CBOE GLOBAL MARKETS INC (CBOE) Stock Fundamental Analysis
NYSEARCA:CBOE - NYSE Arca - US12503M1080 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to CBOE. CBOE was compared to 233 industry peers in the Capital Markets industry. CBOE gets an excellent profitability rating and is at the same time showing great financial health properties. CBOE is quite expensive at the moment. It does show a decent growth rate. These ratings could make CBOE a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
CBOE had positive earnings in the past year.
CBOE had a positive operating cash flow in the past year.
CBOE had positive earnings in each of the past 5 years.
CBOE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CBOE's Return On Assets of 9.25% is amongst the best of the industry. CBOE outperforms 87.55% of its industry peers.
CBOE has a Return On Equity of 18.02%. This is amongst the best in the industry. CBOE outperforms 84.98% of its industry peers.
With an excellent Return On Invested Capital value of 13.65%, CBOE belongs to the best of the industry, outperforming 87.12% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CBOE is above the industry average of 7.86%.
The last Return On Invested Capital (13.65%) for CBOE is above the 3 year average (12.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.25% | ||
| ROE | 18.02% | ||
| ROIC | 13.65% |
ROA(3y)7.74%
ROA(5y)7.63%
ROE(3y)14.52%
ROE(5y)14.42%
ROIC(3y)12.77%
ROIC(5y)11.7%
1.3 Margins
CBOE has a Profit Margin (18.51%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of CBOE has grown nicely.
Looking at the Operating Margin, with a value of 28.89%, CBOE is in line with its industry, outperforming 52.36% of the companies in the same industry.
CBOE's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 49.29%, CBOE is in line with its industry, outperforming 54.51% of the companies in the same industry.
In the last couple of years the Gross Margin of CBOE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.89% | ||
| PM (TTM) | 18.51% | ||
| GM | 49.29% |
OM growth 3Y7.05%
OM growth 5Y4.21%
PM growth 3Y7.2%
PM growth 5Y4.48%
GM growth 3Y6.22%
GM growth 5Y2.13%
2. Health
2.1 Basic Checks
Compared to 1 year ago, CBOE has less shares outstanding
Compared to 5 years ago, CBOE has less shares outstanding
CBOE has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.15 indicates that CBOE is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 5.15, CBOE belongs to the best of the industry, outperforming 84.12% of the companies in the same industry.
The Debt to FCF ratio of CBOE is 1.37, which is an excellent value as it means it would take CBOE, only 1.37 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.37, CBOE belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
CBOE has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.32, CBOE is doing good in the industry, outperforming 74.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.37 | ||
| Altman-Z | 5.15 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
CBOE has a Current Ratio of 1.60. This is a normal value and indicates that CBOE is financially healthy and should not expect problems in meeting its short term obligations.
CBOE has a Current ratio of 1.60. This is in the better half of the industry: CBOE outperforms 65.67% of its industry peers.
CBOE has a Quick Ratio of 1.60. This is a normal value and indicates that CBOE is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.60, CBOE is doing good in the industry, outperforming 65.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.43% over the past year.
Measured over the past years, CBOE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.71% on average per year.
CBOE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.76%.
The Revenue has been growing by 10.40% on average over the past years. This is quite good.
EPS 1Y (TTM)11.43%
EPS 3Y12.46%
EPS 5Y12.71%
EPS Q2Q%16.28%
Revenue 1Y (TTM)15.76%
Revenue growth 3Y5.42%
Revenue growth 5Y10.4%
Sales Q2Q%12.57%
3.2 Future
Based on estimates for the next years, CBOE will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.49% on average per year.
Based on estimates for the next years, CBOE will show a small growth in Revenue. The Revenue will grow by 5.02% on average per year.
EPS Next Y10.14%
EPS Next 2Y8.1%
EPS Next 3Y8.06%
EPS Next 5Y8.49%
Revenue Next Year8.7%
Revenue Next 2Y6.41%
Revenue Next 3Y5.78%
Revenue Next 5Y5.02%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
CBOE is valuated quite expensively with a Price/Earnings ratio of 26.31.
CBOE's Price/Earnings ratio is a bit more expensive when compared to the industry. CBOE is more expensive than 64.38% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.52, CBOE is valued at the same level.
A Price/Forward Earnings ratio of 23.42 indicates a rather expensive valuation of CBOE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CBOE indicates a slightly more expensive valuation: CBOE is more expensive than 61.37% of the companies listed in the same industry.
CBOE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.58, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.31 | ||
| Fwd PE | 23.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CBOE is valued a bit cheaper than the industry average as 77.25% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CBOE is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.54 | ||
| EV/EBITDA | 18.07 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of CBOE may justify a higher PE ratio.
PEG (NY)2.59
PEG (5Y)2.07
EPS Next 2Y8.1%
EPS Next 3Y8.06%
5. Dividend
5.1 Amount
CBOE has a Yearly Dividend Yield of 1.28%. Purely for dividend investing, there may be better candidates out there.
CBOE's Dividend Yield is slightly below the industry average, which is at 7.77.
Compared to an average S&P500 Dividend Yield of 2.35, CBOE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
5.2 History
On average, the dividend of CBOE grows each year by 11.94%, which is quite nice.
CBOE has been paying a dividend for at least 10 years, so it has a reliable track record.
CBOE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)11.94%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
32.08% of the earnings are spent on dividend by CBOE. This is a low number and sustainable payout ratio.
CBOE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP32.08%
EPS Next 2Y8.1%
EPS Next 3Y8.06%
235.96
+0.95 (+0.4%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners90.27%
Inst Owner Change-0.01%
Ins Owners0.18%
Ins Owner Change1.2%
Market Cap24.71B
Analysts69.6
Price Target232.63 (-1.41%)
Short Float %2.92%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
Yearly Dividend2.37
Dividend Growth(5Y)11.94%
DP32.08%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.61%
Min EPS beat(2)-2.44%
Max EPS beat(2)3.67%
EPS beat(4)2
Avg EPS beat(4)0.16%
Min EPS beat(4)-2.44%
Max EPS beat(4)3.67%
EPS beat(8)4
Avg EPS beat(8)1.23%
EPS beat(12)6
Avg EPS beat(12)0.9%
EPS beat(16)8
Avg EPS beat(16)1.23%
Revenue beat(2)0
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-2.22%
Max Revenue beat(2)-1.05%
Revenue beat(4)0
Avg Revenue beat(4)-1.77%
Min Revenue beat(4)-2.22%
Max Revenue beat(4)-1.05%
Revenue beat(8)0
Avg Revenue beat(8)-2.28%
Revenue beat(12)3
Avg Revenue beat(12)28.7%
Revenue beat(16)7
Avg Revenue beat(16)52.42%
PT rev (1m)-0.03%
PT rev (3m)6.19%
EPS NQ rev (1m)-0.14%
EPS NQ rev (3m)7.13%
EPS NY rev (1m)0%
EPS NY rev (3m)3.14%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)5.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.31 | ||
| Fwd PE | 23.42 | ||
| P/S | 5.7 | ||
| P/FCF | 23.54 | ||
| P/OCF | 22.1 | ||
| P/B | 5.55 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.07 |
EPS(TTM)8.97
EY3.8%
EPS(NY)10.07
Fwd EY4.27%
FCF(TTM)10.02
FCFY4.25%
OCF(TTM)10.68
OCFY4.52%
SpS41.37
BVpS42.52
TBVpS-0.93
PEG (NY)2.59
PEG (5Y)2.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.25% | ||
| ROE | 18.02% | ||
| ROCE | 19.06% | ||
| ROIC | 13.65% | ||
| ROICexc | 16.54% | ||
| ROICexgc | 102.87% | ||
| OM | 28.89% | ||
| PM (TTM) | 18.51% | ||
| GM | 49.29% | ||
| FCFM | 24.23% |
ROA(3y)7.74%
ROA(5y)7.63%
ROE(3y)14.52%
ROE(5y)14.42%
ROIC(3y)12.77%
ROIC(5y)11.7%
ROICexc(3y)14.51%
ROICexc(5y)13.03%
ROICexgc(3y)215.33%
ROICexgc(5y)200.97%
ROCE(3y)17.83%
ROCE(5y)16.33%
ROICexcg growth 3Y-2.02%
ROICexcg growth 5Y-10.65%
ROICexc growth 3Y12.17%
ROICexc growth 5Y11.24%
OM growth 3Y7.05%
OM growth 5Y4.21%
PM growth 3Y7.2%
PM growth 5Y4.48%
GM growth 3Y6.22%
GM growth 5Y2.13%
F-Score7
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.37 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 54.21% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 11.44 | ||
| Cash Conversion | 81.14% | ||
| Profit Quality | 130.86% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 5.15 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)36.71%
Cap/Depr(5y)34.1%
Cap/Sales(3y)1.4%
Cap/Sales(5y)1.41%
Profit Quality(3y)175.09%
Profit Quality(5y)186.2%
High Growth Momentum
Growth
EPS 1Y (TTM)11.43%
EPS 3Y12.46%
EPS 5Y12.71%
EPS Q2Q%16.28%
EPS Next Y10.14%
EPS Next 2Y8.1%
EPS Next 3Y8.06%
EPS Next 5Y8.49%
Revenue 1Y (TTM)15.76%
Revenue growth 3Y5.42%
Revenue growth 5Y10.4%
Sales Q2Q%12.57%
Revenue Next Year8.7%
Revenue Next 2Y6.41%
Revenue Next 3Y5.78%
Revenue Next 5Y5.02%
EBIT growth 1Y14.42%
EBIT growth 3Y12.85%
EBIT growth 5Y15.05%
EBIT Next Year18.08%
EBIT Next 3Y9.17%
EBIT Next 5Y6.67%
FCF growth 1Y190.99%
FCF growth 3Y23.96%
FCF growth 5Y11.71%
OCF growth 1Y164.84%
OCF growth 3Y22.63%
OCF growth 5Y11.71%