Cboe Global Markets (CBOE)
Market Price (11/3/2026): $349.15 | Market Cap: $36.4 BilInvestor Relations Sector: Financials | Industry: Financial Exchanges & Data
Cboe Global Markets (CBOE)
Market Price (11/3/2026): $349.15Market Cap: $36.4 BilSector: FinancialsIndustry: Financial Exchanges & Data
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 50%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 48%, CFO LTM is 2.6 Bil, FCF LTM is 2.5 Bil Attractive yieldFCF Yield is 6.9% Low stock price volatilityVol 12M is 37% Megatrend and thematic driversMegatrends include Crypto & Blockchain, AI in Financial Services, and Fintech & Digital Payments. Themes include Cryptocurrency Exchanges, Show more. | Trading close to highsDist 52W High is -4.3%, Dist 3Y High is -4.3% | Key risksCBOE key risks include [1] the potential for lower trading volumes in its flagship VIX products during periods of reduced market volatility. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 50%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 48%, CFO LTM is 2.6 Bil, FCF LTM is 2.5 Bil |
| Attractive yieldFCF Yield is 6.9% |
| Low stock price volatilityVol 12M is 37% |
| Megatrend and thematic driversMegatrends include Crypto & Blockchain, AI in Financial Services, and Fintech & Digital Payments. Themes include Cryptocurrency Exchanges, Show more. |
| Trading close to highsDist 52W High is -4.3%, Dist 3Y High is -4.3% |
| Key risksCBOE key risks include [1] the potential for lower trading volumes in its flagship VIX products during periods of reduced market volatility. |
Qualitative Assessment
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Cboe Global Markets (CBOE) stock has gained about 15% since 7/31/2026 because of the following key factors:
1. Exceptional Financial Performance in Fiscal Q2 and Q3 2026, coupled with increased guidance.
Cboe Global Markets reported strong financial results, consistently surpassing analyst expectations. For fiscal Q2 2026, reported on July 31, 2026, the company posted diluted earnings per share (EPS) of $3.35, a 50% year-over-year increase, and record net revenue of $731.6 million, up 25% year-over-year. This momentum continued into fiscal Q3 2026, reported on October 30, 2026, with record diluted EPS of $4.08, up 43% year-over-year, and adjusted diluted EPS of $3.63, exceeding analyst estimates of $3.43 by 5.7%. Following these results, Cboe raised its 2026 organic total net revenue growth target to "high teens" from "mid to high teens".
2. Robust Growth in the Derivatives Business, particularly Index Options and Zero-Day-to-Expiration (0DTE) Contracts.
The derivatives segment continued to be a primary growth driver. In fiscal Q2 2026, derivatives net revenue surged 30% year-over-year, with index options average daily volume (ADV) increasing 32%. This trend persisted in fiscal Q3 2026, where net revenue from Options rose 23%, driven by a 24% increase in index options ADV and strong activity in SPX 0DTE contracts. The sustained demand for these proprietary products significantly contributed to revenue and profitability.
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Cboe Global Markets (CBOE) stock has gained about 15% since 7/31/2026 because of the following key factors:
1. Exceptional Financial Performance in Fiscal Q2 and Q3 2026, coupled with increased guidance.
Cboe Global Markets reported strong financial results, consistently surpassing analyst expectations. For fiscal Q2 2026, reported on July 31, 2026, the company posted diluted earnings per share (EPS) of $3.35, a 50% year-over-year increase, and record net revenue of $731.6 million, up 25% year-over-year. This momentum continued into fiscal Q3 2026, reported on October 30, 2026, with record diluted EPS of $4.08, up 43% year-over-year, and adjusted diluted EPS of $3.63, exceeding analyst estimates of $3.43 by 5.7%. Following these results, Cboe raised its 2026 organic total net revenue growth target to "high teens" from "mid to high teens".
2. Robust Growth in the Derivatives Business, particularly Index Options and Zero-Day-to-Expiration (0DTE) Contracts.
The derivatives segment continued to be a primary growth driver. In fiscal Q2 2026, derivatives net revenue surged 30% year-over-year, with index options average daily volume (ADV) increasing 32%. This trend persisted in fiscal Q3 2026, where net revenue from Options rose 23%, driven by a 24% increase in index options ADV and strong activity in SPX 0DTE contracts. The sustained demand for these proprietary products significantly contributed to revenue and profitability.
3. Strategic Divestiture and Enhanced Capital Allocation Initiatives.
Cboe Global Markets completed the divestiture of Cboe Australia on July 31, 2026, which resulted in a $71.5 million net gain recorded in fiscal Q3 2026. This transaction positively impacted GAAP EPS and lowered the effective tax rate. Additionally, on October 22, 2026, the Board increased the share repurchase authorization by $550 million, bringing the total available for repurchases to approximately $1.0 billion, signaling strong capital management and a commitment to shareholder returns.
4. Positive Analyst Sentiment and Operational Efficiency Improvements.
Analyst confidence in Cboe increased during the period, with several firms upgrading ratings or raising price targets. For example, Morgan Stanley upgraded the stock from "Underweight" to "Overweight" in October 2026 and raised its price target to $358, later to $450. TD Cowen and Barclays also raised price targets in November 2026. Concurrently, Cboe demonstrated improved operational efficiency, with adjusted operating expenses declining 3% in fiscal Q3 2026 to $204.0 million and the company lowering its full-year 2026 adjusted operating expense guidance.
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Stock Movement Drivers
Fundamental Drivers
The 12.9% change in CBOE stock from 7/31/2026 to 11/2/2026 was primarily driven by a 4.9% change in the company's Net Income Margin (%).| (LTM values as of) | 7312026 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 309.37 | 349.22 | 12.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 5,061 | 5,278 | 4.3% |
| Net Income Margin (%) | 26.7% | 28.0% | 4.9% |
| P/E Multiple | 23.9 | 24.6 | 3.0% |
| Shares Outstanding (Mil) | 105 | 104 | 0.2% |
| Cumulative Contribution | 12.9% |
Market Drivers
7/31/2026 to 11/2/2026| Return | Correlation | |
|---|---|---|
| CBOE | 12.9% | |
| Market (SPY) | 0.7% | -40.0% |
| Sector (XLF) | 1.1% | 5.9% |
Fundamental Drivers
The 16.9% change in CBOE stock from 4/30/2026 to 11/2/2026 was primarily driven by a 20.2% change in the company's Net Income Margin (%).| (LTM values as of) | 4302026 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 298.63 | 349.22 | 16.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,714 | 5,278 | 12.0% |
| Net Income Margin (%) | 23.3% | 28.0% | 20.2% |
| P/E Multiple | 28.4 | 24.6 | -13.3% |
| Shares Outstanding (Mil) | 105 | 104 | 0.2% |
| Cumulative Contribution | 16.9% |
Market Drivers
4/30/2026 to 11/2/2026| Return | Correlation | |
|---|---|---|
| CBOE | 16.9% | |
| Market (SPY) | 4.9% | -23.6% |
| Sector (XLF) | 10.8% | -4.0% |
Fundamental Drivers
The 43.6% change in CBOE stock from 10/31/2025 to 11/2/2026 was primarily driven by a 31.8% change in the company's Net Income Margin (%).| (LTM values as of) | 10312025 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 243.16 | 349.22 | 43.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,618 | 5,278 | 14.3% |
| Net Income Margin (%) | 21.3% | 28.0% | 31.8% |
| P/E Multiple | 25.9 | 24.6 | -4.7% |
| Shares Outstanding (Mil) | 105 | 104 | 0.1% |
| Cumulative Contribution | 43.6% |
Market Drivers
10/31/2025 to 11/2/2026| Return | Correlation | |
|---|---|---|
| CBOE | 43.6% | |
| Market (SPY) | 11.2% | -17.5% |
| Sector (XLF) | 11.3% | -0.1% |
Fundamental Drivers
The 120.4% change in CBOE stock from 10/31/2023 to 11/2/2026 was primarily driven by a 67.8% change in the company's Net Income Margin (%).| (LTM values as of) | 10312023 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 158.42 | 349.22 | 120.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 3,894 | 5,278 | 35.5% |
| Net Income Margin (%) | 16.7% | 28.0% | 67.8% |
| P/E Multiple | 25.7 | 24.6 | -4.2% |
| Shares Outstanding (Mil) | 106 | 104 | 1.1% |
| Cumulative Contribution | 120.4% |
Market Drivers
10/31/2023 to 11/2/2026| Return | Correlation | |
|---|---|---|
| CBOE | 120.4% | |
| Market (SPY) | 86.0% | -16.2% |
| Sector (XLF) | 85.7% | 0.2% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| CBOE Return | 42% | -2% | 44% | 11% | 30% | 40% | 305% |
| Peers Return | 38% | -23% | 26% | 21% | 14% | 6% | 97% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 101% |
Monthly Win Rates [3] | |||||||
| CBOE Win Rate | 58% | 33% | 75% | 50% | 75% | 64% | |
| Peers Win Rate | 62% | 37% | 62% | 55% | 65% | 55% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 36% | |
Max Drawdowns [4] | |||||||
| CBOE Max Drawdown | -13% | -19% | -8% | -14% | -9% | -37% | |
| Peers Max Drawdown | -10% | -35% | -17% | -10% | -19% | -27% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: CME, ICE, NDAQ, SPGI, MCO. See CBOE Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/2/2026 (YTD)
How Low Can It Go
| Event | CBOE | S&P 500 |
|---|---|---|
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -18.1% | -24.5% |
| % Gain to Breakeven | 22.0% | 32.4% |
| Time to Breakeven | 167 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -36.8% | -33.7% |
| % Gain to Breakeven | 58.3% | 50.9% |
| Time to Breakeven | 460 days | 140 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -19.7% | -15.4% |
| % Gain to Breakeven | 24.6% | 18.2% |
| Time to Breakeven | 884 days | 125 days |
In The Past
Cboe Global Markets's stock fell -2.3% during the 2025 US Tariff Shock. Such a loss loss requires a 2.4% gain to breakeven.
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| Event | CBOE | S&P 500 |
|---|---|---|
| 2020 COVID-19 Crash | ||
| % Loss | -36.8% | -33.7% |
| % Gain to Breakeven | 58.3% | 50.9% |
| Time to Breakeven | 460 days | 140 days |
In The Past
Cboe Global Markets's stock fell -2.3% during the 2025 US Tariff Shock. Such a loss loss requires a 2.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Cboe Global Markets (CBOE)
Cboe Global Markets (CBOE) is a prominent global exchange operator that facilitates the trading of a wide range of financial products across various asset classes. Headquartered in Chicago and founded in 1973, the company provides essential infrastructure for financial markets worldwide, serving as a critical intermediary where participants can buy, sell, and list financial instruments.
The company's diverse offerings are segmented across multiple geographies. Cboe operates significant platforms for options trading, particularly for listed market indices. It also provides marketplaces for trading U.S. and Canadian equities, exchange-traded products (ETPs), and futures. Expanding its global reach, Cboe facilitates trading in equities, derivatives, and commodities across Europe and Asia Pacific, additionally offering ETP listings and clearing services in these regions.
Furthermore, Cboe features a dedicated Global FX segment, which provides institutional foreign exchange (FX) trading and non-deliverable forward FX transactions. This comprehensive suite of services positions Cboe Global Markets as a key partner for institutional investors, brokers, traders, and other financial market participants seeking access to liquid, transparent, and regulated markets for derivatives, equities, currencies, and various investment vehicles globally.
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The Nasdaq for global options, futures, and FX trading.
Like CME Group, but also operating major stock exchanges worldwide.
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- Options Trading: Facilitates the trading of listed options, including those on market indices.
- Equities Trading: Operates exchanges for trading U.S., Canadian, and pan-European listed equities.
- Futures Trading: Provides platforms for trading various futures contracts.
- Exchange-Traded Products (ETP) Trading: Offers transaction services for a wide range of exchange-traded products.
- Foreign Exchange (FX) Trading: Delivers institutional foreign exchange trading and non-deliverable forward FX transaction services.
- Listing Services: Provides services for listing exchange-traded products, equities, and other financial instruments.
- Clearing Services: Offers clearing services for various traded instruments, particularly in European and Asia Pacific markets.
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Cboe Global Markets (CBOE) operates as a global exchange. Its primary customers are not individual retail investors but rather a broad range of financial institutions and market participants who utilize its trading platforms and listing services. Due to the nature of an exchange business, Cboe serves a vast network of participants rather than having a few named "major customers" in the traditional sense.
The major categories of customers Cboe serves are:
- Broker-Dealer Firms and Financial Institutions: These entities connect investors (both institutional and retail) to Cboe's markets, executing trades in options, equities, futures, and foreign exchange. They pay transaction fees, market data fees, and other service charges for accessing Cboe's platforms.
- Professional Trading Firms and Market Makers: These firms actively participate on Cboe's exchanges to provide liquidity and engage in proprietary trading across various asset classes. Their high trading volumes contribute significantly to Cboe's transaction-based revenues.
- Exchange-Traded Product (ETP) Issuers: Companies that create and offer exchange-traded products, such as ETPs, exchange-traded commodities, and international depository receipts, list these products on Cboe's exchanges and pay listing fees and associated service charges.
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- MSCI Inc. (MSCI)
- DJI Opco, LLC
- FTSE International Limited
- Frank Russell Company
- S&P Dow Jones Indices, LLC
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Craig Donohue
Chief Executive Officer and President
Craig Donohue became the Chief Executive Officer of Cboe Global Markets in May 2025, also assuming the title of President upon the departure of David Howson in August 2025. Prior to joining Cboe, Donohue served as Chairman of the Board of Directors at OCC (Options Clearing Corporation) from January 2024, after being Executive Chairman and CEO of OCC for three years starting in 2016. He initially joined OCC as Executive Chairman in January 2014. Before his time at OCC, Donohue was the Chief Executive Officer of CME Group from January 2004 until May 2012. During his tenure at CME Group, he spearheaded mergers and acquisitions totaling over $20 billion, including the significant merger with the Chicago Board of Trade in 2007 and the acquisition of both the New York Mercantile Exchange and the Commodity Exchange Inc. in 2008.
Jill Griebenow
Executive Vice President, Chief Financial Officer
Jill Griebenow is the Executive Vice President and Chief Financial Officer at Cboe Global Markets, a role she assumed effective July 10, 2023. In this position, she is responsible for all financial activities of the company, encompassing accounting, finance, tax, investor relations, treasury, and capital markets. Prior to her appointment as CFO, Griebenow served as the Senior Vice President, Chief Accounting Officer at Cboe since 2018. She also held the position of Chief Financial Officer of Cboe Europe. Griebenow began her career at Cboe in 2011 as a Financial Reporting Specialist. Before joining Cboe, she was a Senior Manager at Ernst & Young (EY), where her work focused on auditing public companies within the asset management and financial services sectors. She has over two decades of experience in the financial and public accounting industries.
Scott Johnston
Executive Vice President, Chief Operating Officer
Scott Johnston was appointed Executive Vice President, Chief Operating Officer of Cboe Global Markets, effective March 6, 2026. He assumed this role after Chris Isaacson retired.
Patrick Sexton
Executive Vice President, General Counsel and Corporate Secretary
Patrick Sexton has served as Executive Vice President, General Counsel and Corporate Secretary at Cboe Global Markets since March 1, 2018. Before this, he was the Deputy General Counsel of the company's subsidiary, Cboe Exchange, Inc., a position he held since July 2013. Sexton has accumulated extensive experience as legal, regulatory, and compliance counsel since joining Cboe in 1997. He played a key role in Cboe's demutualization in 2010 and the acquisition of Bats Global Markets in 2017.
Prashant Bhatia
Executive Vice President, Head of Enterprise Strategy & Corporate Development
Prashant Bhatia serves as the Executive Vice President, Head of Enterprise Strategy & Corporate Development at Cboe Global Markets. In this capacity, he collaborates with the executive leadership team to formulate and implement the company's enterprise business strategy, focusing on identifying opportunities for growth to enhance Cboe's market leadership. Bhatia brings over three decades of experience in the financial services industry, having previously held positions as a Finance Manager at Morgan Stanley & Co. and a Senior Associate at Coopers & Lybrand L.L.P.
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The key risks to Cboe Global Markets (CBOE) include intense market competition, the evolving regulatory landscape, and the potential loss of exclusive rights to its key proprietary products.
- Market Competition and Off-Exchange Trading: Cboe operates within a highly competitive financial exchange industry, facing rivalry from other established exchanges, emerging fintech firms, and the increasing prevalence of off-exchange trading. This intense competition can lead to a decline in market share, as seen in its U.S. Equities segment, and exert downward pressure on pricing and profitability. The existence of "copycat OTC options" further exemplifies this risk, as these off-exchange, privately-negotiated agreements can divert liquidity away from Cboe's listed markets.
- Regulatory Changes and Scrutiny: As an exchange operator, Cboe is subject to a complex and dynamic regulatory environment. Changes in regulations or increased scrutiny can significantly impact its business model and revenue streams. Specific concerns include potential regulatory caps on Zero-Days-to-Expiration (0DTE) options, which have been a significant driver of trading volumes, and the European Union's ban on Payment for Order Flow (PFOF) which could disrupt retail liquidity in its European operations. Additionally, Cboe's attempts to define what constitutes a "facility" of the exchange have triggered debate regarding regulatory oversight.
- Loss of Exclusive Rights to Key Proprietary Products: A substantial portion of Cboe's earnings is derived from its proprietary products, such as S&P 500 Index (SPX) options and Cboe Volatility Index (VIX) options. There is a specific risk that Cboe may not be able to maintain its exclusive trading rights for S&P 500 options. Its current agreement with S&P Global is in place through 2032, but renewal is not guaranteed, and S&P Global could potentially seek less favorable terms, which would negatively impact Cboe's future revenue.
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Addressable Market Sizes for Cboe Global Markets' Main Products and Services
-
Options Segment:
- Global listed options trading volume: 108.2 billion contracts in 2023.
- U.S. listed options trading volume: 15.2 billion contracts in 2025.
- U.S. index options average daily volume: 5 million contracts in 2025.
-
North American Equities Segment:
- U.S. stock market capitalization: $60.1 trillion as of February 2025.
- Canadian equities market capitalization: $2.75 trillion USD in 2023.
- Global Exchange-Traded Products (ETP) assets under management (AUM): $19.85 trillion at the end of December 2025.
-
Futures Segment:
- Global listed futures trading volume: 29.1 billion contracts in 2023.
- Global futures trading service market size: $5.2 billion in 2023, projected to reach $10.8 billion by 2032.
-
Europe and Asia Pacific Segment:
- European stock markets market capitalization: Approximately €22.71 trillion in 2025 (approximately $24.75 trillion USD, using an approximate conversion rate of 1 EUR = 1.09 USD).
- Asia Pacific public equity market capitalization: $34.4 trillion in 2024.
- Specific current European ETP AUM: Null
- Specific current Asia Pacific ETP AUM: Null
- Specific European or Asia Pacific derivatives market size (notional/volume): Null (global listed options and futures figures apply, see Options and Futures segments above).
-
Global FX Segment:
- Global daily foreign exchange (FX) turnover: Over $7.5 trillion per day in 2022.
- Global Over-The-Counter (OTC) FX derivatives notional outstanding: $155 trillion in June 2025.
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1. Expansion and Innovation in Derivatives Trading: Cboe anticipates continued growth in its Derivatives segment, particularly through proprietary index options such as SPX and VIX, and the increasing adoption of Zero-Days-to-Expiration (0DTE) options. This segment has shown significant revenue increases and strong trading volumes, with 0DTE options demonstrating a substantial rise in average daily volume.
2. Geographical Expansion and International Market Penetration: The company is actively pursuing a strategy of global expansion, focusing on increasing its footprint and market share in regions like Europe and Asia Pacific. Initiatives include expanding clearing services (e.g., into the German market via Cboe Clear Europe) and onboarding more brokers in the EMEA and APAC regions. The Europe and Asia Pacific segment has already shown record net revenue growth.
3. Growth of the Data Vantage Business: Cboe's Data Vantage segment, which encompasses market data, access solutions, indices, and risk and market analytics, is a consistent revenue driver. Growth in this area is largely fueled by strong demand for new units and new sales, indicating sustained interest in their comprehensive data offerings. Cboe targets mid-to-high single-digit organic net revenue growth for Data Vantage in 2026.
4. Strategic Product Innovation and Emerging Opportunities: Cboe is committed to enhancing its product suite and exploring new growth avenues. This includes continuously developing new derivatives offerings, such as S&P 500 Equal Weight Index (EWI) options, and actively exploring emerging opportunities in event and prediction markets, as well as digital asset derivatives like Bitcoin and Ether futures.
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Share Repurchases
- In August 2024, Cboe Global Markets authorized an additional $500 million for share repurchases, with $179.8 million remaining under existing authorizations as of July 31, 2024.
- In October 2023, the company authorized an additional $250 million for share repurchases, with approximately $139.8 million of availability remaining under existing authorizations as of June 30, 2023.
Share Issuance
- Cboe Global Markets has experienced a decline in shares outstanding over the last few years, with a 0.19% decline in 2025, a 0.85% decline in 2024, and a 0.47% decline in 2023, indicating net share repurchases.
Outbound Investments
- Cboe completed the acquisition of Eris Digital Holdings, LLC (ErisX) in May 2022, which provided the company with entry into digital asset spot and derivatives markets.
- In January 2021, Cboe completed its acquisition of BIDS Trading, a registered broker-dealer and operator of the largest block-trading ATS in the U.S., to expand its U.S. equities offerings.
- In 2020, Cboe acquired risk analytics provider Hanweck Associates and the portfolio management platform FT Options, which were subsequently integrated into its Risk and Market Analytics Group by April 2022.
Capital Expenditures
- Cboe Global Markets expects capital expenditures for fiscal year 2026 to be in the range of $73 million to $83 million.
- Actual capital expenditures were $74 million in 2025, $61 million in 2024, and $45 million in 2023.
Peer Outperformance in Financial Exchanges & Data
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Reinsurance | 6 | 37.5% | 74.0% | 118.3% | SPNT 170% · RGA 148% · RNR 138% |
| Investment Banking & Brokerage | 13 | -1.9% | 90.1% | 92.3% | IBKR 314% · SNEX 159% · HOOD 140% |
| Diversified Banks | 12 | 32.8% | 141.8% | 91.6% | CM 142% · RY 130% · JPM 126% |
| Life & Health Insurance | 20 | 17.2% | 52.4% | 78.2% | JXN 536% · UNM 303% · FG 188% |
| Property & Casualty Insurance | 42 | 21.7% | 72.7% | 65.0% | PGR 176% · TRV 176% · ACGL 166% |
| Multi-line Insurance | 9 | 10.2% | 68.9% | 63.6% | AIZ 100% · GNW 98% · L 97% |
| Multi-Sector Holdings | 3 | 9.8% | 52.4% | 57.5% | BRK-B 93% · VOYA 57% · JEF 35% |
| Regional Banks | 262 | 34.5% | 91.3% | 53.5% | CBC 263% · FCNCA 189% · NIC 146% |
| Financial Exchanges & Data ← | 15 | 19.8% | 33.8% | 32.6% | CBOE 176% · VIRT 144% · CME 71% |
| Insurance Brokers | 15 | 5.3% | 11.6% | 26.0% | LIFE 387% · ARX 89% · AJG 80% |
| Asset Management & Custody Banks | 85 | -6.1% | 21.7% | 8.8% | VCTR 257% · WT 230% · AAMI 191% |
| Consumer Finance | 30 | 5.9% | 72.9% | 5.4% | ENVA 397% · FCFS 137% · AXP 101% |
| Diversified Financial Services | 4 | -5.1% | 18.6% | 3.3% | FRHC 171% · EQH 80% |
| Commercial & Residential Mortgage Finance | 14 | -48.7% | 20.2% | -0.2% | FNMA 448% · FMCC 399% · ACT 167% |
| Specialized Finance | 3 | 8.4% | 31.0% | -20.6% | HASI -21% · CACC -28% |
| Transaction & Payment Processing Services | 17 | 15.8% | 17.6% | -22.2% | V 111% · MA 106% · CPAY 69% |
| Mortgage REITs | 35 | -19.0% | -7.6% | -35.2% | RITM 35% · DX 18% · AGNC 11% |
| Diversified Capital Markets | 20 | -58.1% | 2.5% | -68.4% | LPLA 80% · TW 39% · WULF -60% |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 327.82 |
| Mkt Cap | 91.7 |
| Rev LTM | 8,662 |
| Op Inc LTM | 4,167 |
| FCF LTM | 3,655 |
| FCF 3Y Avg | 3,291 |
| CFO LTM | 3,878 |
| CFO 3Y Avg | 3,499 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 11.8% |
| Rev Chg 3Y Avg | 12.4% |
| Rev Chg Q | 16.0% |
| QoQ Delta Rev Chg LTM | 3.6% |
| Op Inc Chg LTM | 20.3% |
| Op Inc Chg 3Y Avg | 19.9% |
| Op Mgn LTM | 41.4% |
| Op Mgn 3Y Avg | 39.5% |
| QoQ Delta Op Mgn LTM | 0.2% |
| CFO/Rev LTM | 40.9% |
| CFO/Rev 3Y Avg | 37.2% |
| FCF/Rev LTM | 35.4% |
| FCF/Rev 3Y Avg | 33.8% |
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Options | 2,434 | 2,003 | 1,940 | 1,823 | 1,505 |
| North American Equities | 1,672 | 1,547 | 1,353 | 1,682 | 1,570 |
| Europe and Asia Pacific | 379 | 324 | 281 | 265 | 240 |
| Futures | 136 | 141 | 129 | 120 | 121 |
| Global FX | 94 | 80 | 75 | 69 | 58 |
| Corporate Items and Eliminations | 0 | 0 | 0 | 0 | 0 |
| Digital | 0 | -0 | -4 | 0 | 0 |
| Total | 4,714 | 4,094 | 3,774 | 3,958 | 3,495 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Options | 1,113 | 878 | 851 | 740 | 538 |
| North American Equities | 188 | 169 | 118 | 147 | 156 |
| Futures | 74 | 99 | 86 | 55 | 66 |
| Europe and Asia Pacific | 54 | 42 | 33 | 38 | 56 |
| Global FX | 46 | 33 | 25 | 9 | 3 |
| Digital | 0 | -112 | -47 | -491 | 0 |
| Corporate Items and Eliminations | -8 | -10 | -8 | -8 | -13 |
| Total | 1,467 | 1,098 | 1,058 | 490 | 806 |
| $ Mil | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|
| Options | 739 | 581 | 576 | 480 |
| North American Equities | 164 | 149 | 105 | 126 |
| Futures | 63 | 70 | 53 | 13 |
| Corporate Items and Eliminations | 54 | -14 | 18 | -45 |
| Global FX | 46 | 33 | 24 | 9 |
| Europe and Asia Pacific | 33 | 25 | 20 | 23 |
| Digital | 0 | -79 | -34 | -371 |
| Total | 1,100 | 765 | 761 | 235 |
Price Behavior
| Market Price | $349.22 | |
| Market Cap ($ Bil) | 36.5 | |
| First Trading Date | 06/15/2010 | |
| Distance from 52W High | -4.3% | |
| 50 Days | 200 Days | |
| DMA Price | $295.49 | $291.90 |
| DMA Trend | up | up |
| Distance from DMA | 18.2% | 19.6% |
| 3M | 1YR | |
| Volatility | 39.7% | 36.5% |
| Downside Capture | -137.60 | -68.59 |
| Upside Capture | -29.09 | -12.02 |
| Correlation (S&P 500) | -33.0% | -17.0% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -2.14 | -1.45 | -1.46 | -0.90 | -0.48 | -0.29 |
| Up Beta | -2.92 | -0.63 | -1.85 | -0.80 | -0.69 | -0.30 |
| Down Beta | -3.92 | -2.92 | -3.03 | -0.78 | -0.45 | -0.30 |
| Up Capture | 35% | -69% | -62% | -60% | -10% | -1% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 14 | 21 | 31 | 65 | 138 | 398 |
| Down Capture | -294% | -181% | -152% | -158% | -125% | -189% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 8 | 22 | 33 | 61 | 113 | 352 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CBOE | |
|---|---|---|---|---|
| CBOE | 49.2% | 36.5% | 1.15 | - |
| Sector ETF (XLF) | 11.6% | 14.6% | 0.52 | 0.0% |
| Equity (SPY) | 11.6% | 12.8% | 0.57 | -17.2% |
| Gold (GLD) | -2.3% | 28.6% | -0.09 | -9.3% |
| Commodities (DBC) | 43.1% | 20.9% | 1.60 | 8.6% |
| Real Estate (VNQ) | 11.0% | 13.7% | 0.50 | 15.3% |
| Bitcoin (BTCUSD) | -28.8% | 43.6% | -0.66 | 3.9% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CBOE | |
|---|---|---|---|---|
| CBOE | 23.6% | 25.4% | 0.81 | - |
| Sector ETF (XLF) | 9.0% | 18.3% | 0.35 | 16.1% |
| Equity (SPY) | 12.0% | 17.1% | 0.52 | 8.5% |
| Gold (GLD) | 16.5% | 19.0% | 0.69 | -0.6% |
| Commodities (DBC) | 8.4% | 19.6% | 0.31 | 5.8% |
| Real Estate (VNQ) | 1.1% | 18.9% | -0.05 | 20.1% |
| Bitcoin (BTCUSD) | 4.1% | 51.6% | 0.26 | 8.2% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with CBOE | |
|---|---|---|---|---|
| CBOE | 20.1% | 26.5% | 0.71 | - |
| Sector ETF (XLF) | 13.4% | 22.1% | 0.55 | 33.8% |
| Equity (SPY) | 15.2% | 17.9% | 0.72 | 28.3% |
| Gold (GLD) | 11.6% | 16.5% | 0.57 | 1.5% |
| Commodities (DBC) | 7.8% | 18.1% | 0.34 | 12.1% |
| Real Estate (VNQ) | 5.4% | 20.7% | 0.22 | 33.3% |
| Bitcoin (BTCUSD) | 61.7% | 66.3% | 1.01 | 7.0% |
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Returns Analyses
Earnings Returns History
Updated 11/3/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/30/2026 | 6.8% | ||
| 7/31/2026 | 4.6% | -2.5% | 4.7% |
| 5/1/2026 | 9.0% | 12.8% | 0.5% |
| 2/6/2026 | -0.7% | -1.7% | 9.0% |
| 10/31/2025 | 3.7% | 6.7% | 7.7% |
| 8/1/2025 | 2.8% | 3.5% | -1.8% |
| 5/2/2025 | 2.3% | 3.1% | 4.8% |
| 2/7/2025 | 2.0% | 0.6% | 6.1% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 17 | 15 | 17 |
| # Negative | 7 | 8 | 6 |
| Median Positive | 3.1% | 4.0% | 6.1% |
| Median Negative | -1.7% | -3.3% | -1.5% |
| Max Positive | 9.0% | 12.8% | 12.0% |
| Max Negative | -5.8% | -7.5% | -4.2% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/30/2026 | 6.8% | ||
| 7/31/2026 | 4.6% | -2.5% | 4.7% |
| 5/1/2026 | 9.0% | 12.8% | 0.5% |
| 2/6/2026 | -0.7% | -1.7% | 9.0% |
| 10/31/2025 | 3.7% | 6.7% | 7.7% |
| 8/1/2025 | 2.8% | 3.5% | -1.8% |
| 5/2/2025 | 2.3% | 3.1% | 4.8% |
| 2/7/2025 | 2.0% | 0.6% | 6.1% |
| 11/1/2024 | -1.7% | -6.5% | -0.5% |
| 8/2/2024 | 4.3% | 9.9% | 10.9% |
| 5/3/2024 | 3.2% | 5.1% | 0.8% |
| 2/2/2024 | -1.1% | -0.3% | 2.8% |
| 11/3/2023 | 4.1% | 8.3% | 12.0% |
| 8/4/2023 | 4.0% | 6.0% | 7.8% |
| 5/5/2023 | -0.4% | 1.4% | -1.1% |
| 2/3/2023 | 2.8% | 4.0% | 4.1% |
| 11/4/2022 | 2.7% | -3.2% | 2.3% |
| 7/29/2022 | -1.8% | -5.2% | -4.2% |
| 4/29/2022 | -2.0% | -3.5% | -2.5% |
| 2/4/2022 | 3.1% | 3.8% | 0.2% |
| 10/29/2021 | 0.6% | 1.0% | -0.8% |
| 7/30/2021 | 2.2% | 4.4% | 8.2% |
| 4/30/2021 | 1.0% | 3.8% | 8.1% |
| 2/5/2021 | -5.8% | -7.5% | 11.3% |
| SUMMARY STATS | |||
| # Positive | 17 | 15 | 17 |
| # Negative | 7 | 8 | 6 |
| Median Positive | 3.1% | 4.0% | 6.1% |
| Median Negative | -1.7% | -3.3% | -1.5% |
| Max Positive | 9.0% | 12.8% | 12.0% |
| Max Negative | -5.8% | -7.5% | -4.2% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/30/2026 | 10-Q |
| 06/30/2026 | 07/31/2026 | 10-Q |
| 03/31/2026 | 05/01/2026 | 10-Q |
| 12/31/2025 | 02/20/2026 | 10-K |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/01/2025 | 10-Q |
| 03/31/2025 | 05/02/2025 | 10-Q |
| 12/31/2024 | 02/21/2025 | 10-K |
| 09/30/2024 | 11/01/2024 | 10-Q |
| 06/30/2024 | 08/02/2024 | 10-Q |
| 03/31/2024 | 05/03/2024 | 10-Q |
| 12/31/2023 | 02/16/2024 | 10-K |
| 09/30/2023 | 11/03/2023 | 10-Q |
| 06/30/2023 | 08/04/2023 | 10-Q |
| 03/31/2023 | 05/05/2023 | 10-Q |
| 12/31/2022 | 02/17/2023 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/30/2026 | 10-Q |
| 06/30/2026 | 07/31/2026 | 10-Q |
| 03/31/2026 | 05/01/2026 | 10-Q |
| 12/31/2025 | 02/20/2026 | 10-K |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/01/2025 | 10-Q |
| 03/31/2025 | 05/02/2025 | 10-Q |
| 12/31/2024 | 02/21/2025 | 10-K |
| 09/30/2024 | 11/01/2024 | 10-Q |
| 06/30/2024 | 08/02/2024 | 10-Q |
| 03/31/2024 | 05/03/2024 | 10-Q |
| 12/31/2023 | 02/16/2024 | 10-K |
| 09/30/2023 | 11/03/2023 | 10-Q |
| 06/30/2023 | 08/04/2023 | 10-Q |
| 03/31/2023 | 05/05/2023 | 10-Q |
| 12/31/2022 | 02/17/2023 | 10-K |
| 09/30/2022 | 11/04/2022 | 10-Q |
| 06/30/2022 | 07/29/2022 | 10-Q |
| 03/31/2022 | 04/29/2022 | 10-Q |
| 12/31/2021 | 02/18/2022 | 10-K |
| 09/30/2021 | 10/29/2021 | 10-Q |
| 06/30/2021 | 07/30/2021 | 10-Q |
| 03/31/2021 | 04/30/2021 | 10-Q |
| 12/31/2020 | 02/19/2021 | 10-K |
| 09/30/2020 | 10/30/2020 | 10-Q |
| 06/30/2020 | 07/31/2020 | 10-Q |
| 03/31/2020 | 05/01/2020 | 10-Q |
| 12/31/2019 | 02/21/2020 | 10-K |
Recent Forward Guidance
Updated 10/31/2026Latest: Q3 2026 Earnings Reported 10/30/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Amortization of Acquired Intangible Assets | Reported | 59.00 Mil | ||||||
| 2026 Depreciation and Amortization Expense | Reported | 54.00 Mil | 56.00 Mil | 58.00 Mil | 0 | Affirmed | Guidance: 56.00 Mil for 2026 | |
| 2026 Organic Total Net Revenue Growth | Reported | Raised | Guidance: 17.0% for 2026 | |||||
| 2026 Data Vantage Organic Net Revenue Growth | Reported | Raised | Guidance: 12.0% for 2026 | |||||
| 2026 Adjusted Operating Expenses | Reported | 830.00 Mil | 837.50 Mil | 845.00 Mil | -0.9% | Lowered | Guidance: 845.50 Mil for 2026 | |
| 2026 Effective Tax Rate on Adjusted Earnings | Reported | 27.5% | 28.5% | 29.5% | 0 | Affirmed | Guidance: 28.5% for 2026 | |
| 2026 Capital Expenditures | Reported | 98.00 Mil | 103.00 Mil | 108.00 Mil | 0 | Affirmed | Guidance: 103.00 Mil for 2026 | |
Prior: Q2 2026 Earnings Reported 7/31/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Depreciation and Amortization | Reported | 54.00 Mil | 56.00 Mil | 58.00 Mil | Lowered | Guidance: 58.00 Mil for 2026 | ||
| 2026 Organic Total Net Revenue Growth | Reported | 15.0% | 17.0% | 4.5% | Raised | Guidance: 12.5% for 2026 | ||
| 2026 Data Vantage Organic Net Revenue Growth | Reported | 11.0% | 12.0% | 2.0% | Raised | Guidance: 10.0% for 2026 | ||
| 2026 Adjusted Operating Expenses | Reported | 838.00 Mil | 845.50 Mil | 853.00 Mil | 0 | Affirmed | Guidance: 845.50 Mil for 2026 | |
| 2026 Effective Tax Rate | Reported | 27.5% | 28.5% | 29.5% | 0 | 0 | Affirmed | Guidance: 28.5% for 2026 |
| 2026 Capital Expenditures | Reported | 98.00 Mil | 103.00 Mil | 108.00 Mil | Raised | Guidance: 78.00 Mil for 2026 | ||
Q1 2026 Earnings Reported 5/1/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Depreciation and Amortization Expense | Reported | 56.00 Mil | 58.00 Mil | 60.00 Mil | 0 | Affirmed | Guidance: 58.00 Mil for 2026 | |
| 2026 Organic Total Net Revenue Growth | Reported | 10.0% | 12.5% | 15.0% | 150.0% | 7.5% | Raised | Guidance: 5.0% for 2026 |
| 2026 Data Vantage Organic Net Revenue Growth | Reported | 10.0% | 42.9% | 3.0% | Raised | Guidance: 7.0% for 2026 | ||
| 2026 Adjusted Operating Expenses | Reported | 838.00 Mil | 845.50 Mil | 853.00 Mil | -3.0% | Lowered | Guidance: 871.50 Mil for 2026 | |
| 2026 Effective Tax Rate on Adjusted Earnings | Reported | 27.5% | 28.5% | 29.5% | 0 | 0 | Affirmed | Guidance: 28.5% for 2026 |
| 2026 Capital Expenditures | Reported | 73.00 Mil | 78.00 Mil | 83.00 Mil | 0 | Affirmed | Guidance: 78.00 Mil for 2026 | |
Q4 2025 Earnings Reported 2/6/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Depreciation and Amortization Expense | Reported | 56.00 Mil | 58.00 Mil | 60.00 Mil | 11.5% | Higher New | Guidance: 52.00 Mil for 2025 | |
| 2026 Organic Total Net Revenue Growth | Reported | 5.0% | -60.0% | -7.5% | Lower New | Guidance: 12.5% for 2025 | ||
| 2026 Data Vantage Organic Net Revenue Growth | Reported | 7.0% | -26.3% | -2.5% | Lower New | Guidance: 9.5% for 2025 | ||
| 2026 Adjusted Operating Expenses | Reported | 864.00 Mil | 871.50 Mil | 879.00 Mil | 4.4% | Higher New | Guidance: 834.50 Mil for 2025 | |
| 2026 Effective Tax Rate on Adjusted Earnings | Reported | 27.5% | 28.5% | 29.5% | -1.0% | Lower New | Guidance: 29.5% for 2025 | |
| 2026 Capital Expenditures | Reported | 73.00 Mil | 78.00 Mil | 83.00 Mil | 0 | Same New | Guidance: 78.00 Mil for 2025 | |
Insider Activity
Updated 8/21/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Froetscher, Janet P | Direct | Sell | 8142026 | 278.95 | 937 | 261,376 | 3,590,086 | Form | |
| 2 | Froetscher, Janet P | Direct | Sell | 5202026 | 358.09 | 1,223 | 437,944 | 4,944,149 | Form | |
| 3 | Wilkinson, Allen | SVP, CHIEF ACCOUNTING OFFICER | Direct | Sell | 2252026 | 292.79 | 248 | 72,612 | 120,044 | Form |
| 4 | Matturri, Alexander JR | Direct | Sell | 2202026 | 285.36 | 1,500 | 428,040 | 1,358,599 | Form | |
| 5 | Fitzpatrick, Edward J | Direct | Sell | 2202026 | 285.87 | 3,947 | 1,128,329 | 3,693,726 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Froetscher, Janet P | Direct | Sell | 8142026 | 278.95 | 937 | 261,376 | 3,590,086 | Form | |
| 2 | Froetscher, Janet P | Direct | Sell | 5202026 | 358.09 | 1,223 | 437,944 | 4,944,149 | Form | |
| 3 | Wilkinson, Allen | SVP, CHIEF ACCOUNTING OFFICER | Direct | Sell | 2252026 | 292.79 | 248 | 72,612 | 120,044 | Form |
| 4 | Matturri, Alexander JR | Direct | Sell | 2202026 | 285.36 | 1,500 | 428,040 | 1,358,599 | Form | |
| 5 | Fitzpatrick, Edward J | Direct | Sell | 2202026 | 285.87 | 3,947 | 1,128,329 | 3,693,726 | Form | |
| 6 | Isaacson, Christopher A | EVP, COO | Direct | Sell | 9042025 | 236.66 | 5,000 | 1,183,300 | 8,893,683 | Form |
Investor Activity (13F)
Updated Nov 3, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
CBOE Trade Sentinel
High Conviction
CONVICTION RATIONALE
Cboe's core profit engine is secured by a new 25-year exclusive license for S&P index options. This moat underpins accelerating revenue growth, with full-year 2026 guidance raised to the 'high teens'. New products like KPI event contracts and strong international demand provide clear avenues for continued expansion, supported by excellent cash generation.
STOCK ARCHETYPE
Hybrid Transactional & Recurring(Trading Volume x Revenue per Contract) + (Number of Subscribers x Subscription Price) Mix shift towards higher-margin, proprietary index options (SPX, VIX) and growth in the high-margin, recurring DataVantage business.
INVESTMENT THESIS
Evidence suggests yes. The core S&P license was extended to 2051, securing the moat, while secular trends are driving record volumes.
- Signed a 25-year extension of its exclusive S&P license through 2051.
- Q3 index options average daily volume grew 24% year-over-year to 6.1 million contracts.
- Revenue per contract for the options business rose 9% year-over-year in Q3 2026.
- Raised 2026 total organic net revenue growth guidance to the 'high teens'.
- Short-dated (0DTE) options now represent a record 65% of total SPX activity.
PRIMARY RISK
Record volumes in short-dated options could be a cyclical peak, not a new normal. While YoY growth in index options ADV is strong at 24%, it has decelerated. New equity market rules in November 2026 could also impact transaction revenue.
- Index options ADV YoY growth decelerated from 34% in Q1 to 24% in Q3 2026.
- SEC's 'Tick Size/Access Fee Cap' rules are expected to be implemented in November 2026.
- The company competes with 14 other U.S. options exchanges as of year-end 2025.
- Accounts receivable grew 26.9% YoY in Q3, outpacing revenue growth of 19%.
| KPI | Status | Rationale |
|---|---|---|
| Index Options Average Daily Volume (ADV) | 6.1 million contracts in Q3 2026 - Decelerating | The year-over-year growth rate has decelerated from 34% in Q1 and 32% in Q2, and absolute volume dipped slightly sequentially. However, growth remains robust and is driven by strong retail and international engagement, with management noting retail volume in SPX 0DTE products jumped 46% year-over-year. |
| DataVantage Net Revenue Growth | 13% year-over-year growth in Q3 2026 - Decelerating | While the YoY growth rate has moderated through the year, the company raised its full-year 2026 organic growth guidance for the segment to the mid-teens range, up from low-teens previously, citing strong new subscription and unit sales. |
| 0DTE Activity as % of SPX Activity | 65% (Q3 2026) | Indicates the significant and growing demand for short-dated options, a key growth driver within the lucrative SPX franchise, fueled by both retail and institutional traders. |
| Retail Share of SPX 0DTE Volume | 58% (Q3 2026) | Measures the engagement of retail investors, a crucial and expanding customer segment that is driving significant volume growth in high-frequency products. |
Secular Shift or Speculative Peak?
BULL VIEW
Secular adoption by retail and international users, plus new products, are creating a structurally higher base for derivatives demand. The 25-year license extension provides a long runway to compound this growth.
CORE TENSION
Can new product adoption and international expansion offset a potential cyclical peak in 0DTE volumes, which showed decelerating YoY growth in Q3?
PREVAILING SENTIMENT
The latest evidence favors the bull case. Management raised full-year 2026 revenue guidance after Q3 results, suggesting confidence in the durability of current volume trends.
BEAR VIEW
Record 0DTE volumes, now 65% of SPX activity, represent a speculative frenzy. Decelerating YoY growth in index options ADV from 34% to 24% signals a reversion to the mean is beginning.
| Timeline | Event & Metric To Watch |
|---|---|
November 2026 | Regulatory Impact on Transaction Fees Watch: Company commentary on the Q4 earnings call regarding the initial impact of the new equity market structure rules. |
December 17, 2026 | Adverse CAT Funding Ruling Watch: The 11th Circuit court's ruling on the Revised CAT Funding Model and any further reserve actions by the company. |
December 17, 2026 | CAT Funding Model Litigation Watch: Oral argument is scheduled for the litigation concerning the 2026 Revised CAT Funding Model Order. |
1/27/2027 | Nasdaq Earnings Report Watch: Peer Nasdaq (NDAQ) is scheduled to report earnings. |
2/2/2027 | CME Group Earnings Report Watch: Peer CME Group (CME) is scheduled to report earnings. |
2/4/2027 | Company Earnings Report Watch: The company is scheduled to report its next quarterly earnings. |
Jan-Feb 2027 | Intensifying Peer Competition Watch: Peer commentary on options market share, pricing strategies, or new product launches that directly compete with CBOE's high-margin derivatives. |
first quarter of 2027 | Senior Notes Repayment Watch: The company anticipates repaying $650 million of senior notes maturing in the first quarter of 2027 with cash on hand. |
November | KPI Event Contracts Launch Watch: The company anticipates a product launch for its company KPI event contracts in November. |
December | Cash Equities Extended Hours Watch: The company plans to extend cash equities trading to a 23x5 basis in December, pending industry readiness. |
| Date | Event | Stock Impact |
|---|---|---|
2026-10-30 | Guidance Raised for 2026 Details: On October 30, 2026, the company raised its guidance for 2026 Organic Total Net Revenue Growth and lowered its guidance for 2026 Adjusted Operating Expenses. | +6.8% $314.25 -> $335.53 |
2026-10-30 | Third Quarter Earnings Beat Details: The company reported Q3 adjusted diluted EPS of $3.63, a 36% increase year-over-year. The stock had a two-day reaction of 7.0% around the October 30, 2026 earnings call. | +6.8% $314.25 -> $335.53 |
2026-10-30 | S&P License Extension Secured Details: At the end of September, the company signed a 25-year extension of its exclusive licensing agreement with S&P Dow Jones Indices, continuing the collaboration through 2051. | +6.8% $314.25 -> $335.53 |
2026-10-30 | Cboe Predicts Product Launch Details: In June, the company launched its first Cboe Predicts product, which are binary options on the Mini-S&P 500 Index. | +6.8% $314.25 -> $335.53 |
2026-08-25 | Rival Challenges Product Launches Details: A press report noted that prediction market Kalshi asked federal regulators to delay product launches from Cboe, highlighting competitive friction. | +1.3% $307.24 -> $311.33 |
2026-07-31 | Sale of Cboe Australia Details: The company completed the sale of its Cboe Australia business to TMX Group Limited on July 31, 2026, resulting in a net gain of $71.5 million in Q3. | +0.4% $295.70 -> $297.01 |
2026-05-01 | First Quarter Earnings Beat Details: The company reported Q1 earnings, leading to a two-day stock reaction of 13.0% around the May 1, 2026 earnings call. | +12.9% $298.63 -> $337.26 |
Position Sizing
4% - 6%
NORMAL POSITION
Sizing is volatility-based: CBOE trades at roughly 38% annualized realized (three-month) volatility versus about 10% for the S&P 500 (3.7x the market). A 4% - 6% position keeps a single-name swing of that size within a diversified portfolio's risk budget.
Diversification Alternatives
CME - CME Group
Higher-Margin Derivatives PeerOffers exposure to a different mix of derivatives, primarily in interest rates, commodities, and energy, with significantly higher operating margins of 65.7%.
ICE - Intercontinental Exchange
Diversified Scale LeaderProvides greater scale with revenue 2.7 times larger than Cboe's, and a different business mix including energy futures, fixed income data, and mortgage technology.
A derivatives toll road with a powerful moat, monetizing market volatility and secular options adoption through exclusive, high-margin index products.
Cboe's value is anchored in its exclusive, long-term license to trade options on the S&P 500 (SPX) and its proprietary VIX products. This forms a high-margin derivatives franchise that is benefiting from strong secular tailwinds, including rising retail participation and international demand. The company is sharpening its focus on this core by divesting non-essential assets, while simultaneously planting seeds for future growth in adjacent areas like event contracts and expanded clearing services.
Sustained double-digit growth in index options ADV, successful launch and scaling of KPI event contracts, and continued margin expansion from favorable mix shift.
Any regulatory action that threatens the exclusivity of its index licenses, a structural decline in market volatility that dampens trading demand, or a failure of new products to gain traction.
Minor market share fluctuations in the competitive multi-listed options or cash equities segments; quarterly volatility in the Futures segment.
Repricing Catalyst
The successful launch of company KPI event contracts, which opens a new product category, and the market's full pricing-in of the long-term earnings certainty provided by the 25-year S&P license extension.
Options
$2.4B TTM (52% of Total) · 46% MarginWhat It Is
This segment offers trading in options on market indices (e.g., SPX options), individual stocks, and ETPs to broker-dealers, institutional investors, and professional traders. It also includes revenues from market data, index licensing, and access services related to options.
Who Pays & How
Broker-dealers and trading firms pay transaction fees to execute trades for themselves or their clients (retail and institutional investors). They use Cboe's options markets, particularly the exclusive SPX and VIX products, for hedging, income generation, and expressing views on market volatility.
Competition
North American Equities
$1.7B TTM (35% of Total) · 11% MarginWhat It Is
Provides U.S. and Canadian equities and ETP transaction services on its electronic exchanges (BZX, BYX, EDGX, EDGA) and BIDS trading platforms. It also offers ETP listing services and sells related market data and access services.
Who Pays & How
SEC-registered broker-dealers and Canadian registered investment dealers pay transaction and data fees to execute equity trades. They use Cboe's multiple venues for order execution, which offer various market and pricing models.
Competition
Europe and Asia Pacific
$379M TTM (8% of Total) · 14% MarginWhat It Is
Offers pan-European equities and derivatives trading, ETP listings, and clearing services through Cboe Clear Europe. The company is in the process of selling its Cboe Australia and Cboe Canada businesses and has wound down its Japanese equities business.
Who Pays & How
EU-regulated brokerage and proprietary trading firms pay for transaction and clearing services. They use the platform for its lit and dark books, periodic auctions, and pan-European clearing capabilities.
Competition
Futures
$136M TTM (3% of Total) · 54% MarginWhat It Is
Provides transaction services for futures products, most notably VIX futures, on its fully electronic CFE exchange. It also includes the Cboe Digital exchange and Cboe Clear U.S. clearinghouse.
Who Pays & How
Banks, futures commission merchants, hedge funds, and proprietary trading firms pay transaction fees to trade futures contracts, primarily to hedge or speculate on market volatility using VIX futures.
Competition
Global FX
$94M TTM (2% of Total) · 49% MarginWhat It Is
Offers institutional foreign exchange (FX) trading services on its electronic platform, as well as trading in non-deliverable forwards (NDFs) and U.S. government securities.
Who Pays & How
Institutional customers including banks, broker-dealers, and hedge funds pay transaction fees to access liquidity and execute trades in the fragmented global FX market.
Competition
Cboe Global Markets — Investor Video Playlist
Industry Resources
| Financials Resources |
| Federal Reserve Economic Data |
| Federal Reserve |
| FDIC Data |
| American Banker |
| The Banker |
| Banking Technology |
| Financial Exchanges & Data Resources |
| WatersTechnology |
| TabbFORUM |
| Mondovisione |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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