CME Group IncFind Ratings Reports
CME GROUP INC's gross profit margin for the fourth quarter of its fiscal year 2016 has increased when compared to the same period a year ago. Sales and net income have grown, and although the growth in revenues has outpaced the average competitor within the industry, the net income growth has not. CME GROUP INC has very weak liquidity. Currently, the Quick Ratio is 0.06 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year, indicating improving cash flow.
During the same period, stockholders' equity ("net worth") has remained virtually unchanged only decreasing by 1.02% 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||Q4 FY16||Q4 FY15|
|Net Sales ($mil)||983.4||817.2|
|Net Income ($mil)||373.4||291.7|
|Balance Sheet||Q4 FY16||Q4 FY15|
|Cash & Equiv. ($mil)||1981.9||1765.1|
|Total Assets ($mil)||69369.4||67371.5|
|Total Debt ($mil)||2231.2||2241.4|
|Profitability||Q4 FY16||Q4 FY15|
|Gross Profit Margin||69.7||64.79|
|Return on Assets||2.21||1.85|
|Return on Equity||7.54||6.06|
|Debt||Q4 FY16||Q4 FY15|
|Share Data||Q4 FY16||Q4 FY15|
|Shares outstanding (mil)||338.24||336.94|
|Div / share||3.85||3.4|
|Book value / share||60.14||61.0|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||1498771.0||1715053.0|
BUY. The current P/E ratio indicates a premium compared to an average of 26.25 for the Capital Markets industry and a value on par with the S&P 500 average of 26.73. To use another comparison, its price-to-book ratio of 2.07 indicates a discount versus the S&P 500 average of 2.98 and a significant discount versus the industry average of 4.27. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. The valuation analysis reveals that, CME GROUP INC seems to be trading at a premium to investment alternatives within the industry.
|CME 27.54||Peers 26.25||CME 24.59||Peers 25.47|
Average. An average P/E ratio can signify an industry neutral price for a stock and an average growth expectation.
CME is trading at a valuation on par with its peers.
Average. 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 valuation on par to its peers.
|CME 23.58||Peers 17.41||CME 4.16||Peers 1.55|
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.
|CME 2.07||Peers 4.27||CME 23.09||Peers 12.44|
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.
|CME 11.27||Peers 8.09||CME 11.48||Peers 4.81|
Premium. 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 premium to its industry.
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.