📊 CBOE Key Takeaways
Is Cboe Global Markets, Inc. (CBOE) a Good Investment?
Cboe demonstrates exceptional financial health with strong revenue growth of 15.1% YoY, industry-leading profitability margins (23.3% net margin, 31.1% operating margin), and robust cash generation with $1.7B free cash flow. The company maintains fortress-like balance sheet strength with conservative leverage (0.28x debt-to-equity), substantial liquidity (1.87x current ratio), and excellent interest coverage (28.1x), positioning it well for sustained shareholder returns.
Cboe Global Markets shows high-quality fundamentals with strong revenue growth, excellent margins, and very strong free cash flow conversion. The balance sheet is healthy, with ample cash, modest leverage, and strong interest coverage, supporting resilience and strategic flexibility. The main caution is that net income growth materially lagged revenue growth, which suggests investors should watch expense discipline and earnings quality.
Why Buy Cboe Global Markets, Inc. Stock? CBOE Key Strengths
- Strong revenue growth of 15.1% YoY with net income growth despite modest earnings increase, indicating margin expansion
- Exceptional profitability with net margin of 23.3% and operating margin of 31.1%, well above peer averages for financial exchanges
- Outstanding cash generation with $1.7B free cash flow (35.7% FCF margin) providing significant capital allocation flexibility
- Conservative capital structure with debt-to-equity of 0.28x and interest coverage of 28.1x providing substantial financial flexibility
- Strong return on equity of 21.4% and ROA of 11.8% demonstrating efficient capital deployment
- Solid balance sheet with $2.2B cash against only $1.4B long-term debt, providing strategic optionality
- Strong profitability profile with 51.5% gross margin, 31.1% operating margin, and 23.3% net margin
- Excellent cash generation, with $1.68B of free cash flow and a 35.7% FCF margin on only $71M of capex
- Healthy financial position with $2.22B cash, low debt-to-equity of 0.28x, current ratio of 1.87x, and interest coverage of 28.1x
CBOE Stock Risks: Cboe Global Markets, Inc. Investment Risks
- EPS growth of 44.5% appears driven by share buybacks rather than earnings growth (net income up only 0.5%), raising questions about organic profitability growth
- As an exchange operator, revenues are highly dependent on trading volumes and market volatility, creating cyclical earnings exposure
- Regulatory risks inherent to commodity and derivatives exchanges could impact fee structures and operational flexibility
- Integration and execution risks from potential acquisitions given the sector's consolidation trends
- Net income grew only 0.5% despite 15.1% revenue growth, indicating possible cost pressure or weaker operating leverage
- Diluted EPS growth far exceeded net income growth, which may reduce the durability of per-share growth if underlying earnings do not accelerate
- As an exchange and market infrastructure business, future growth can be sensitive to trading activity mix, volumes, and competitive pricing pressure
Key Metrics to Watch
- Operating margin trajectory and revenue growth sustainability given the modest net income growth
- Free cash flow generation and capital allocation decisions (dividends, buybacks, acquisitions)
- Trading volume trends and volatility index levels impacting core exchange revenues
- Debt levels and leverage ratios to ensure continued financial flexibility
- Net income growth relative to revenue growth
- Operating margin and free cash flow margin sustainability
Cboe Global Markets, Inc. (CBOE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 35.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
CBOE Profit Margin, ROE & Profitability Analysis
CBOE vs Services Sector: How Cboe Global Markets, Inc. Compares
How Cboe Global Markets, Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Cboe Global Markets, Inc. Stock Overvalued? CBOE Valuation Analysis 2026
Based on fundamental analysis, Cboe Global Markets, Inc. appears fundamentally strong relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Cboe Global Markets, Inc. Balance Sheet: CBOE Debt, Cash & Liquidity
CBOE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Cboe Global Markets, Inc.'s revenue has grown significantly by 35% over the 5-year period, indicating strong business expansion. The most recent EPS of $7.13 reflects profitable operations.
CBOE Revenue Growth, EPS Growth & YoY Performance
CBOE Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.1B | $218.5M | $2.07 |
| Q2 2025 | $974.0M | $140.4M | $1.33 |
| Q1 2025 | $957.2M | $209.5M | $1.96 |
| Q3 2024 | $908.8M | N/A | $1.95 |
| Q2 2024 | $907.8M | N/A | $1.33 |
| Q1 2024 | $957.2M | N/A | $1.63 |
| Q3 2023 | $908.8M | N/A | $0.70 |
| Q2 2023 | $907.8M | N/A | $-0.70 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Cboe Global Markets, Inc. Dividends, Buybacks & Capital Allocation
CBOE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Cboe Global Markets, Inc. (CIK: 0001374310)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Apr 2, 2026 | DEF 14A | cboe-20260401.htm | View → |
| Feb 25, 2026 | 4 | xslF345X05/form4-02252026_040202.xml | View → |
| Feb 23, 2026 | 4 | xslF345X05/form4-02232026_040218.xml | View → |
| Feb 23, 2026 | 4 | xslF345X05/form4-02232026_040220.xml | View → |
| Feb 23, 2026 | 4 | xslF345X05/form4-02232026_040216.xml | View → |
❓ Frequently Asked Questions about CBOE
What is the AI rating for CBOE?
Cboe Global Markets, Inc. (CBOE) has a Combined AI Rating of BUY from Claude (STRONG BUY) and ChatGPT (BUY) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CBOE's key strengths?
Claude: Strong revenue growth of 15.1% YoY with net income growth despite modest earnings increase, indicating margin expansion. Exceptional profitability with net margin of 23.3% and operating margin of 31.1%, well above peer averages for financial exchanges. ChatGPT: Strong profitability profile with 51.5% gross margin, 31.1% operating margin, and 23.3% net margin. Excellent cash generation, with $1.68B of free cash flow and a 35.7% FCF margin on only $71M of capex.
What are the risks of investing in CBOE?
Claude: EPS growth of 44.5% appears driven by share buybacks rather than earnings growth (net income up only 0.5%), raising questions about organic profitability growth. As an exchange operator, revenues are highly dependent on trading volumes and market volatility, creating cyclical earnings exposure. ChatGPT: Net income grew only 0.5% despite 15.1% revenue growth, indicating possible cost pressure or weaker operating leverage. Diluted EPS growth far exceeded net income growth, which may reduce the durability of per-share growth if underlying earnings do not accelerate.
What is CBOE's revenue and growth?
Cboe Global Markets, Inc. reported revenue of $4.7B.
Does CBOE pay dividends?
Cboe Global Markets, Inc. pays dividends, with $284.3M distributed to shareholders in the trailing twelve months.
Where can I find CBOE SEC filings?
Official SEC filings for Cboe Global Markets, Inc. (CIK: 0001374310) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CBOE's EPS?
Cboe Global Markets, Inc. has a diluted EPS of $10.42.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CBOE a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Cboe Global Markets, Inc. has a BUY rating with 86% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is CBOE stock overvalued or undervalued?
Valuation metrics for CBOE: ROE of 21.4% (sector avg: 16%), net margin of 23.3% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy CBOE stock in 2026?
Our dual AI analysis gives Cboe Global Markets, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is CBOE's free cash flow?
Cboe Global Markets, Inc.'s operating cash flow is $1.8B, with capital expenditures of $71.0M. FCF margin is 35.7%.
How does CBOE compare to other Services stocks?
Vs Services sector averages: Net margin 23.3% (avg: 10%), ROE 21.4% (avg: 16%), current ratio 1.87 (avg: 1.5).