Record Quarterly Results and Upgraded Guidance Could Be a Game Changer for Cboe Global Markets (CBOE)

• Cboe Global Markets recently reported second quarter 2025 results, posting record revenue of US$1.17 billion and net income of US$235.1 million, both up markedly from the prior year; the company also announced robust July trading volume figures and reached over 1,000 U.S. ETF listings.
• In addition to strong financials, Cboe raised its full-year 2025 organic net revenue growth guidance to the high single digits and closed its Japan equities business to focus on higher-return opportunities and cost management.
• We’ll review how Cboe’s upgraded revenue guidance and record derivatives volumes could influence its future growth expectations and investment narrative.

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Cboe Global Markets Investment Narrative Recap

To be a Cboe Global Markets shareholder, you need to believe in the company’s ability to sustain and grow its core derivatives and market data franchises, leveraging global electronic trading trends and a robust ETF platform. The recent record Q2 revenue, upgraded growth guidance, and pointed focus away from Japan reinforce the firm’s main catalysts, expanding derivatives volumes and data sales. However, concentration in proprietary products and competitive headwinds remain the biggest current risk; these results have not materially changed that risk profile.

Among the latest announcements, Cboe’s surpassing of 1,000 U.S. ETF listings stands out as a strong validation of its position as a key venue for innovative investment products. This growth, alongside record derivatives trading volumes, directly supports its revised positive revenue outlook, a primary catalyst for near-term sentiment and potential future performance.

However, in contrast to the positive momentum, investors should be aware that concentrated reliance on key index options exposes Cboe’s core revenue streams to renewal risk if...

Read the full narrative on Cboe Global Markets (it's free!)

Cboe Global Markets' outlook anticipates $2.6 billion in revenue and $1.1 billion in earnings by 2028. This reflects a yearly revenue decline of 17.3% and a $203.7 million increase in earnings from $896.3 million currently.

Uncover how Cboe Global Markets' forecasts yield a $246.93 fair value, in line with its current price.

Exploring Other Perspectives

Ten members of the Simply Wall St Community estimate Cboe’s fair value from as low as US$41.96 to as high as US$246.93. While some expect much greater upside, ongoing reliance on proprietary index options remains a key concern that could sway earnings if partnerships change, inviting you to compare different viewpoints.

Explore 10 other fair value estimates on Cboe Global Markets - why the stock might be worth as much as $246.93!

Build Your Own Cboe Global Markets Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Cboe Global Markets research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Cboe Global Markets research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Cboe Global Markets' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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