A month has gone by since the last earnings report for CME Group (CME). Shares have added about 2.4% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is CME due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent drivers for CME Group Inc. before we dive into how investors and analysts have reacted as of late.
CME Group Q3 Earnings Surpass Estimates, Revenues Decline Y/Y
CME Group reported third-quarter 2025 adjusted earnings per share of $2.68, which beat the Zacks Consensus Estimate by 1.9%. The bottom line remains unchanged year over year.
Quarterly results reflected declining revenues due to lower clearing and transaction fees and other, as well as lower trading volumes.
Performance in Detail
CME Group’s revenues of $1.5 billion decreased 2.9% year over year. The year-over-year decrease was primarily due to lower clearing and transaction fees and other factors. The top line matched the Zacks Consensus Estimate.
Total expenses rose 0.8% year over year to $565 million, attributable to higher compensation and benefits, technology, professional fees, and outside services. It exceeded our estimate of $505.6 million.
Operating income decreased 5% from the prior-year quarter to $972.6 million. Our estimate was $1 billion.
Average daily volume (ADV) was a record 25.3 million contracts, down 10.4% year over year. ADV decreased across Energy, Foreign exchange, Equity indexes, and Interest rates product lines. The total average rate per contract was 70.2 cents.
Financial Update
As of Sept. 30, 2025, CME Group had $3.6 billion of cash and marketable securities, down 8.5% from the 2024-end level. As of Sept. 30, 2025, long-term debt was $3.4 billion, up 27.7% from 2024-end. As of Sept. 30, 2025, CME had shareholders' equity worth $28.2 billion, up 6.4% from the end of 2024.
Capital Deployment
CME Group paid out $3.5 billion in dividends during the first nine months of 2025, taking the payout to $29.5 billion since the implementation of the variable dividend policy in early 2012.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a flat trend in fresh estimates.
VGM Scores
Currently, CME has a poor Growth Score of F, however its Momentum Score is doing a lot better with a B. However, the stock has a score of D on the value side, putting it in the bottom 40% for value investors.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
CME has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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CME Group Inc. (CME): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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