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Cboe Global Beats Q1 Earnings Estimates, Raises Revenue Guidance
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Key Takeaways
Cboe Global reported Q1 EPS of $3.70, up 48% YoY, beating estimates on strong derivatives and market growth.
CBOE posted record $728.9M revenues, up 29%, driven by gains across options, equities, FX and global markets.
Cboe Global raised 2026 revenue outlook and cut cost guidance after strategic realignment and asset sales.
Cboe Global Markets, Inc. (CBOE - Free Report) reported first-quarter 2026 adjusted earnings of $3.70 per share, which beat the Zacks Consensus Estimate by 9.8%. The bottom line increased 48% year over year.
The quarterly results reflected solid performance in Derivatives Markets, Data Vantage, and Cash and Spot Markets.
Cboe Global Markets, Inc. Price, Consensus and EPS Surprise
Total adjusted revenues of CBOE Global were a record $728.9 million, up 29% year over year, as a result of increases across all net revenue captions. The top line beat the consensus mark by 5.9%.
Options revenues climbed 33% year over year to $467.6 million. The improvement was driven by an increase in net transaction and clearing fees, higher multi-listed options revenue per contract, growing Market data fees, and access and capacity fees.
Revenues of North American Equities totaled $111.2 million, up 18% year over year, reflecting higher net transaction and clearing fees, access and capacity fees, and market data fees.
Europe and Asia Pacific revenues increased 32% year over year to $84.9 million, reflecting growth in net transaction and clearing fees and non-transaction revenues.
Futures net revenues increased 8% year over year to $35.8 million, driven by an 11% increase in net transaction and clearing fees.
Global FX net revenues rose 38% year over year to $29.4 million due to higher net transaction and clearing fees.
Adjusted operating expenses were $200.9 million, which rose 4.4% year over year, driven by an increase in compensation and benefits, driven by an increase in accrued bonuses as a result of strong company performance, a rise in payroll benefits, and an increase in salaries primarily due to merit increases.
Adjusted operating income grew 41.6% year over year to $528 million.
Adjusted operating margin was 72.4%, which expanded 640 basis points (bps) year over year. Our estimate was 61.4%. Adjusted EBITDA margin of 74.7% expanded 680 bps year over year.
Financial Update
CBOE Global exited the first quarter of 2026 with cash and cash equivalents of $2.1 billion, which decreased 3.7% from the 2025-end level.
As of March 31, 2026, total assets of $8.7 billion rose 19% from the 2025-end figure. CBOE’s long-term debt was $793.9 million, which declined 45% from the 2025-end level. Total shareholders’ equity was $5.3 billion, up 4.6% from the figure as of Dec. 31, 2025.
Share Repurchase and Dividend Update
In the first quarter, Cboe Global paid out cash dividends worth $75.8 million or 72 cents per share, and bought back shares worth $45.1 million. As of March 31, 2026, CBOE had $569.4 million left under its current share repurchase authorization.
Execution of Strategic Realignment
Following a thorough strategic review and the adoption of a more rigorous financial and strategic framework in the second half of 2025, Cboe Global declared a realignment to increase focus and investment in the core businesses that drive earnings. CBOE reoriented the portfolio, wound down non–core initiatives, optimized resource allocation across the organization, and agreed to sell Cboe Canada and Cboe Australia.
Cboe Global declared to realign the organization to build better teams positioned to operate effectively in a rapidly evolving environment. Its earlier actions to sell, wind down, and optimize certain businesses, combined with the current strategic realignment, are expected to reduce the workforce by approximately 20%.
CBOE’s 2026 Guidance
Cboe Global expects Organic total net revenue growth to be in the low double-digit to mid-teens range, up from prior guidance of mid-single-digit.
CBOE expects Organic net revenue growth from Data Vantage to be in the low double-digit range, up from prior guidance of mid to high single-digit.
Adjusted operating expenses are projected to be in the range of $838 million to $853 million, down from $864 million to $879 million. This guidance incorporates roughly $20-$25 million of expected savings in 2026 as a result of the additional actions related to the strategic realignment. The guidance excludes the expected amortization of acquired intangible assets of $63 million.
Cboe Global reaffirms that depreciation and amortization expense is expected to be in the range of $56-$60 million, excluding the expected amortization of acquired intangible assets.
CBOE reaffirms the effective tax rate on adjusted earnings is expected to be in the range of 27.5% to 29.5%.
CBOE reaffirms that capital expenditures for 2026 are expected to be in the range of $73-$83 million.
Intercontinental Exchange Inc. (ICE - Free Report) delivered adjusted earnings of $2.35 per share for the first quarter of 2026, beating the Zacks Consensus Estimate by 3.52%. The bottom line increased 37% year over year. ICE generated revenues, less transaction-based expenses, of $2.98 billion, up 20.4% from the year-ago quarter and ahead of the consensus mark by 3.25%.
Transaction revenues, net, surged 34% to $1.7 billion, reflecting strong activity across key markets. The Exchanges segment produced net revenues of $1.78 billion, up 30% year over year. Energy was the standout performer, with net revenues rising 46% to $814 million, while Financials climbed 65% to $256 million. Agriculture and Metals improved 26% to $81 million, and cash equities and equity options were up 3% to $123 million. Data and connectivity services also supported the mix, increasing 13% to $277 million.
Nasdaq, Inc. (NDAQ - Free Report) posted non-GAAP earnings of 96 cents per share for the first quarter of fiscal 2026, up 22% from 79 cents a year ago. The figure beat the Zacks Consensus Estimate by 3.23%. Net revenues came in at $1.407 billion, up 13.7% year over year. Revenues topped the Zacks Consensus Estimate of $1.367 billion by 2.9%. The quarter was powered by double-digit growth across the company’s three divisions, alongside continued expansion in recurring revenues.
The Nasdaq stock market welcomed 176 new company listings in the first quarter of 2026, including 63 initial public offerings. The number of listed companies was 4,570 at the end of the quarter. Solutions revenues reached $1.082 billion, up 14% on both a reported and organic basis, showing that demand remained solid across Nasdaq’s higher-value, recurring businesses. Within Capital Access Platforms, revenues rose to $565 million, supported by gains across Data and Listing Services, Index and Workflow and Insights.
CME Group Inc. (CME - Free Report) delivered first-quarter 2026 adjusted earnings per share of $3.36, up 20% from the year-ago quarter’s $2.80. The bottom line was just shy of the Zacks Consensus Estimate of $3.37, a miss of 0.3%. Revenues rose 14% year over year to $1.9 billion but missed the consensus mark of $1.914 billion by 1.8%. The quarter’s standout driver was heavier client activity, with average daily volume (ADV) reaching 36.2 million contracts, up 22% from first-quarter 2025.
CME’s revenue growth was led by clearing and transaction fees, which climbed to $1,542.6 million in the first quarter of 2026 from $1,337.3 million a year ago. CME Group also posted solid growth in market data and information services, with revenues rising to $224.1 million from $194.5 million in the year-ago period.
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Cboe Global Beats Q1 Earnings Estimates, Raises Revenue Guidance
Key Takeaways
Cboe Global Markets, Inc. (CBOE - Free Report) reported first-quarter 2026 adjusted earnings of $3.70 per share, which beat the Zacks Consensus Estimate by 9.8%. The bottom line increased 48% year over year.
The quarterly results reflected solid performance in Derivatives Markets, Data Vantage, and Cash and Spot Markets.
Cboe Global Markets, Inc. Price, Consensus and EPS Surprise
Cboe Global Markets, Inc. price-consensus-eps-surprise-chart | Cboe Global Markets, Inc. Quote
Operational Details
Total adjusted revenues of CBOE Global were a record $728.9 million, up 29% year over year, as a result of increases across all net revenue captions. The top line beat the consensus mark by 5.9%.
Options revenues climbed 33% year over year to $467.6 million. The improvement was driven by an increase in net transaction and clearing fees, higher multi-listed options revenue per contract, growing Market data fees, and access and capacity fees.
Revenues of North American Equities totaled $111.2 million, up 18% year over year, reflecting higher net transaction and clearing fees, access and capacity fees, and market data fees.
Europe and Asia Pacific revenues increased 32% year over year to $84.9 million, reflecting growth in net transaction and clearing fees and non-transaction revenues.
Futures net revenues increased 8% year over year to $35.8 million, driven by an 11% increase in net transaction and clearing fees.
Global FX net revenues rose 38% year over year to $29.4 million due to higher net transaction and clearing fees.
Adjusted operating expenses were $200.9 million, which rose 4.4% year over year, driven by an increase in compensation and benefits, driven by an increase in accrued bonuses as a result of strong company performance, a rise in payroll benefits, and an increase in salaries primarily due to merit increases.
Adjusted operating income grew 41.6% year over year to $528 million.
Adjusted operating margin was 72.4%, which expanded 640 basis points (bps) year over year. Our estimate was 61.4%. Adjusted EBITDA margin of 74.7% expanded 680 bps year over year.
Financial Update
CBOE Global exited the first quarter of 2026 with cash and cash equivalents of $2.1 billion, which decreased 3.7% from the 2025-end level.
As of March 31, 2026, total assets of $8.7 billion rose 19% from the 2025-end figure. CBOE’s long-term debt was $793.9 million, which declined 45% from the 2025-end level. Total shareholders’ equity was $5.3 billion, up 4.6% from the figure as of Dec. 31, 2025.
Share Repurchase and Dividend Update
In the first quarter, Cboe Global paid out cash dividends worth $75.8 million or 72 cents per share, and bought back shares worth $45.1 million. As of March 31, 2026, CBOE had $569.4 million left under its current share repurchase authorization.
Execution of Strategic Realignment
Following a thorough strategic review and the adoption of a more rigorous financial and strategic framework in the second half of 2025, Cboe Global declared a realignment to increase focus and investment in the core businesses that drive earnings. CBOE reoriented the portfolio, wound down non–core initiatives, optimized resource allocation across the organization, and agreed to sell Cboe Canada and Cboe Australia.
Cboe Global declared to realign the organization to build better teams positioned to operate effectively in a rapidly evolving environment. Its earlier actions to sell, wind down, and optimize certain businesses, combined with the current strategic realignment, are expected to reduce the workforce by approximately 20%.
CBOE’s 2026 Guidance
Cboe Global expects Organic total net revenue growth to be in the low double-digit to mid-teens range, up from prior guidance of mid-single-digit.
CBOE expects Organic net revenue growth from Data Vantage to be in the low double-digit range, up from prior guidance of mid to high single-digit.
Adjusted operating expenses are projected to be in the range of $838 million to $853 million, down from $864 million to $879 million. This guidance incorporates roughly $20-$25 million of expected savings in 2026 as a result of the additional actions related to the strategic realignment. The guidance excludes the expected amortization of acquired intangible assets of $63 million.
Cboe Global reaffirms that depreciation and amortization expense is expected to be in the range of $56-$60 million, excluding the expected amortization of acquired intangible assets.
CBOE reaffirms the effective tax rate on adjusted earnings is expected to be in the range of 27.5% to 29.5%.
CBOE reaffirms that capital expenditures for 2026 are expected to be in the range of $73-$83 million.
Zacks Rank
CBOE currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Performance of Other Industry Players
Intercontinental Exchange Inc. (ICE - Free Report) delivered adjusted earnings of $2.35 per share for the first quarter of 2026, beating the Zacks Consensus Estimate by 3.52%. The bottom line increased 37% year over year. ICE generated revenues, less transaction-based expenses, of $2.98 billion, up 20.4% from the year-ago quarter and ahead of the consensus mark by 3.25%.
Transaction revenues, net, surged 34% to $1.7 billion, reflecting strong activity across key markets. The Exchanges segment produced net revenues of $1.78 billion, up 30% year over year. Energy was the standout performer, with net revenues rising 46% to $814 million, while Financials climbed 65% to $256 million. Agriculture and Metals improved 26% to $81 million, and cash equities and equity options were up 3% to $123 million. Data and connectivity services also supported the mix, increasing 13% to $277 million.
Nasdaq, Inc. (NDAQ - Free Report) posted non-GAAP earnings of 96 cents per share for the first quarter of fiscal 2026, up 22% from 79 cents a year ago. The figure beat the Zacks Consensus Estimate by 3.23%. Net revenues came in at $1.407 billion, up 13.7% year over year. Revenues topped the Zacks Consensus Estimate of $1.367 billion by 2.9%. The quarter was powered by double-digit growth across the company’s three divisions, alongside continued expansion in recurring revenues.
The Nasdaq stock market welcomed 176 new company listings in the first quarter of 2026, including 63 initial public offerings. The number of listed companies was 4,570 at the end of the quarter. Solutions revenues reached $1.082 billion, up 14% on both a reported and organic basis, showing that demand remained solid across Nasdaq’s higher-value, recurring businesses. Within Capital Access Platforms, revenues rose to $565 million, supported by gains across Data and Listing Services, Index and Workflow and Insights.
CME Group Inc. (CME - Free Report) delivered first-quarter 2026 adjusted earnings per share of $3.36, up 20% from the year-ago quarter’s $2.80. The bottom line was just shy of the Zacks Consensus Estimate of $3.37, a miss of 0.3%. Revenues rose 14% year over year to $1.9 billion but missed the consensus mark of $1.914 billion by 1.8%. The quarter’s standout driver was heavier client activity, with average daily volume (ADV) reaching 36.2 million contracts, up 22% from first-quarter 2025.
CME’s revenue growth was led by clearing and transaction fees, which climbed to $1,542.6 million in the first quarter of 2026 from $1,337.3 million a year ago. CME Group also posted solid growth in market data and information services, with revenues rising to $224.1 million from $194.5 million in the year-ago period.