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Why NYSEARCA:CBOE Stands Out as a Quality Stock.

By Mill Chart

Last update: Sep 12, 2024

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.


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Highlighting Notable Quality Metrics of NYSEARCA:CBOE.

  • CBOE GLOBAL MARKETS INC has shown strong performance in revenue growth over the past 5 years, with a 6.39% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • The ROIC excluding cash and goodwill of CBOE GLOBAL MARKETS INC stands at 90.19%, 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.
  • CBOE GLOBAL MARKETS INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.5, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
  • With a favorable Profit Quality (5-year) ratio of 191.0%, CBOE GLOBAL MARKETS INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
  • With a robust 5-year EBIT growth of 11.1%, CBOE GLOBAL MARKETS INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
  • 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.

What is the full fundamental picture of NYSEARCA:CBOE telling us.

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

CBOE gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 220 industry peers in the Capital Markets industry. Both the health and profitability get an excellent rating, making CBOE a very profitable company, without any liquidiy or solvency issues. While showing a medium growth rate, CBOE is valued expensive at the moment.

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.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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