264.98 USD
+2.53 (+0.96%)
265.03 USD
+0.05 (+0.02%)
CME gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 235 industry peers in the Capital Markets industry. CME scores excellent on profitability, but there are some minor concerns on its financial health. CME is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CME had positive earnings in the past year.
CME had a positive operating cash flow in the past year.
Each year in the past 5 years CME has been profitable.
In the past 5 years CME always reported a positive cash flow from operatings.
1.2 Ratios
CME has a Return On Assets of 1.99%. This is comparable to the rest of the industry: CME outperforms 45.96% of its industry peers.
CME has a better Return On Equity (13.18%) than 72.77% of its industry peers.
CME has a better Return On Invested Capital (18.72%) than 95.74% of its industry peers.
CME had an Average Return On Invested Capital over the past 3 years of 15.81%. This is significantly above the industry average of 7.17%.
The 3 year average ROIC (15.81%) for CME is below the current ROIC(18.72%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.99% | ||
| ROE | 13.18% | ||
| ROIC | 18.72% |
ROA(3y)2.17%
ROA(5y)1.91%
ROE(3y)11.65%
ROE(5y)10.5%
ROIC(3y)15.81%
ROIC(5y)11.95%
1.3 Margins
With a decent Profit Margin value of 32.91%, CME is doing good in the industry, outperforming 79.57% of the companies in the same industry.
In the last couple of years the Profit Margin of CME has declined.
With an excellent Operating Margin value of 80.16%, CME belongs to the best of the industry, outperforming 98.72% of the companies in the same industry.
CME's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 80.16% | ||
| PM (TTM) | 32.91% | ||
| GM | N/A |
OM growth 3Y9.92%
OM growth 5Y6.02%
PM growth 3Y-13.33%
PM growth 5Y-2.37%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for CME remains at a similar level compared to 1 year ago.
CME has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CME has an improved debt to assets ratio.
2.2 Solvency
CME has a debt to FCF ratio of 0.84. This is a very positive value and a sign of high solvency as it would only need 0.84 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.84, CME belongs to the top of the industry, outperforming 89.36% of the companies in the same industry.
CME has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
CME has a Debt to Equity ratio of 0.12. This is in the better half of the industry: CME outperforms 79.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
CME has a Current Ratio of 1.02. This is a normal value and indicates that CME is financially healthy and should not expect problems in meeting its short term obligations.
CME's Current ratio of 1.02 is in line compared to the rest of the industry. CME outperforms 45.96% of its industry peers.
CME has a Quick Ratio of 1.02. This is a normal value and indicates that CME is financially healthy and should not expect problems in meeting its short term obligations.
CME's Quick ratio of 1.02 is in line compared to the rest of the industry. CME outperforms 46.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.41% over the past year.
The Earnings Per Share has been growing by 8.57% on average over the past years. This is quite good.
The Revenue has grown by 10.03% in the past year. This is quite good.
Measured over the past years, CME shows a quite strong growth in Revenue. The Revenue has been growing by 13.14% on average per year.
EPS 1Y (TTM)8.41%
EPS 3Y15.32%
EPS 5Y8.57%
EPS Q2Q%0%
Revenue 1Y (TTM)10.03%
Revenue growth 3Y26.89%
Revenue growth 5Y13.14%
Sales Q2Q%-2.95%
3.2 Future
CME is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.92% yearly.
Based on estimates for the next years, CME will show a small growth in Revenue. The Revenue will grow by 4.71% on average per year.
EPS Next Y9.98%
EPS Next 2Y7.13%
EPS Next 3Y6.89%
EPS Next 5Y7.92%
Revenue Next Year6.33%
Revenue Next 2Y5.53%
Revenue Next 3Y5.51%
Revenue Next 5Y4.71%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.18, the valuation of CME can be described as rather expensive.
CME's Price/Earnings ratio is a bit more expensive when compared to the industry. CME is more expensive than 61.70% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. CME is around the same levels.
A Price/Forward Earnings ratio of 22.50 indicates a rather expensive valuation of CME.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CME is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.92. CME is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.18 | ||
| Fwd PE | 22.5 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CME is valued cheaply inside the industry as 87.66% of the companies are valued more expensively.
CME's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.4 | ||
| EV/EBITDA | 10.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CME may justify a higher PE ratio.
PEG (NY)2.42
PEG (5Y)2.82
EPS Next 2Y7.13%
EPS Next 3Y6.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.88%, CME has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.19, CME has a dividend in line with its industry peers.
CME's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
5.2 History
The dividend of CME is nicely growing with an annual growth rate of 16.00%!
CME has been paying a dividend for at least 10 years, so it has a reliable track record.
CME has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)16%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
104.85% of the earnings are spent on dividend by CME. This is not a sustainable payout ratio.
The dividend of CME is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.85%
EPS Next 2Y7.13%
EPS Next 3Y6.89%
264.98
+2.53 (+0.96%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners91.62%
Inst Owner Change-0.14%
Ins Owners0.24%
Ins Owner Change-0.44%
Market Cap95.55B
Revenue(TTM)11.29B
Net Income(TTM)3.72B
Analysts70
Price Target291.65 (10.06%)
Short Float %1.72%
Short Ratio3.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
Yearly Dividend9.97
Dividend Growth(5Y)16%
DP104.85%
Div Incr Years11
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.59%
Min EPS beat(2)0.43%
Max EPS beat(2)0.76%
EPS beat(4)3
Avg EPS beat(4)0.49%
Min EPS beat(4)-1.28%
Max EPS beat(4)2.05%
EPS beat(8)6
Avg EPS beat(8)0.72%
EPS beat(12)10
Avg EPS beat(12)0.95%
EPS beat(16)14
Avg EPS beat(16)1.13%
Revenue beat(2)0
Avg Revenue beat(2)-0.83%
Min Revenue beat(2)-1.11%
Max Revenue beat(2)-0.54%
Revenue beat(4)0
Avg Revenue beat(4)-0.98%
Min Revenue beat(4)-1.72%
Max Revenue beat(4)-0.54%
Revenue beat(8)0
Avg Revenue beat(8)-0.81%
Revenue beat(12)3
Avg Revenue beat(12)7.34%
Revenue beat(16)7
Avg Revenue beat(16)10.88%
PT rev (1m)0.89%
PT rev (3m)-0.19%
EPS NQ rev (1m)1.33%
EPS NQ rev (3m)1.16%
EPS NY rev (1m)0.47%
EPS NY rev (3m)0.11%
Revenue NQ rev (1m)1.36%
Revenue NQ rev (3m)1.3%
Revenue NY rev (1m)0.37%
Revenue NY rev (3m)0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.18 | ||
| Fwd PE | 22.5 | ||
| P/S | 8.46 | ||
| P/FCF | 23.4 | ||
| P/OCF | 22.96 | ||
| P/B | 3.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.16 |
EPS(TTM)10.96
EY4.14%
EPS(NY)11.77
Fwd EY4.44%
FCF(TTM)11.33
FCFY4.27%
OCF(TTM)11.54
OCFY4.35%
SpS31.32
BVpS78.18
TBVpS-6.01
PEG (NY)2.42
PEG (5Y)2.82
Graham Number138.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.99% | ||
| ROE | 13.18% | ||
| ROCE | 24.11% | ||
| ROIC | 18.72% | ||
| ROICexc | 20.09% | ||
| ROICexgc | 151.85% | ||
| OM | 80.16% | ||
| PM (TTM) | 32.91% | ||
| GM | N/A | ||
| FCFM | 36.16% |
ROA(3y)2.17%
ROA(5y)1.91%
ROE(3y)11.65%
ROE(5y)10.5%
ROIC(3y)15.81%
ROIC(5y)11.95%
ROICexc(3y)17.24%
ROICexc(5y)12.98%
ROICexgc(3y)263.94%
ROICexgc(5y)202.43%
ROCE(3y)20.37%
ROCE(5y)15.39%
ROICexgc growth 3Y53.64%
ROICexgc growth 5Y25.03%
ROICexc growth 3Y41.34%
ROICexc growth 5Y22.06%
OM growth 3Y9.92%
OM growth 5Y6.02%
PM growth 3Y-13.33%
PM growth 5Y-2.37%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.84 | ||
| Debt/EBITDA | 0.36 | ||
| Cap/Depr | 23.26% | ||
| Cap/Sales | 0.68% | ||
| Interest Coverage | 66.76 | ||
| Cash Conversion | 44.34% | ||
| Profit Quality | 109.88% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 | ||
| Altman-Z | N/A |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)24.77%
Cap/Depr(5y)29.97%
Cap/Sales(3y)0.96%
Cap/Sales(5y)1.86%
Profit Quality(3y)106.99%
Profit Quality(5y)105.5%
High Growth Momentum
Growth
EPS 1Y (TTM)8.41%
EPS 3Y15.32%
EPS 5Y8.57%
EPS Q2Q%0%
EPS Next Y9.98%
EPS Next 2Y7.13%
EPS Next 3Y6.89%
EPS Next 5Y7.92%
Revenue 1Y (TTM)10.03%
Revenue growth 3Y26.89%
Revenue growth 5Y13.14%
Sales Q2Q%-2.95%
Revenue Next Year6.33%
Revenue Next 2Y5.53%
Revenue Next 3Y5.51%
Revenue Next 5Y4.71%
EBIT growth 1Y12.23%
EBIT growth 3Y39.48%
EBIT growth 5Y19.95%
EBIT Next Year12.32%
EBIT Next 3Y7.91%
EBIT Next 5Y7.1%
FCF growth 1Y23.34%
FCF growth 3Y16.49%
FCF growth 5Y8.18%
OCF growth 1Y22.71%
OCF growth 3Y15.38%
OCF growth 5Y6.67%
CME GROUP INC / CME FAQ
What is the ChartMill fundamental rating of CME GROUP INC (CME) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CME.
What is the valuation status of CME GROUP INC (CME) stock?
ChartMill assigns a valuation rating of 3 / 10 to CME GROUP INC (CME). This can be considered as Overvalued.
Can you provide the profitability details for CME GROUP INC?
CME GROUP INC (CME) has a profitability rating of 7 / 10.
What is the earnings growth outlook for CME GROUP INC?
The Earnings per Share (EPS) of CME GROUP INC (CME) is expected to grow by 9.98% in the next year.
Can you provide the dividend sustainability for CME stock?
The dividend rating of CME GROUP INC (CME) is 5 / 10 and the dividend payout ratio is 104.85%.