Updated
Updated · Simply Wall St · Aug 16
Cboe Global Markets Screens Expensive at 23x Earnings After 144% 5-Year Run
Updated
Updated · Simply Wall St · Aug 16

Cboe Global Markets Screens Expensive at 23x Earnings After 144% 5-Year Run

2 articles · Updated · Simply Wall St · Aug 16

Summary

  • Cboe Global Markets now looks overvalued on market-multiple checks, with a valuation score of 2 out of 6 after a 144% share-price gain over five years.
  • At about 23.0x earnings, Cboe trades below the capital-markets industry average of 39.6x and peer average of 26.1x, but still well above its tailored fair P/E of 15.3x.
  • Record quarterly revenue and earnings, plus growth pushes in options, prediction markets and global clearing, help explain the premium, though asset sales and regulatory shifts add uncertainty.
  • Community views remain split, with one bull case calling the stock 5% undervalued while a bear case sees it 22% overvalued, underscoring how much future execution is already priced in.

Insights

Can Cboe's shift to recurring data subscriptions and prediction markets justify a premium valuation, or is a market correction inevitable?
With the SEC's August 2026 deadline looming, could new disruptive trading rules suddenly derail Cboe's record-breaking revenue streak?