CME Group (NASDAQ:CME) Sets New 52-Week High – Still a Buy?

CME Group Inc. (NASDAQ:CME)’s share price hit a new 52-week high during trading on Wednesday . The company traded as high as $296.16 and last traded at $293.07, with a volume of 3975588 shares trading hands. The stock had previously closed at $290.77.

Analyst Ratings Changes

A number of equities research analysts have commented on the company. UBS Group reissued a “neutral” rating on shares of CME Group in a research note on Tuesday, January 6th. JPMorgan Chase & Co. increased their target price on CME Group from $256.00 to $262.00 and gave the stock an “underweight” rating in a report on Thursday, January 22nd. Weiss Ratings reissued a “buy (b+)” rating on shares of CME Group in a research report on Monday, December 29th. The Goldman Sachs Group lowered their price objective on shares of CME Group from $265.00 to $264.00 and set a “sell” rating on the stock in a report on Wednesday, January 14th. Finally, TD Cowen raised shares of CME Group from a “hold” rating to a “buy” rating in a research note on Wednesday, January 14th. Nine analysts have rated the stock with a Buy rating, six have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat.com, CME Group has a consensus rating of “Hold” and an average price target of $292.18.

CME Group Price Performance

The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 0.12. The business has a 50-day moving average of $275.88 and a 200 day moving average of $272.52. The firm has a market capitalization of $105.68 billion, a PE ratio of 28.40, a price-to-earnings-growth ratio of 3.28 and a beta of 0.27.

CME Group Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, December 30th. Shareholders of record on Friday, December 12th were paid a $1.25 dividend. The ex-dividend date was Friday, December 12th. This represents a $5.00 annualized dividend and a yield of 1.7%. CME Group’s dividend payout ratio (DPR) is 48.45%.

Insider Activity at CME Group

In other news, CEO Terrence A. Duffy sold 25,000 shares of the business’s stock in a transaction that occurred on Thursday, December 11th. The stock was sold at an average price of $269.55, for a total value of $6,738,750.00. Following the transaction, the chief executive officer owned 65,804 shares in the company, valued at $17,737,468.20. The trade was a 27.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director William R. Shepard bought 251 shares of CME Group stock in a transaction dated Tuesday, December 30th. The stock was acquired at an average cost of $278.37 per share, with a total value of $69,870.87. Following the completion of the acquisition, the director owned 258,710 shares of the company’s stock, valued at $72,017,102.70. This represents a 0.10% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 0.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On CME Group

A number of hedge funds and other institutional investors have recently made changes to their positions in CME. Empowered Funds LLC raised its position in CME Group by 11.5% in the first quarter. Empowered Funds LLC now owns 10,027 shares of the financial services provider’s stock worth $2,660,000 after acquiring an additional 1,037 shares during the period. Ameritas Advisory Services LLC purchased a new stake in shares of CME Group during the 2nd quarter worth approximately $141,000. Simplicity Wealth LLC raised its holdings in shares of CME Group by 140.0% in the 2nd quarter. Simplicity Wealth LLC now owns 2,174 shares of the financial services provider’s stock worth $599,000 after purchasing an additional 1,268 shares during the period. Merit Financial Group LLC lifted its stake in CME Group by 32.6% in the second quarter. Merit Financial Group LLC now owns 15,816 shares of the financial services provider’s stock valued at $4,359,000 after purchasing an additional 3,887 shares during the last quarter. Finally, Belpointe Asset Management LLC lifted its stake in CME Group by 2.0% in the second quarter. Belpointe Asset Management LLC now owns 6,921 shares of the financial services provider’s stock valued at $1,908,000 after purchasing an additional 134 shares during the last quarter. 87.75% of the stock is owned by hedge funds and other institutional investors.

About CME Group

CME Group Inc is a global markets company that operates some of the world’s largest and most liquid derivatives exchanges, including the Chicago Mercantile Exchange (CME), the Chicago Board of Trade (CBOT), the New York Mercantile Exchange (NYMEX) and COMEX. The firm offers futures and options contracts across a broad range of asset classes — including interest rates, equity indexes, foreign exchange, energy, agricultural commodities and metals — and serves a diverse client base of institutional investors, commercial hedgers, brokers and retail participants.

The company’s core services include electronic trading on the CME Globex platform, central clearing through CME Clearing, and distribution of market data, indexes and analytics.