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Cboe Global Markets (CBOE)
BATS:CBOE
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Cboe Global Markets (CBOE) AI Stock Analysis

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CBOE

Cboe Global Markets

(BATS:CBOE)

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Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
$271.00
â–¼(-9.65% Downside)
Action:Reiterated
Date:06/27/26
The score reflects strong underlying fundamentals (high margins, improved ROE, conservative leverage, and solid cash generation) and a positive earnings outlook with lowered expense guidance and clear strategic cost actions. Offsetting these strengths, technical indicators are notably bearish (below all major moving averages with negative MACD and oversold momentum), and valuation is reasonable rather than clearly cheap, keeping the overall score in the low 70s.
Positive Factors
High profitability and returns
Sustained high margins and materially improved ROE imply durable operating leverage in Cboe’s exchange/data business. Strong margin profile supports reinvestment, dividend/share repurchases and resilience through volume cycles, making earnings less sensitive to short-term volume swings.
Negative Factors
Revenue cyclicality and volume sensitivity
Cboe’s transaction-fee model ties revenue to volumes and volatility, producing uneven top-line and free-cash-flow trends. This structural sensitivity means earnings and cash generation can swing materially across cycles, complicating multi-year planning and necessitating diversification or pricing resilience.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability and returns
Sustained high margins and materially improved ROE imply durable operating leverage in Cboe’s exchange/data business. Strong margin profile supports reinvestment, dividend/share repurchases and resilience through volume cycles, making earnings less sensitive to short-term volume swings.
Read all positive factors

Cboe Global Markets Key Performance Indicators (KPIs)

Any
Any
Revenue by Segment
Revenue by Segment
Chart Insights
Data provided by:The Fly

Cboe Global Markets (CBOE) vs. SPDR S&P 500 ETF (SPY)

Cboe Global Markets Business Overview & Revenue Model

Company Description
Cboe Global Markets, Inc. functions as a global operator of various financial exchanges, primarily renowned for its options trading platforms, all managed through its numerous subsidiaries. The company organizes its expansive business activities i...
How the Company Makes Money
Cboe primarily makes money by charging fees tied to trading activity on its exchanges and by selling market data and access services. (1) Transaction-based fees: The largest driver is typically fees assessed per contract or per share for trades ex...

Cboe Global Markets Earnings Call Summary

Earnings Call Date:May 01, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Jul 31, 2026
Earnings Call Sentiment Positive
The call highlights exceptionally strong operational and financial performance: record net revenue, record adjusted EPS, sizable EBITDA growth and margin expansion, broad-based strength across derivatives, cash/spot markets, FX and DataVantage, plus clear strategic moves to sharpen focus and return capital. Lowlights include planned workforce reductions (~20%), a modest anticipated ~3% revenue reduction from exits, some one-time DataVantage revenues, phased timing of cost-saving benefits (limited incremental savings in 2026), and regulatory/competitive uncertainties around event contracts and future franchise dynamics. On balance the positive performance, robust margins, strong balance sheet and clearly articulated strategy materially outweigh the execution and timing risks described.
Positive Updates
Record Net Revenue
Net revenue reached a record $729 million in Q1, up 29% year-over-year, driven by broad-based strength across core businesses.
Negative Updates
Workforce Reduction and Transition Risks
Strategic realignment actions, including sales and wind downs, are expected to reduce the workforce by approximately 20%, creating execution, integration and near-term human capital risks associated with transition and a move back to in-person work.
Read all updates
Q1-2026 Updates
Negative
Record Net Revenue
Net revenue reached a record $729 million in Q1, up 29% year-over-year, driven by broad-based strength across core businesses.
Read all positive updates
Company Guidance
For 2026, Cboe guided to DataVantage organic net revenue growth in the low double‑digit range and total organic net revenue growth in the low double‑digit to mid‑teens range; it lowered full‑year adjusted operating expense guidance to $838–$853 million (from $864–$879 million), with CapEx unchanged at $73–$83 million and depreciation & amortization at $56–$60 million, and an adjusted effective tax rate of 27.5%–29.5%. Management expects net interest (income less expense) to be a $3.5–$4.5 million positive contributor in Q2 2026. As part of its strategic realignment, Cboe now targets an approximate 12%–14% annualized reduction in adjusted operating expenses (roughly $100–$120 million of savings), with $40–$50 million of that tied to incremental actions and $20–$25 million of incremental savings expected to be realized in 2026. The pending sales of Cboe Canada and Cboe Australia are estimated to represent ~$60–$70 million of annualized net revenue and ~$40–$50 million of expenses that would exit the company once closed (about a ~3% annualized net‑revenue headwind vs. 2025). Capital deployment remains opportunistic: $45 million of buybacks in Q1, a $0.72/share Q1 dividend (total Q1 returns $121 million), adjusted cash of ~$2.1 billion and leverage of ~0.8x.

Cboe Global Markets Financial Statement Overview

Summary
Strong, high-quality profitability and returns supported by improving leverage: TTM margins are very strong (~52% gross, ~36% operating, ~26% net) and ROE improved to ~24.6% with conservative debt-to-equity (~0.29). Cash generation is solid (TTM FCF ~$975M, ~0.94x net income; OCF coverage ~1.88), but free-cash-flow growth is down (~-15.3%) and top-line growth has been uneven across years, reflecting volume/cycle sensitivity.
Income Statement
86
Very Positive
Balance Sheet
82
Very Positive
Cash Flow
78
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue4.79B4.71B4.09B3.77B3.96B3.49B
Gross Profit2.50B2.31B2.07B1.92B1.74B1.48B
EBITDA1.91B1.74B1.27B1.27B659.70M971.50M
Net Income1.24B1.10B764.90M761.40M235.00M529.00M
Balance Sheet
Total Assets11.07B9.31B7.79B7.49B7.00B6.81B
Cash, Cash Equivalents and Short-Term Investments2.17B2.25B1.03B600.70M524.40M379.00M
Total Debt1.56B1.68B1.60B1.61B1.87B1.43B
Total Liabilities5.70B4.17B3.51B3.50B3.53B3.21B
Stockholders Equity5.37B5.14B4.28B3.98B3.47B3.60B
Cash Flow
Free Cash Flow975.40M1.15B963.70M748.00M808.80M545.80M
Operating Cash Flow1.05B1.22B1.02B793.00M868.60M596.80M
Investing Cash Flow452.20M450.20M-141.80M-55.10M-835.10M-352.70M
Financing Cash Flow-397.30M-371.60M-495.00M-656.10M81.70M-200.30M

Cboe Global Markets Technical Analysis

Technical Analysis Sentiment
Negative
Last Price299.94
Price Trends
50DMA
305.67
Negative
100DMA
297.40
Negative
200DMA
274.01
Negative
Market Momentum
MACD
-19.13
Positive
RSI
36.38
Neutral
STOCH
51.37
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CBOE, the sentiment is Negative. The current price of 299.94 is above the 20-day moving average (MA) of 265.69, below the 50-day MA of 305.67, and above the 200-day MA of 274.01, indicating a bearish trend. The MACD of -19.13 indicates Positive momentum. The RSI at 36.38 is Neutral, neither overbought nor oversold. The STOCH value of 51.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CBOE.

Cboe Global Markets Risk Analysis

Cboe Global Markets disclosed 36 risk factors in its most recent earnings report. Cboe Global Markets reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Cboe Global Markets Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$85.73B20.0515.25%3.92%7.54%18.50%
77
Outperform
$75.21B19.2713.57%1.19%14.25%42.14%
77
Outperform
$130.21B27.8214.80%0.73%8.54%24.07%
77
Outperform
$43.91B34.66-64.13%1.24%10.86%20.25%
71
Outperform
$26.06B21.2124.63%1.06%10.61%53.46%
71
Outperform
$47.88B25.2015.91%1.07%5.79%50.79%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CBOE
Cboe Global Markets
248.99
16.21
6.96%
CME
CME Group
236.60
-35.37
-13.00%
ICE
Intercontinental Exchange
132.99
-47.79
-26.44%
SPGI
S&P Global
439.89
-57.41
-11.54%
MSCI
MSCI
603.11
23.21
4.00%
NDAQ
Nasdaq
84.66
-4.76
-5.32%

Cboe Global Markets Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Cboe Global Extends and Updates European Credit Facility
Positive
Jun 26, 2026
On June 23, 2026, Cboe Global Markets, Inc., as guarantor, entered into an amendment and restatement agreement, effective June 26, 2026, with its clearing subsidiary Cboe Clear Europe N.V. and a syndicate of banks to revise Cboe Clear Europe&#8217...
Executive/Board ChangesShareholder Meetings
Cboe Shareholders Back Board, Pay Plans at 2026 Meeting
Positive
May 18, 2026
Cboe Global Markets, Inc. held its 2026 Annual Meeting of Stockholders on May 14, 2026, where shareholders elected the full slate of director nominees, including Chair Craig S. Donohue and several other incumbent and new board members, with strong...
Business Operations and StrategyFinancial Disclosures
Cboe Global Markets Announces Major Restructuring and Cost Cuts
Positive
May 1, 2026
On May 1, 2026, Cboe Global Markets, Inc., a major operator of cash and spot markets, derivatives exchanges, and market data services under its Cboe Data Vantage unit, reported record first-quarter 2026 financial results, including a 29% rise in n...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 27, 2026