Why CBOE GLOBAL MARKETS INC (NYSEARCA:CBOE) Deserves Consideration as a Quality Investment.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if CBOE GLOBAL MARKETS INC (NYSEARCA:CBOE) is suited for quality investing. Investors should of course do their own research, but we spotted CBOE GLOBAL MARKETS INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Looking into the quality metrics of CBOE GLOBAL MARKETS INC

• CBOE GLOBAL MARKETS INC has achieved substantial revenue growth over the past 5 years, with a 6.39% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• The ROIC excluding cash and goodwill of CBOE GLOBAL MARKETS INC stands at 81.88%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• The Debt/Free Cash Flow Ratio of CBOE GLOBAL MARKETS INC stands at 1.6, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• The Profit Quality (5-year) of CBOE GLOBAL MARKETS INC stands at 191.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• CBOE GLOBAL MARKETS INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 11.1%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• With EBIT 5-year growth outpacing its Revenue 5-year growth, CBOE GLOBAL MARKETS INC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

Fundamental Analysis Observations

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

We assign a fundamental rating of 6 out of 10 to CBOE. CBOE was compared to 220 industry peers in the Capital Markets industry. CBOE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CBOE is quite expensive at the moment. It does show a decent growth rate.

Check the latest full fundamental report of CBOE for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.