CME Group (NASDAQ:CME) Reaches New 1-Year High Following Strong Earnings

CME Group Inc. (NASDAQ:CME)’s share price hit a new 52-week high during trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $230.30 and last traded at $229.41, with a volume of 298100 shares trading hands. The stock had previously closed at $227.14.

The financial services provider reported $2.68 EPS for the quarter, beating analysts’ consensus estimates of $2.65 by $0.03. CME Group had a net margin of 56.98% and a return on equity of 12.82%. The firm had revenue of $1.58 billion for the quarter, compared to analysts’ expectations of $1.59 billion. During the same quarter in the prior year, the company posted $2.25 earnings per share. The business’s revenue for the quarter was up 18.4% on a year-over-year basis.

CME Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 25th. Investors of record on Monday, September 9th were issued a $1.15 dividend. This represents a $4.60 annualized dividend and a yield of 2.03%. The ex-dividend date of this dividend was Monday, September 9th. CME Group’s dividend payout ratio is currently 52.33%.

Analyst Ratings Changes

Several research analysts have weighed in on the stock. Redburn Atlantic downgraded shares of CME Group from a “buy” rating to a “neutral” rating and set a $244.00 price target on the stock. in a research report on Tuesday, October 8th. The Goldman Sachs Group increased their price target on shares of CME Group from $195.00 to $198.00 and gave the stock a “sell” rating in a research report on Thursday, October 3rd. Keefe, Bruyette & Woods increased their price target on shares of CME Group from $212.00 to $213.00 and gave the stock a “market perform” rating in a research report on Thursday, July 25th. Citigroup increased their price target on shares of CME Group from $250.00 to $255.00 and gave the stock a “buy” rating in a research report on Thursday. Finally, JPMorgan Chase & Co. raised their price objective on shares of CME Group from $187.00 to $191.00 and gave the company an “underweight” rating in a research report on Thursday, July 25th. Four investment analysts have rated the stock with a sell rating, seven have assigned a hold rating and four have given a buy rating to the stock. According to MarketBeat, CME Group currently has a consensus rating of “Hold” and a consensus target price of $222.07.

Insiders Place Their Bets

In other CME Group news, CFO Lynne Fitzpatrick sold 754 shares of CME Group stock in a transaction on Sunday, September 15th. The shares were sold at an average price of $216.99, for a total value of $163,610.46. Following the completion of the transaction, the chief financial officer now directly owns 13,261 shares of the company’s stock, valued at $2,877,504.39. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. In related news, Director Bryan T. Durkin sold 7,593 shares of CME Group stock in a transaction dated Friday, August 30th. The shares were sold at an average price of $214.59, for a total transaction of $1,629,381.87. Following the completion of the transaction, the director now directly owns 55,607 shares of the company’s stock, valued at approximately $11,932,706.13. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Lynne Fitzpatrick sold 754 shares of CME Group stock in a transaction dated Sunday, September 15th. The stock was sold at an average price of $216.99, for a total transaction of $163,610.46. Following the transaction, the chief financial officer now directly owns 13,261 shares of the company’s stock, valued at approximately $2,877,504.39. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.30% of the company’s stock.

Hedge Funds Weigh In On CME Group

A number of large investors have recently made changes to their positions in the company. Salomon & Ludwin LLC bought a new stake in CME Group during the 1st quarter valued at about $28,000. Y.D. More Investments Ltd bought a new stake in CME Group during the 2nd quarter valued at about $36,000. Thurston Springer Miller Herd & Titak Inc. lifted its holdings in CME Group by 62.2% during the 3rd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 193 shares of the financial services provider’s stock valued at $43,000 after buying an additional 74 shares in the last quarter. McClarren Financial Advisors Inc. lifted its holdings in CME Group by 66.1% during the 2nd quarter. McClarren Financial Advisors Inc. now owns 196 shares of the financial services provider’s stock valued at $39,000 after buying an additional 78 shares in the last quarter. Finally, Asset Dedication LLC raised its holdings in shares of CME Group by 515.2% in the 2nd quarter. Asset Dedication LLC now owns 203 shares of the financial services provider’s stock valued at $40,000 after purchasing an additional 170 shares in the last quarter. 87.75% of the stock is owned by hedge funds and other institutional investors.

CME Group Stock Performance

The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.02 and a current ratio of 1.02. The firm has a market cap of $81.43 billion, a P/E ratio of 25.70, a price-to-earnings-growth ratio of 7.76 and a beta of 0.55. The firm’s fifty day moving average price is $218.57 and its 200 day moving average price is $208.81.

About CME Group

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 and foreign currency trading services.