
Feb 16, 2021	capital world investors	9.5%	33,945,618	SC 13G/A
Feb 10, 2021	vanguard group inc	7.86%	28,231,615	SC 13G/A
Jan 29, 2021	blackrock inc.	7.0%	25,295,042	SC 13G/A
Feb 14, 2020	capital world investors	10.0%	35,842,471	SC 13G/A

CME Fair Value

CME Group fair value in different scenarios

The table shows the Fair Value estimates for CME Group for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	- -	- -	- -	- -	- -
Current Inflation	61.39 -67.21%	85.56 -54.30%	111.66 -40.36%	155.16 -17.12%	208.82 11.54%
Very High Inflation	- -	- -	- -	- -	- -

Historical CME Group Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of CME Group

View All Filings

Date Filed	Form Type	Document
Mar 16, 2023	DEF 14A	DEF 14A
Mar 16, 2023	DEFA14A	DEFA14A
Mar 10, 2023	8-K	Current Report
Feb 28, 2023	8-K	Current Report
Feb 27, 2023	10-K	Annual Report
Feb 16, 2023	4	Insider Trading
Feb 13, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 08, 2023	8-K	Current Report
Feb 07, 2023	5	Insider Trading

Latest Insider Trading transactions for CME

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-16	Durkin Bryan T	gifted	-	-	-1,367	-
2023-01-18	SHEPARD WILLIAM R	bought	218,906	175	1,243	-
2023-01-18	SHEPARD WILLIAM R	bought	9,650	175	54.839	-
2022-12-31	DUFFY TERRENCE A	sold (taxes)	-3,452,490	168	-20,531	chairman and ceo
2022-12-28	SHEPARD WILLIAM R	bought	48,645	168	289	-
2022-12-28	SHEPARD WILLIAM R	bought	2,144	168	12.757	-
2022-12-15	Tully Sean	acquired	18,936	155	122	sr md global hd rates & otc
2022-12-02	Tierney Robert J JR	bought	264,825	176	1,500	-
2022-11-04	SHEPARD WILLIAM R	bought	8,269,640	170	48,645	-
2022-09-27	SHEPARD WILLIAM R	acquired	2,132	180	11.788	-

About CME Group

Terrence A. Duffy

www.cmegroup.com

3480

CME Group Inc., together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. It offers futures and options products based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and metals, as well as fixed income products. The company also provides clearing house services, including clearing, settling, and guaranteeing futures and options contracts, and cleared swaps products traded through its exchanges; and trade processing and risk mitigation services. In addition, the company offers a range of market data services, including real-time and historical data services. It serves professional traders, financial institutions, institutional and individual investors, corporations, manufacturers, producers, governments, and central banks. The company was formerly known as Chicago Mercantile Exchange Holdings Inc. and changed its name to CME Group Inc. in July 2007. CME Group Inc. was founded in 1898 and is headquartered in Chicago, Illinois.

CME Income Statement

2022-12-31

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues
Total Revenues	$ 5,019.4	$ 4,689.7	$ 4,883.6
Expenses
Compensation and benefits	753.1	837.0	856.5
Technology	188.6	192.6	198.5
Professional fees and outside services	137.4	151.7	191.3
Amortization of purchased intangibles	227.7	237.6	311.2
Depreciation and amortization	134.9	147.8	153.2
Licensing and other fee agreements	320.0	236.9	244.9
Other	241.8	240.9	290.6
Total Expenses	2,003.5	2,044.5	2,246.2
Operating Income	3,015.9	2,645.2	2,637.4
Non-Operating Income (Expense)
Investment income	2,198.4	306.9	182.7
Interest and other borrowing costs	(162.7)	(166.9)	(166.2)
Equity in net earnings (losses) of unconsolidated subsidiaries	301.1	245.8	190.6
Other income (expense)	(1,862.4)	342.6	(122.4)
Total Non-Operating	474.4	728.4	84.7
Income before Income Taxes	3,490.3	3,373.6	2,722.1
Income tax provision	799.3	736.7	615.7
Net income	2,691.0	2,636.9	2,106.4
Net Income (Loss) Attributable to Noncontrolling Interest	0.0	0.5	1.2
Net income attributable to CME Group	2,691.0	2,636.4	2,105.2
Net Income Attributable to Common Shareholders of CME Group	$ 2,657.2	$ 2,617.1	$ 2,105.2
Earnings per Common Share Attributable to CME Group:
Basic	$ 7.41	$ 7.30	$ 5.88
Diluted	$ 7.40	$ 7.29	$ 5.87
Weighted Average Number of Common Shares:
Basic	358,713	358,340	357,764
Diluted	359,181	358,929	358,524
Clearing and Transaction Fees [Member]
Revenues
Total Revenues	$ 4,142.7	$ 3,765.1	$ 3,897.4
MarketData [Member]
Revenues
Total Revenues	610.9	576.9	545.4
OtherRevenue [Member]
Revenues
Total Revenues	$ 265.8	$ 347.7	$ 440.8

CME Balance Sheet

2022-12-31

CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Millions

Dec. 31, 2022

Dec. 31, 2021

Assets

Cash and cash equivalents

$ 2,720.1

$ 2,834.9

Marketable securities

96.0

115.0

Accounts receivable, net of allowance

483.2

434.5

Other current assets

529.8

427.8

Performance bonds and guaranty fund contributions

135,249.2

157,949.6

Total current assets

139,078.3

161,761.8

Property, net of accumulated depreciation and amortization

455.5

505.3

Intangible assets-trading products

^[1]

17,175.3

Intangible assets—other, net

3,269.7

3,532.0

Goodwill

10,482.5

10,528.0

Other assets

3,714.4

3,277.9

Total Assets

174,175.7

196,780.3

Liabilities and Shareholders' Equity

Accounts payable

121.4

48.8

Short-term debt

16.0

749.4

Other current liabilities

2,300.9

1,650.6

Performance bonds and guaranty fund contributions

135,249.2

157,949.6

Total current liabilities

137,687.5

160,398.4

Long-term debt

3,422.4

2,695.7

Deferred Income Tax Liabilities, Net

5,361.1

5,390.4

Other liabilities

826.0

896.5

Total Liabilities

147,297.0

169,381.0

Shareholders' Equity:

Preferred stock, $0.01 par value, 10,000 shares authorized, none issued or outstanding

0.0

Additional paid-in capital

22,261.6

22,190.3

Retained earnings

4,746.8

5,151.9

Accumulated other comprehensive income (loss)

(133.3)

53.5

Total CME Group Shareholders' Equity

26,878.7

27,399.3

Total Liabilities and Shareholders' Equity

174,175.7

196,780.3

Class A Common Stock (Shares) [Member]

Shareholders' Equity:

Common stock

3.6

Class B Common Stock (Shares) [Member]

Shareholders' Equity:

Common stock

$ 0.0

[1]

Trading products represent futures and options products acquired in our business combinations with CBOT Holdings, Inc., NYMEX Holdings, Inc. and The Board of Trade of Kansas City, Missouri, Inc. Clearing and transaction fees are generated through the trading of these products. These trading products, most of which have traded for decades, require authorization from the CFTC. Product authorizations from the CFTC have no term limits.(2)The activity from deconsolidation includes intangible assets as part of the contribution of the net assets of the optimization business to OSTTRA.