BATS:CBOE

Stock Analysis Report

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Executive Summary

Cboe Global Markets, Inc., through its subsidiaries, operates as an options exchange in the United States. More Details


Snowflake Analysis

Adequate balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Cboe Global Markets's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CBOE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CBOE's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.9%

CBOE

0.2%

US Capital Markets

-0.5%

US Market


1 Year Return

-27.3%

CBOE

7.8%

US Capital Markets

18.3%

US Market

Return vs Industry: CBOE underperformed the US Capital Markets industry which returned 8.7% over the past year.

Return vs Market: CBOE underperformed the US Market which returned 19.1% over the past year.


Shareholder returns

CBOEIndustryMarket
7 Day1.9%0.2%-0.5%
30 Day10.1%5.1%3.6%
90 Day-0.7%6.5%5.6%
1 Year-26.3%-27.3%10.5%7.8%21.0%18.3%
3 Year-22.6%-25.4%30.0%19.9%45.2%35.6%
5 Year32.7%24.6%77.0%54.8%89.8%68.8%

Long-Term Price Volatility Vs. Market

How volatile is Cboe Global Markets's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Cboe Global Markets undervalued compared to its fair value and its price relative to the market?

21.2x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CBOE ($89.94) is trading above our estimate of fair value ($89.57)

Significantly Below Fair Value: CBOE is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CBOE is good value based on its PE Ratio (21.2x) compared to the US Capital Markets industry average (23x).

PE vs Market: CBOE is poor value based on its PE Ratio (21.2x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: CBOE's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CBOE is good value based on its PB Ratio (2.9x) compared to the US Capital Markets industry average (4.7x).


Next Steps

Future Growth

How is Cboe Global Markets forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CBOE's earnings are forecast to decline over the next 3 years (-2% per year).

Earnings vs Market: CBOE's earnings are forecast to decline over the next 3 years (-2% per year).

High Growth Earnings: CBOE's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CBOE's revenue is expected to decline over the next 3 years (-3% per year).

High Growth Revenue: CBOE's revenue is forecast to decline over the next 3 years (-3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CBOE's Return on Equity is forecast to be high in 3 years time (20%)


Next Steps

Past Performance

How has Cboe Global Markets performed over the past 5 years?

20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CBOE has high quality earnings.

Growing Profit Margin: CBOE's current net profit margins (14.6%) are lower than last year (16%).


Past Earnings Growth Analysis

Earnings Trend: CBOE's earnings have grown by 20% per year over the past 5 years.

Accelerating Growth: CBOE's earnings growth over the past year (10.1%) is below its 5-year average (20% per year).

Earnings vs Industry: CBOE earnings growth over the past year (10.1%) exceeded the Capital Markets industry 5%.


Return on Equity

High ROE: CBOE's Return on Equity (14%) is considered low.


Next Steps

Financial Health

How is Cboe Global Markets's financial position?


Financial Position Analysis

Short Term Liabilities: CBOE's short term assets ($1.4B) exceed its short term liabilities ($1.1B).

Long Term Liabilities: CBOE's short term assets ($1.4B) do not cover its long term liabilities ($1.6B).


Debt to Equity History and Analysis

Debt Level: CBOE's debt to equity ratio (28.1%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if CBOE's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: CBOE's debt is well covered by operating cash flow (152%).

Interest Coverage: CBOE's interest payments on its debt are well covered by EBIT (21.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Cboe Global Markets's current dividend yield, its reliability and sustainability?

1.87%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CBOE's dividend (1.87%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: CBOE's dividend (1.87%) is low compared to the top 25% of dividend payers in the US market (4.2%).


Stability and Growth of Payments

Stable Dividend: CBOE's dividend payments have been volatile in the past 10 years.

Growing Dividend: CBOE's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.4%), CBOE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CBOE's dividends in 3 years are forecast to be well covered by earnings (30.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Ed Tilly (57 yo)

7.5yrs

Tenure

US$8,212,785

Compensation

Mr. Edward T. Tilly, also known as Ed, has been the Chief Executive Officer at Cboe Exchange, Inc. and C2 Options Exchange (C2) since May 23, 2013 and President since January 14, 2019. Mr. Tilly serves as ...


CEO Compensation Analysis

Compensation vs Market: Ed's total compensation ($USD8.21M) is about average for companies of similar size in the US market ($USD11.00M).

Compensation vs Earnings: Ed's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Edward Tilly
Chairman7.5yrsUS$8.21m0.15%
$ 14.8m
Brian Schell
Executive VP2.83yrsUS$2.56m0.020%
$ 1.9m
Christopher Isaacson
Executive VP & COO1.83yrsUS$3.54m0.055%
$ 5.4m
Bryan Harkins
Executive VP & Head of Markets Division2.67yrsUS$1.79m0.037%
$ 3.6m
Jill M. Griebenow
Senior VP & Chief Accounting Officer2.25yrsno data0.0037%
$ 362.5k
Eric Crampton
Senior VP & Chief Technology Officer1.83yrsno datano data
Deborah Koopman
Vice President of Investor Relationsno datano datano data
Alexandra Albright
Chief Compliance Officer8.58yrsno datano data
John Sexton
Executive VP2.67yrsno data0.015%
$ 1.5m
Stephanie Klein
Chief Marketing Officer & VP5.67yrsno datano data
Pamela Culpepper
Chief Human Resources Officer4.58yrsno datano data
Philip Slocum
Chief Risk Officer and Executive Vice Presidentno datano datano data

2.8yrs

Average Tenure

54.5yo

Average Age

Experienced Management: CBOE's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Edward Tilly
Chairman7.5yrsUS$8.21m0.15%
$ 14.8m
Roderick Palmore
Independent Director20.83yrsUS$263.59k0.020%
$ 1.9m
Joseph Ratterman
Independent Director3.75yrsUS$232.09k0.034%
$ 3.3m
Jill Goodman
Independent Director8.42yrsUS$263.59k0.013%
$ 1.3m
James Parisi
Independent Director2.5yrsUS$308.59k0.0035%
$ 344.0k
Michael Richter
Independent Director3.75yrsUS$247.09k0.022%
$ 2.1m
William Farrow
Independent Director4.5yrsUS$273.09k0.0061%
$ 592.8k
Eugene Sunshine
Independent Lead Directorno dataUS$375.09k0.020%
$ 2.0m
Carole Stone
Director14.83yrsUS$284.09k0.013%
$ 1.2m
Edward Fitzpatrick
Independent Director7.5yrsUS$259.09k0.010%
$ 1.0m
Jill Sommers
Independent Director2.5yrsUS$410.09k0.0035%
$ 344.0k
Janet Froetscher
Independent Director15.83yrsUS$250.09k0.013%
$ 1.2m

4.5yrs

Average Tenure

58.5yo

Average Age

Experienced Board: CBOE's board of directors are considered experienced (4.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CBOE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cboe Global Markets, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cboe Global Markets, Inc.
  • Ticker: CBOE
  • Exchange: BATS
  • Founded: 1973
  • Industry: Financial Exchanges and Data
  • Sector: Diversified Financials
  • Market Cap: US$9.717b
  • Shares outstanding: 108.04m
  • Website: https://www.cboe.com

Number of Employees


Location

  • Cboe Global Markets, Inc.
  • 400 South LaSalle Street
  • Chicago
  • Illinois
  • 60605
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CBOEBATS (Better Alternative Trading System)YesCommon StockUSUSDJun 2010
C67DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2010
CBOE *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 2010
0HQNLSE (London Stock Exchange)YesCommon StockGBUSDJun 2010
C1BO34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLJan 2020

Biography

Cboe Global Markets, Inc., through its subsidiaries, operates as an options exchange in the United States. It operates in five segments: Options, U.S. Equities, Futures, European Equities, and Global FX. T...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/23 02:01
End of Day Share Price2020/11/20 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.