What's in Store for Cboe Global (CBOE) This Earnings Season?

EQR MCO COF CBOE

Cboe Global Markets, Inc. (CBOE - Free Report) is slated to report third-quarter 2021 results on Oct 29, before the opening bell. The company delivered an earnings surprise of 2.22%  in the last reported quarter.

Factors to Consider

CBOE Global’s third-quarter performance is likely to have benefited from increased volatility, which drove trading volume and continued growth in recurring non-transaction revenues as well as the contribution from acquisitions.

Transaction fees and clearing fees are likely to have benefited from improved trading volumes in U.S cash equities and multi-list options.  Its strong market position and a global reach with strength in its proprietary products, primarily SPX options, VIX options and VIX futures are likely to have provided an additional upside.

The Zacks Consensus Estimate for third-quarter transaction fees is pegged at $430 million.

Market data revenues are likely to have been aided by the Bats, MATCHNow, BIDS Trading, Hanweck and FT Options acquisitions, improved Cboe Information Solutions, and a comprehensive suite of data solutions, analytics and indices. The Zacks Consensus Estimate for third-quarter market data fees and access fees is pegged at $66 million and $69 million, indicating growth of 10% and 13.1%, respectively, from the prior-year quarter reported figure.

Expenses are likely to have increased given several ongoing investments in systems hardware and software.

Estimate Picture

The Zacks Consensus Estimate for third-quarter revenues is pegged at $364.8 million, indicating an increase of 24.9% from the year-ago reported figure.

Cboe Global estimates quarterly interest expense between $11.5 million and $12 million,

The Zacks Consensus Estimate for third-quarter earnings per share is pegged at $1.43, indicating an increase of 28.8% from the prior-year quarter reported figure.

What the Zacks Model Says

Our proven model does not conclusively predict an earnings beat for CBOE Global this time around. The combination of a positive Earnings ESP  and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat.

Earnings ESP: CBOE Global has an Earnings ESP of 0.00%. This is because both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at $1.43 per share. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: CBOE Global carries a Zacks Rank of 2.

Stocks to Consider

Some stocks worth considering from the finance sector with a perfect mix of elements to surpass estimates in their upcoming quarterly releases are as follows:

Moody's Corporation (MCO - Free Report) has an Earnings ESP of +0.94% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Equity Residential (EQR - Free Report) has an Earnings ESP of +1.19% and a Zacks Rank of 3, at present.

Capital One Financial (COF - Free Report) has an Earnings ESP of +4.66% and a Zacks Rank #2.

Only $1 to See All Zacks' Buys and Sells

We're not kidding.

Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.

Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.

See Stocks Now >>