Morgan Stanley analyst Michael Cyprys downgrades $Cboe Global Markets (CBOE.US)$ to a sell rating, and maintains the target price at $199.
According to TipRanks data, the analyst has a success rate of 55.9% and a total average return of 5.6% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Cboe Global Markets (CBOE.US)$'s main analysts recently are as follows:
The shares are believed to be factoring in a significant sales increase, yet there are perceived risks to the growth and valuation of Cboe Global Markets. Trading at a multiple of 22 times the projected 2026 earnings, this represents a slight premium over historical averages and is somewhat above the peer average. The risk of declining growth potentially leading to earnings shortfalls, combined with a commitment to margin consistency and a willingness to consider acquisitions, could result in a decrease in the valuation multiple.
Following the Q3 report, there was an earnings beat for Cboe Global Markets as net revenue slightly exceeded expectations, which was somewhat counterbalanced by expenditures surpassing forecasts.
The firm's assessment of Cboe Global Markets remains positive despite a reduction in the stock's valuation following solid Q3 results. The report highlights that there were no significant setbacks in the financial outcomes, and there was an increase in the guidance for organic total net revenue. Despite a minor decline in the stock's performance, the firm attributes this to the perception that increased investments by the company could potentially shrink margins and that softer volume in October may be a factor. Nevertheless, the firm views these concerns as not particularly alarming and suggests that the current dip in stock value presents an attractive investment opportunity.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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