CME Group (NASDAQ:CME) Reaches New 1-Year Low – What’s Next?

CME Group Inc. (NASDAQ:CME)’s stock price hit a new 52-week low during trading on Monday . The company traded as low as $219.55 and last traded at $219.37, with a volume of 802152 shares changing hands. The stock had previously closed at $221.00.

More CME Group News

Here are the key news stories impacting CME Group this week:

• Positive Sentiment: Director William Shepard bought 325 shares of CME Group at $230.57, a small but notable insider purchase that can signal confidence from management. Insider Buying: CME Group (NASDAQ:CME) Director Purchases 325 Shares
• Positive Sentiment: Erste Group Bank slightly raised its FY2027 EPS estimate for CME Group to $12.96 from $12.92, suggesting continued expectations for solid longer-term earnings.
• Neutral Sentiment: Wall Street continues to expect CME Group to report low-single-digit profit growth in its upcoming quarterly results, which points to stable but not accelerating fundamentals. What to Expect From CME Group’s Next Quarterly Earnings Report
• Negative Sentiment: Goldman Sachs cut its price target on CME Group to $245 from $267 and kept a sell rating, reinforcing a cautious view on the stock. Goldman Sachs Adjusts Price Target on CME Group
• Negative Sentiment: DraftKings’ move to bring its prediction-market exchange in-house may reduce reliance on third-party infrastructure providers like CME Group, creating a small headwind for market-data or trading-related relationships. Draftkings Drops Crypto.com, Launches Own Prediction Market Exchange
• Negative Sentiment: Recent commentary also flagged CME as one of the session’s laggards in a generally stronger financial sector, reflecting relative underperformance. Financial sector climbs in Q2 as Robinhood leads gainers, CME heads losers

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the company. UBS Group reaffirmed an “overweight” rating on shares of CME Group in a research report on Monday, June 15th. Raymond James Financial increased their price target on CME Group from $310.00 to $320.00 and gave the company an “outperform” rating in a research report on Monday, April 6th. Barclays dropped their price target on CME Group from $343.00 to $316.00 and set an “equal weight” rating on the stock in a research note on Thursday, April 23rd. Jefferies Financial Group cut their price objective on CME Group from $356.00 to $349.00 and set a “buy” rating on the stock in a report on Thursday, April 9th. Finally, Deutsche Bank Aktiengesellschaft reduced their price objective on shares of CME Group from $342.00 to $322.00 and set a “buy” rating for the company in a research note on Thursday, April 23rd. Twelve research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $300.94.

CME Group Stock Performance

The firm’s 50 day simple moving average is $270.24 and its 200-day simple moving average is $285.17. The company has a market capitalization of $80.02 billion, a price-to-earnings ratio of 18.84, a P/E/G ratio of 2.44 and a beta of 0.21. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.02 and a current ratio of 1.02.

CME Group (NASDAQ:CME) last issued its earnings results on Wednesday, April 22nd. The financial services provider reported $3.36 EPS for the quarter, topping the consensus estimate of $3.11 by $0.25. CME Group had a return on equity of 15.42% and a net margin of 63.19%.The business had revenue of $1.88 billion during the quarter, compared to analysts’ expectations of $1.77 billion. During the same quarter last year, the firm posted $2.80 earnings per share. CME Group’s revenue was up 14.5% compared to the same quarter last year. Analysts expect that CME Group Inc. will post 12.28 EPS for the current year.

CME Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, June 25th. Investors of record on Tuesday, June 9th were paid a $1.30 dividend. This represents a $5.20 annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend was Tuesday, June 9th. CME Group’s dividend payout ratio is currently 44.37%.

Insiders Place Their Bets

In other news, insider Hilda Harris Piell sold 5,753 shares of the company’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $304.63, for a total value of $1,752,536.39. Following the transaction, the insider owned 27,702 shares in the company, valued at $8,438,860.26. This represents a 17.20% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director William R. Shepard purchased 325 shares of CME Group stock in a transaction dated Thursday, June 25th. The stock was bought at an average cost of $230.57 per share, with a total value of $74,935.25. Following the completion of the transaction, the director directly owned 260,442 shares of the company’s stock, valued at $60,050,111.94. This represents a 0.12% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Corporate insiders own 0.30% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Empowered Funds LLC increased its stake in shares of CME Group by 11.5% during the 1st quarter. Empowered Funds LLC now owns 10,027 shares of the financial services provider’s stock worth $2,660,000 after purchasing an additional 1,037 shares during the last quarter. Marshall Wace LLP raised its stake in shares of CME Group by 103.1% in the 2nd quarter. Marshall Wace LLP now owns 3,692 shares of the financial services provider’s stock valued at $1,018,000 after acquiring an additional 121,707 shares in the last quarter. Federated Hermes Inc. raised its position in shares of CME Group by 1,325.2% in the second quarter. Federated Hermes Inc. now owns 23,572 shares of the financial services provider’s stock valued at $6,497,000 after purchasing an additional 21,918 shares during the period. Nebula Research & Development LLC bought a new stake in shares of CME Group during the 2nd quarter worth $992,000. Finally, The Manufacturers Life Insurance Company grew its stake in CME Group by 2.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 287,876 shares of the financial services provider’s stock valued at $79,344,000 after buying an additional 7,397 shares during the last quarter. Institutional investors and hedge funds own 87.75% of the company’s stock.

CME Group Company Profile

CME Group Inc is a global markets company that operates some of the world’s largest and most liquid derivatives exchanges, including the Chicago Mercantile Exchange (CME), the Chicago Board of Trade (CBOT), the New York Mercantile Exchange (NYMEX) and COMEX. The firm offers futures and options contracts across a broad range of asset classes — including interest rates, equity indexes, foreign exchange, energy, agricultural commodities and metals — and serves a diverse client base of institutional investors, commercial hedgers, brokers and retail participants.

The company’s core services include electronic trading on the CME Globex platform, central clearing through CME Clearing, and distribution of market data, indexes and analytics.