Cboe Global Markets, the Financial sector company, was revisited by a Wall Street analyst today. Analyst Alex Kramm from UBS maintained a Hold rating on the stock and has a $255.00 price target.
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Alex Kramm has given his Hold rating due to a combination of factors including the mixed performance across Cboe Global Markets’ various business segments. While the company has shown strong growth in index options and U.S. equities, with significant year-over-year increases in volumes, there are concerns about the sustainability of this performance. Additionally, the equity options business, despite higher volumes, has been impacted by much lower pricing, which partially offsets the positive trends in other areas.
Moreover, the pricing dynamics for the third quarter reveal a mixed picture, with some areas like futures and U.S. cash equities experiencing pricing increases, while others such as equity options have seen a decline in revenue per contract. Given these mixed signals, Kramm maintains a neutral stance with a price target of $255, applying a 24x multiple on the FY26 EPS estimate. This cautious outlook reflects the need to balance optimism about certain growth areas with caution regarding pricing pressures and market sustainability.
Kramm covers the Financial sector, focusing on stocks such as Intercontinental Exchange, Cboe Global Markets, and Marketaxess Holdings. According to TipRanks, Kramm has an average return of 9.6% and a 59.54% success rate on recommended stocks.
In another report released on October 1, Bank of America Securities also maintained a Hold rating on the stock with a $261.00 price target.