CME Group (NASDAQ: CME ) currently has a dividend yield of 4.18% and is currently trading at a P/E ratio of 23.71 This is combined with its relatively fast growth rate of around 8% for the lastA passionate college student looking to build a career in the field of finance. Currently studying for CFA level 1 examination and pursuing BBA at nalsar university Hyderabad. Looking to contribute to investors by making stock research easy.Analyst’s Disclosure: I/we have no stock, option or similar derivative positio ...

CME Group (CME) reported fourth-quarter 2024 adjusted earnings per share of $2.52, which beat the Zacks Consensus Estimate by 3.3%. The bottom line increased 6.3% year over year. See the Zacks Earnings Calendar to stay ahead of market-making news.Quarterly results benefited from improving revenues, driven by higher clearing and transaction fees as well as market data and information services fees. Performance in DetailCME Group’s revenues of $1.5 billion increased 6% year over year. The year-over-year incre ...

Financial Data and Key Metrics Changes - CME Group reported a record revenue of $6.1 billion for 2024, a 10% increase compared to 2023, with all six asset classes achieving all-time revenue records [16][23] - Adjusted operating margin expanded to 68.3%, up over 140 basis points from 2023, with adjusted net income reaching $3.7 billion, resulting in a 10% growth in earnings per share [17][23] - In Q4 2024, revenue was over $1.5 billion, a 6% increase from Q4 2023, with market data revenue growing 9% to $182 million [18][19] Business Line Data and Key Metrics Changes - Average daily volume (ADV) increased by 9% to 26.9 million contracts, marking the fourth consecutive year of record volume [8] - Commodities were the third fastest-growing asset class, with metals volume up 23%, energy up 17%, and agricultural products up 13% [10][11] - Commodity options volumes increased by 29% year-over-year, driven by strong new client acquisition across institutional and retail sectors [12] Market Data and Key Metrics Changes - International business averaged 7.8 million contracts per day, up 14% from the previous record set in 2023, with EMEA showing the fastest growth at 34% year-over-year [9][11] - Retail participation was up 6%, with new client acquisition in the retail business contributing significantly to overall growth [30][34] Company Strategy and Development Direction - CME Group is focusing on expanding its retail business and enhancing client education to attract new participants, particularly through partnerships with retail brokers [30][35] - The company is committed to providing capital efficiencies and risk management solutions amid ongoing geopolitical tensions and economic uncertainties [15][23] - CME Group is exploring opportunities in climate-related products and energy transition markets, with significant growth in battery metals and weather-driven markets [64][67] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued strong volumes in 2025, driven by ongoing customer needs for efficient trading and hedging solutions [15][116] - The company anticipates challenges in the broader economic environment, including high levels of debt and geopolitical issues, which will necessitate effective risk management [112][116] - Management highlighted the importance of adapting to changing market structures and the evolving definition of retail participants [36][134] Other Important Information - CME Group declared dividends totaling approximately $3.8 billion in 2024, including a variable dividend of $2.1 billion [20] - The company announced transaction fee adjustments expected to increase futures and options transaction revenue by approximately 1% to 1.5% [21][23] Q&A Session Summary Question: Retail customer acquisition strategy and impact of Robinhood rollout - Management noted that two-thirds of the $1 billion revenue from new clients over the last five years were driven by retail business, with strong growth in participation and trading activity [29][30] Question: Strategic benefits of establishing a futures commission merchant - Management clarified that while they received approval for a futures commission merchant, they do not plan to dislocate current partners and view it as a preparatory measure for potential market changes [40][41] Question: Capital allocation and stock buybacks - Management indicated that the stock buyback program will be opportunistic, alongside dividends as a means to return capital to shareholders [51][52] Question: Product development opportunities related to climate events - Management highlighted existing market activity in agriculture and energy products, with significant growth in options and weather-driven markets [60][67] Question: Competitive landscape for interest rate contracts - Management discussed the importance of U.S. regulatory clarity regarding the competitive landscape and the need for U.S. authority in default resolution for sovereign debt [152][154]

CME Group (CME) came out with quarterly earnings of $2.52 per share, beating the Zacks Consensus Estimate of $2.44 per share. This compares to earnings of $2.37 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.28%. A quarter ago, it was expected that this parent company of the Chicago Board of Trade and other exchanges would post earnings of $2.65 per share when it actually produced earnings of $2.68, delivering a surprise of ...

Financial Performance - Record revenue of $6.1 billion for full-year 2024, up 10% from the previous year[1] - Fourth-quarter 2024 revenue was $1.5 billion, with operating income of $947 million and net income of $875 million[2] - Adjusted net income for full-year 2024 was $3.7 billion, with diluted earnings per share of $10.26[2] - Total revenues for Q4 2024 reached $1,525.3 million, a 6.0% increase from $1,439.3 million in Q4 2023[17] - Net income for Q4 2024 was $874.6 million, up 7.4% from $814.6 million in Q4 2023[19] - Adjusted net income attributable to common shareholders for Q4 2024 was $907.4 million, compared to $853.8 million in Q4 2023, reflecting a 6.3% increase[19] - Operating income for the year ended December 31, 2024, was $3,931.5 million, a 14.5% increase from $3,435.7 million in 2023[17] - The company reported a basic earnings per share of $2.40 for Q4 2024, compared to $2.24 in Q4 2023, representing a 7.1% increase[19] Volume and Fees - Average daily volume (ADV) for Q4 2024 was 25.5 million contracts, consistent with Q4 2023, including a 5% increase in non-U.S. ADV[3] - Average daily volume (ADV) for Q4 2024 was 25,503 thousand contracts, a decrease of 3.9% from 26,360 thousand contracts in Q3 2024[24] - Clearing and transaction fees revenue for Q4 2024 totaled $1.2 billion, with an average rate per contract of $0.701[6] - The average rate per contract (RPC) for Q4 2024 was $0.701, an increase from $0.682 in Q4 2023[26] Cash and Dividends - As of December 31, 2024, the company had approximately $3.1 billion in cash and $3.4 billion in debt[7] - The company declared dividends of $3.8 billion in 2024, including a variable dividend of $2.1 billion[7] - A first-quarter dividend of $1.25 per share was declared, representing a 9% increase from the previous level[7] Strategic Outlook - CME Group achieved record annual average daily volume and revenue across all asset classes in 2024[3] - The company plans to continue providing products and services to help clients manage risk amid economic and geopolitical uncertainty[3] Investment Income and Expenses - Investment income for Q4 2024 was $936.5 million, down from $1,076.9 million in Q4 2023[17] - Total expenses for Q4 2024 were $578.2 million, slightly up from $576.1 million in Q4 2023[17]

Record revenue of $6.1 billion for full-year 2024, up 10% CHICAGO, Feb. 12, 2025 /PRNewswire/ -- CME Group Inc. (NASDAQ: CME) today reported financial results for the fourth quarter and full year of 2024. The company reported revenue of $1.5 billion and operating income of $947 million for the fourth quarter of 2024. Net income was $875 million and diluted earnings per common share were $2.40. On an adjusted basis, net income was $919 million and diluted earnings per common share were $2.52. Financial res ...

CHICAGO, Feb. 10, 2025 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced its new physically-delivered Ethanol futures and options are now available for trading. A total of five futures contracts traded on February 7, 2025."We are pleased to see industry support for our latest Ethanol contracts, which have enhanced specifications and are complementary to our existing suite of renewable fuel products," said Peter Keavey, Global Head of Energy and Environmental Products at ...

CHICAGO, Feb. 10, 2025 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced that its expanded suite of Weekly agricultural options on grains and oilseed futures, which now include an expiry for every day of the trading week, are available for trading."With an expiry now available for every day of the week, CME Group will provide market participants with maximum flexibility as we head into the growing season," said John Ricci, Managing Director and Global Head of Agricultur ...

CME Group Inc. (CME) is slated to report fourth-quarter 2024 earnings on Feb. 12, before market open. CME's earnings beat estimates in each of the trailing four quarters.See the Zacks Earnings Calendar to stay ahead of market-making news.Factors to ConsiderA diverse product portfolio, increased volatility and a strong market position are likely to have aided CME Group’s performance in the fourth quarter.Increases in market data and information services, clearing, transaction fees and other revenues are expe ...

Wall Street analysts expect CME Group (CME) to post quarterly earnings of $2.44 per share in its upcoming report, which indicates a year-over-year increase of 3%. Revenues are expected to be $1.51 billion, up 4.6% from the year-ago quarter.The consensus EPS estimate for the quarter has undergone an upward revision of 0.3% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Before a company ...