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UPDATE: JP Morgan Downgrades CME Group to Underweight on Falling Volumes

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JP Morgan reduced its rating on CME Group (NASDAQ: CME) from Neutral to Underweight and reduced its price target from $56.50 to $54.

JP Morgan said, "We see a disconnect between the fundamentals in CME's core business and the price appreciation and valuation of its stock. While we see the opportunities for both OTC clearing revenue and the migration to listed trading for interest rates, we feel that those opportunities could develop over a longer period of time, leaving investors to focus on the market-condition-driven deterioration in volumes. While a special dividend provides support to the stock, we see the potential for downside with limited upside over the next 6-12 months."

CME Group closed at $59.35 on Thursday.

Latest Ratings for CME

DateFirmActionFromTo
Oct 2014CitigroupMaintainsNeutral
Oct 2014Deutsche BankMaintainsBuy
Oct 2014Bank of AmericaMaintainsNeutral

View More Analyst Ratings for CME
View the Latest Analyst Ratings

Posted-In: JP MorganAnalyst Color Downgrades Pre-Market Outlook Analyst Ratings

 

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