Cme Group Intrinsic Value – CME Group Sees Record Interest in Bitcoin Futures as Price Hits $37,000
November 14, 2023
☀️Trending News
The CME ($NASDAQ:CME) Group, a global leader in financial trading, has recently seen record interest in its Bitcoin futures as the price of the cryptocurrency soared to $37,000. According to Investing.com, this marks a significant milestone for the company, as it surpasses rival Binance’s trading volume. The CME Group is a world leader in trading exchange and clearing services for a wide range of assets, including commodities, derivatives, equities, and foreign exchange. By offering a regulated platform for trading Bitcoin, CME Group enables investors to gain exposure to the cryptocurrency while mitigating some of its associated risks.
Stock Price
On Monday, CME Group stock opened at $217.7 and closed at $217.1, suggesting that investors are keen to gain exposure to the cryptocurrency’s volatile market. This surge in activity has been driven by institutional investors and large corporations looking to access the digital asset’s potential returns. Along with the launch of CME Group’s bitcoin futures product, this increasing demand has provided an opportunity for investors to capitalize on the current bitcoin craze. As more players enter the market, it is likely that CME Group will continue to benefit from this strong demand for bitcoin futures contracts. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Cme Group. More…
| Total Revenues | Net Income | Net Margin |
| 5.35k | 3.01k | -19.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Cme Group. More…
| Operations | Investing | Financing |
| 3.39k | 15.6 | -56.02k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Cme Group. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 125.6k | 97.45k | 78.2 |
Key Ratios Snapshot
Some of the financial key ratios for Cme Group are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 2.8% | 6.3% | 77.3% |
| FCF Margin | ROE | ROA |
| 61.9% | 9.2% | 2.1% |
Analysis – Cme Group Intrinsic Value
GoodWhale has conducted an analysis of CME GROUP‘s financials, ultimately calculating the share’s intrinsic value to be around $213.1. Our proprietary Valuation Line was used to arrive at this conclusion. Currently, CME GROUP stock is traded at $217.1, marking it as a fair price that is overvalued by 1.9%. More…
Peers
CME Group Inc is a Chicago-based financial markets company. It is the largest futures exchange in the world by trading volume and average daily volume, and operates the largest options exchange. CME Group also owns and operates the New York Mercantile Exchange, the Chicago Board of Trade, the Chicago Stock Exchange, and the Dow Jones-UBS Commodity Index. CME Group competes with TMX Group Ltd, MarketAxess Holdings Inc, Global Brokerage Inc, and other financial markets companies.
– TMX Group Ltd ($TSX:X)
TMX Group Ltd is a Canadian financial services company that operates exchanges for multiple asset classes including equities, fixed income, derivatives, and energy. The company also provides clearing and settlement services for financial instruments. TMX Group Ltd has a market cap of 7.19B as of 2022 and a Return on Equity of 13.93%. The company’s main exchanges are the Toronto Stock Exchange, the TSX Venture Exchange, the Montreal Exchange, and the NGX Exchange.
– MarketAxess Holdings Inc ($NASDAQ:MKTX)
As of 2022, MarketAxess Holdings Inc has a market cap of 8.79B and a Return on Equity of 20.2%. The company operates an electronic trading platform that enables fixed-income market participants to trade corporate bonds and other types of fixed-income instruments.
– Global Brokerage Inc ($OTCPK:GLBR)
Global Brokerage Inc is a financial services company that offers online brokerages and related services to customers around the world. The company has a market capitalization of $137,000 as of 2022 and a return on equity of -19.36%. Global Brokerage Inc provides its customers with access to a variety of financial markets, including equities, options, futures, and foreign exchange. The company offers its services through a variety of online platforms and mobile apps.
Summary
The CME Group has seen a surge in interest in Bitcoin futures as the price of the cryptocurrency hit $37,000. The exchange is now seeing more trades in its Bitcoin futures than Binance, the world’s largest cryptocurrency exchange, for the first time. Analysts believe this surge indicates increased institutional investment in the digital currency and shows a growing acceptance of cryptocurrency as a legitimate asset class.
CME’s futures also offer greater price stability and reduced volatility compared to spot cryptocurrency trading. The CME Group’s move towards Bitcoin and other cryptocurrencies is seen as a positive sign for global markets and could help drive further demand for digital assets.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
