UPDATE: Stifel Nicolaus Downgrades CME Group to Hold on Risk/Reward
Stifel Nicolaus lowered its rating on CME Group (NASDAQ: CME) from Buy to Hold and removed its previous $60 price target.
Stifel Nicolaus noted, "We are downgrading shares of CME Group to Hold from Buy and removing the name from our Income Opportunity List as the shares have closed in on our $60 target price, a level that we believe prices in a near best case scenario from upcoming regulatory and capital return catalysts. Though we remain cautiously optimistic on CME's opportunity to benefit from a potential transition toward standardized products post Dodd-Frank, we expect this to be a gradual shift playing out over the next few years; and the jury is still out on how effectively financial futures can substitute for certain swaps."
CME Group closed at $57.52 on Friday.
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