Cboe Global Markets Community

Metrics Used in Calculation For CBOE Global Markets, I employed two-stage models for both DCF and DDM analysis given the company's established market position with potential for different growth phases: 1. Two-Stage Discounted Cash Flow (DCF) Model Phase 1 (Years 1-10) : 8% free cash flow growth reflecting CBOE's strong market position and expanding derivatives business Phase 2 (Perpetual) : 3% growth rate aligned with long-term economic growth expectations Projects free cash flows over 10 years plus terminal value using perpetual growth model 2.

Key Takeaways Cboe's strategic focus on innovation and global expansion aims to drive revenue growth through increased trading volumes and international presence. A shift towards organic growth investments, supported by technological advancements, is set to enhance earnings growth and shareholder value.