CME Group Inc. (NASDAQ:CME) Given Consensus Recommendation of "Reduce" by Brokerages

Shares of CME Group Inc. (NASDAQ:CME - Get Free Report) have been given a consensus rating of "Reduce" by the fourteen ratings firms that are covering the stock, MarketBeat Ratings reports. Four investment analysts have rated the stock with a sell recommendation, eight have given a hold recommendation and two have issued a buy recommendation on the company. The average 12 month price target among brokerages that have updated their coverage on the stock in the last year is $235.50.

CME has been the subject of several research analyst reports. Citigroup downgraded shares of CME Group from a "buy" rating to a "neutral" rating and lowered their price objective for the company from $255.00 to $250.00 in a research report on Monday, January 6th. Deutsche Bank Aktiengesellschaft dropped their target price on shares of CME Group from $227.00 to $226.00 and set a "hold" rating for the company in a report on Monday, November 11th. Oppenheimer upped their price target on shares of CME Group from $258.00 to $269.00 and gave the stock an "outperform" rating in a report on Thursday, February 13th. Royal Bank of Canada increased their price target on CME Group from $235.00 to $269.00 and gave the company a "sector perform" rating in a research note on Thursday, February 13th. Finally, Barclays lifted their price objective on shares of CME Group from $257.00 to $263.00 and gave the stock an "equal weight" rating in a report on Thursday, February 13th.

Insider Activity

In other news, COO Suzanne Sprague sold 1,500 shares of the firm's stock in a transaction dated Monday, March 3rd. The shares were sold at an average price of $256.83, for a total value of $385,245.00. Following the completion of the sale, the chief operating officer now owns 8,036 shares in the company, valued at approximately $2,063,885.88. This trade represents a 15.73 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Julie Winkler sold 11,592 shares of CME Group stock in a transaction dated Thursday, February 13th. The shares were sold at an average price of $249.17, for a total value of $2,888,378.64. Following the completion of the transaction, the insider now owns 21,885 shares in the company, valued at $5,453,085.45. This trade represents a 34.63 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 17,076 shares of company stock valued at $4,271,496 in the last quarter. 0.30% of the stock is currently owned by insiders.

Institutional Trading of CME Group

A number of large investors have recently made changes to their positions in the company. Truvestments Capital LLC acquired a new stake in shares of CME Group in the 3rd quarter valued at $26,000. SJS Investment Consulting Inc. raised its stake in CME Group by 570.6% in the fourth quarter. SJS Investment Consulting Inc. now owns 114 shares of the financial services provider's stock valued at $26,000 after buying an additional 97 shares in the last quarter. Dunhill Financial LLC lifted its holdings in CME Group by 188.4% during the 3rd quarter. Dunhill Financial LLC now owns 124 shares of the financial services provider's stock worth $27,000 after buying an additional 81 shares during the last quarter. New Age Alpha Advisors LLC boosted its position in shares of CME Group by 50.0% during the 4th quarter. New Age Alpha Advisors LLC now owns 129 shares of the financial services provider's stock worth $30,000 after acquiring an additional 43 shares in the last quarter. Finally, Financial Life Planners purchased a new position in shares of CME Group in the 4th quarter valued at about $32,000. 87.75% of the stock is currently owned by hedge funds and other institutional investors.

CME Group Price Performance

Shares of NASDAQ:CME traded down $3.33 during trading on Wednesday, reaching $251.15. 1,072,079 shares of the company traded hands, compared to its average volume of 1,845,974. The company has a quick ratio of 1.02, a current ratio of 1.01 and a debt-to-equity ratio of 0.10. CME Group has a 52 week low of $190.70 and a 52 week high of $258.78. The firm has a market capitalization of $90.51 billion, a PE ratio of 25.97, a PEG ratio of 6.76 and a beta of 0.57. The company's 50 day moving average is $239.35 and its two-hundred day moving average is $230.06.

CME Group (NASDAQ:CME - Get Free Report) last announced its quarterly earnings data on Wednesday, February 12th. The financial services provider reported $2.52 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.46 by $0.06. CME Group had a net margin of 57.52% and a return on equity of 13.62%. As a group, sell-side analysts predict that CME Group will post 10.49 earnings per share for the current year.

CME Group announced that its board has initiated a share buyback plan on Thursday, December 5th that permits the company to buyback $3.00 billion in shares. This buyback authorization permits the financial services provider to repurchase up to 3.4% of its stock through open market purchases. Stock buyback plans are often an indication that the company's leadership believes its stock is undervalued.

CME Group Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, March 26th. Stockholders of record on Friday, March 7th will be given a $1.25 dividend. This represents a $5.00 annualized dividend and a dividend yield of 1.99%. The ex-dividend date is Friday, March 7th. This is a positive change from CME Group's previous quarterly dividend of $1.15. CME Group's payout ratio is currently 51.71%.

CME Group Company Profile

CME Group Inc, together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. It offers futures and options products based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and metals, as well as fixed income and foreign currency trading services.