CME Group Inc Class A
CME: XNAS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$672.00 | Tgr | Ggpsxzdbt |
CME Earnings: Market Volatility and Higher Fees Lead to a Strong Open to 2023
Wide-moat-rated CME Group reported strong first-quarter earnings as significant volatility, particularly in interest rate markets, drove high trading revenue. Net revenue increased 7% year over year and 19.4% sequentially to $1.44 billion, while earnings per share increased 24.6% from last year to $2.43. As we incorporate these results, we do not expect to materially alter our $215 fair value estimate for CME, and we view the shares as modestly undervalued.