Maj Invest Holding A S Buys New Shares in CME Group Inc. $CME

Key Points

• Maj Invest Holding A S acquired 414,816 CME Group shares worth approximately $108.7 million, making CME about 4.8% of its portfolio and its 10th-largest holding. Institutional investors collectively own 87.75% of the company.
• CME Group exceeded quarterly expectations with $3.02 in earnings per share and $1.74 billion in revenue, up 10.6% year over year. The company also maintains a $1.30 quarterly dividend, equivalent to a 1.8% yield.
• Analyst sentiment is mixed but constructive: the consensus rating is “Hold,” with an average price target of $313.29, while recent targets range from $310 to $367. Shares opened at $294.04, and elevated trading volumes remain a key potential growth driver.

Maj Invest Holding A S bought a new position in shares of CME Group Inc. (NASDAQ:CME - Free Report) in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm bought 414,816 shares of the financial services provider's stock, valued at approximately $108,676,000. CME Group makes up about 4.8% of Maj Invest Holding A S's holdings, making the stock its 10th largest holding.

Other hedge funds have also recently added to or reduced their stakes in the company. Bridgewater Advisors Inc. acquired a new stake in CME Group during the 2nd quarter worth about $612,000. Focus Financial Network Inc. purchased a new stake in CME Group during the third quarter valued at about $1,513,000. The Manufacturers Life Insurance Company acquired a new position in shares of CME Group in the second quarter worth about $53,671,000. Haverford Trust Co acquired a new position in shares of CME Group in the second quarter worth about $13,818,000. Finally, Bowie Capital Management LLC purchased a new position in shares of CME Group in the second quarter worth approximately $22,991,000. Institutional investors and hedge funds own 87.75% of the company's stock.

CME Group Stock Performance

Shares of CME opened at $294.04 on Thursday. The company's 50 day moving average price is $279.10 and its 200 day moving average price is $279.65. CME Group Inc. has a 52 week low of $218.31 and a 52 week high of $329.16. The company has a market capitalization of $105.73 billion, a PE ratio of 24.12, a PEG ratio of 3.73 and a beta of 0.24. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.02 and a current ratio of 1.02.

CME Group (NASDAQ:CME - Get Free Report) last released its quarterly earnings data on Wednesday, October 21st. The financial services provider reported $3.02 earnings per share for the quarter, beating the consensus estimate of $2.99 by $0.03. CME Group had a net margin of 63.33% and a return on equity of 16.23%. The firm had revenue of $1.74 billion for the quarter, compared to analyst estimates of $1.71 billion. During the same quarter in the prior year, the business earned $2.68 EPS. The company's revenue for the quarter was up 10.6% compared to the same quarter last year. Research analysts expect that CME Group Inc. will post 12.34 EPS for the current fiscal year.

CME Group Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 25th. Stockholders of record on Wednesday, September 9th were issued a dividend of $1.30 per share. This represents a $5.20 annualized dividend and a dividend yield of 1.8%. The ex-dividend date was Wednesday, September 9th. CME Group's payout ratio is currently 42.66%.

Insider Buying and Selling at CME Group

In related news, Director Elizabeth A. Cook sold 500 shares of CME Group stock in a transaction on Monday, September 14th. The stock was sold at an average price of $280.11, for a total transaction of $140,055.00. Following the completion of the sale, the director owned 17,916 shares of the company's stock, valued at approximately $5,018,450.76. This trade represents a 2.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director William R. Shepard acquired 293 shares of CME Group stock in a transaction that occurred on Friday, September 25th. The shares were purchased at an average cost of $268.76 per share, with a total value of $78,746.68. Following the transaction, the director owned 263,289 shares of the company's stock, valued at approximately $70,761,551.64. The trade was a 0.11% increase in their position. The SEC filing for this purchase provides additional information. Insiders sold a total of 20,900 shares of company stock worth $5,871,155 over the last 90 days. 0.30% of the stock is currently owned by insiders.

CME Group News Summary

Here are the key news stories impacting CME Group this week:

• Positive Sentiment: Record futures volume is improving sentiment toward CME Group. The company recently reported record third-quarter revenue of approximately $1.74 billion and record average daily volume of 29.4 million contracts, while October activity was tracking at the strongest October level on record. The combination of elevated market volatility and strong trading activity makes CME’s earnings outlook more compelling. CME Group Looks Better Valued As Record Real Futures Volume Lifts Sentiment
• Positive Sentiment: CME Group’s Brazilian real futures set a record for daily volume following Brazil’s election, highlighting demand for the company’s currency products during periods of political and foreign-exchange volatility. CME Group Brazilian Real Futures Set New Daily Volume Record Following Election
• Positive Sentiment: Zacks upgraded CME to a Rank #2, or “Buy,” citing improving earnings prospects. Analysts have also raised several price targets, with the broader analyst consensus remaining above the recent trading level. CME Upgraded to Buy
• Neutral Sentiment: The Federal Reserve’s rate decision is being closely monitored, with markets expecting rates to remain unchanged. Stable rates may reduce uncertainty, but the impact on CME depends on how interest-rate and currency trading volumes respond. US Fed Opens Two-Day Meeting
• Negative Sentiment: After a strong run-up, investors may be taking profits or reassessing CME’s valuation despite its solid earnings beat and record volumes. This could limit near-term upside if results do not continue to exceed elevated expectations. CME Group Slides as Investors Digest Recent Earnings
• Negative Sentiment: Insider Sunil Cutinho sold 5,000 CME shares for approximately $1.49 million, reducing his direct stake by nearly 20%. The sale is a modest sentiment negative, though it does not by itself signal deteriorating fundamentals. CME Group Insider Sale

Analyst Ratings Changes

A number of research firms have recently issued reports on CME. Raymond James Financial restated an "outperform" rating and set a $320.00 price target on shares of CME Group in a report on Thursday, July 2nd. Piper Sandler restated an "overweight" rating and issued a $330.00 price target (up from $295.00) on shares of CME Group in a research report on Thursday, October 22nd. UBS Group raised their price objective on shares of CME Group from $270.00 to $310.00 and gave the stock a "neutral" rating in a research note on Thursday, October 22nd. Barclays lifted their price objective on shares of CME Group from $281.00 to $321.00 and gave the stock an "equal weight" rating in a research report on Thursday, October 22nd. Finally, CLSA set a $367.00 price objective on shares of CME Group in a research report on Thursday, October 22nd. Ten research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $313.29.

CME Group Profile

CME Group Inc operates global derivatives marketplaces that provide trading, clearing and settlement services for futures and options contracts. Its products cover major asset classes, including interest rates, equity indexes, foreign currencies, agricultural commodities, energy and metals. The company also provides market data, benchmark information and related services used by financial institutions, corporations, producers, investors and other market participants.

CME Group's exchange portfolio includes CME, the Chicago Board of Trade, the New York Mercantile Exchange and COMEX.

Want to see what other hedge funds are holding CME? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CME Group Inc. (NASDAQ:CME - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.