This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
CME Group Inc
CME : NASDAQ : Financial
$91.12 -3.32 | -3.52%
Today's Range: 90.68 - 92.63
Avg. Daily Volume: 1,498,400
09/01/15 - 4:00 PM ET

Financial Analysis


CME GROUP INC's gross profit margin for the second quarter of its fiscal year 2015 is essentially unchanged when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago. CME GROUP INC has very weak liquidity. Currently, the Quick Ratio is 0.04 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.

During the same period, stockholders' equity ("net worth") has remained unchanged from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q2 FY15 Q2 FY14
Net Sales ($mil)838.5746.7
EBITDA ($mil)573.8487.4
EBIT ($mil)515.5427.9
Net Income ($mil)265.0263.8


Balance Sheet Q2 FY15 Q2 FY14
Cash & Equiv. ($mil)1259.31147.2
Total Assets ($mil)73663.151611.3
Total Debt ($mil)2241.02107.5
Equity ($mil)21258.821465.4


Profitability Q2 FY15 Q2 FY14
Gross Profit Margin68.4365.27
EBITDA Margin68.4365.27
Operating Margin61.4857.31
Sales Turnover0.040.06
Return on Assets1.611.86
Return on Equity5.64.47
Debt Q2 FY15 Q2 FY14
Current Ratio1.041.07
Debt/Capital0.10.09
Interest Expense28.628.3
Interest Coverage18.0215.12


Share Data Q2 FY15 Q2 FY14
Shares outstanding (mil)336.19334.25
Div / share0.50.47
EPS0.780.79
Book value / share63.2364.22
Institutional Own % n/a n/a
Avg Daily Volume1501310.01613384.0

Valuation


BUY. This stock's P/E ratio indicates a significant discount compared to an average of 11605.19 for the Diversified Financial Services industry and a premium compared to the S&P 500 average of 20.03. To use another comparison, its price-to-book ratio of 1.48 indicates a discount versus the S&P 500 average of 2.67 and a significant discount versus the industry average of 840.38. The price-to-sales ratio is well above the S&P 500 average, but well below the industry average. Upon assessment of these and other key valuation criteria, CME GROUP INC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
CME 26.56 Peers 11605.19   CME 22.29 Peers 6180.87

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

CME is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

CME is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
CME 21.46 Peers 12.23   CME 1.65 Peers 1.18

Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.

CME is trading at a significant premium to its peers.

 

Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

CME trades at a significant premium to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
CME 1.48 Peers 840.38   CME 22.99 Peers -8.44

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

CME is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

CME is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
CME 9.53 Peers 1010.07   CME 12.07 Peers 7.68

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

CME is trading at a significant discount to its industry on this measurement.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

CME has a sales growth rate that significantly exceeds its peers.

 

 

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV

Latest Stock Upgrades/Downgrades


Top Rated Stocks Top Rated Funds Top Rated ETFs