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Monday, June 5, 2023

The Question Is Whether To Buy Or Not To Buy CME Group Inc. (NASDAQ: CME)

After Hours

The risks associated with pre-market and after-hours trading may be slightly higher than the regular market hours. The reason is that extended-hours trading may result in wider spreads for particular security due to lower liquidity and higher volatility as issuers often announce critical financial information outside regular trading hours. After-hours trades for CME Group Inc. (CME) shows that investor sentiment remained same, with the stock’s consolidated last price remained same to $184.95. The CME Group Inc. has recorded 44,444 volume in the after hours trading session. The stock was recently discussed on Yahoo Finance as it revealed that CME Group Inc. Announces Preliminary Results from its 2023 Annual Meeting of Shareholders.

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Stocks Info

CME Group Inc. is listed on the NASDAQ as a member of the Financial sector and is a part of the Financial Data & Stock Exchanges industry. At the end of the last regular session, the stock closed at $184.95 and fluctuated between $185.30 as its day high and $184.04 as its day low. The current market capitalization of CME Group Inc. is $66.00B. A total of 0.86 million shares were traded on the day, compared to an average of 1.58M shares.

Insider Activity

Additionally, investors take into account insider trades when predicting how a stock will perform. During the recent three months, CME has seen 4 BUY and 5 SELL insider trades, representing the acquisition of 3,142 and the disposition of 2,021 shares. Over the last 12 months, there were 56 BUYs and 52 SELLs from insiders. Insiders purchased 151,369 shares during that period but sold 52,527.

In the most recent transaction, SHEPARD WILLIAM R bought 195 shares of CME for 186.45 per share on Mar 28. After the transaction, the Director now owns 250,063 company shares. In a previous transaction on Mar 27, SHEPARD WILLIAM R bought 298 shares at 185.32 per share. CME shares that Director owns now total 249,869.

Among the insiders who bought shares, SHEPARD WILLIAM R acquired of 13 shares on Mar 27 at a per-share price of $185.32. This resulted in the Director holding 2,225 shares of CME after the transaction. In another insider transaction, SHEPARD WILLIAM R bought 1,244 shares at $175.98 per share on Jan 18. Company shares held by the Director now total 249,376.

Dividend

It is more appealing for investors to invest in companies that pay dividends because dividends generate immediate cash flow and indicate a positive outlook for the company. CME Group Inc. pays an annual dividend of $4.40, resulting in a dividend yield of 2.38%, and it has a price to earnings (P/E) ratio of 23.49. CME’s most recent ex-dividend date was 6/8/2023 when it declared a $1.10 quarterly dividend that was paid in cash on 6/27/2023. Previously, the company paid the dividend on 3/27/2023 with an ex-dividend date of 3/9/2023. The CME stock dividend was $1.10 per share in cash.

Though price targets are rarely accurate, they can exert some influence from time to time and were often accepted as valuable by the market. According to analysts who have offered 12-month price targets for CME in the last 3 months, the mean price target is $201.57 with high estimates of $250.00 and low estimates of $155.00. In terms of 52-week highs and lows, CME has a high of $206.58 and a low of $162.26.

As of this writing, CME has an earnings estimate of $2.07 per share for the current quarter. EPS was calculated based on a consensus of 14 estimates, with a high estimate of $2.2 per share and a lower estimate of $1.99. The company reported an EPS of $1.92 in the last quarter, which was 2.10% higher than expectations of $1.88.

Balance Sheet Annually/Quarterly

A balance sheet is a report that shows the company’s assets and liabilities. In addition, it shows how much equity investors have invested in the company. Investors can determine the company’s prospects by calculating its financial ratios based on this information. CME’s latest balance sheet shows that the firm has $2.95B in Cash & Short Term Investments as of fiscal 2021. There were $3.45B in debt and $160.40B in liabilities at the time. Its Book Value Per Share was $76.29, while its Total Shareholder’s Equity was $27.40B.

Analysts Opinion

It may be riskier to trade before market opening and after market closing than during regular market hours. Since issuers often announce critical financial information outside regular trading hours. Extended-hours trading may result in wider spreads for particular securities due to lower liquidity and higher volatility. Currently, 0 analysts are providing their opinions on the stock. On a scale of 1 to 5, with 1 being Sell and 5 being Buy, the average analyst rating for CME is Buy with a score of 3.85.

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