Market Overview

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

Share:
Related CME
Earnings Scheduled For February 2, 2017
Like 2016, This May Be the Year Of The 'Unexpected'
The Twisted OTC Derivatives Markets: Interest Rate Swaps, Part I (Seeking Alpha)

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
Nov 2016JP MorganDowngradesOverweightNeutral
Oct 2016Deutsche BankMaintainsBuy
Aug 2016JefferiesMaintainsBuy

View More Analyst Ratings for CME
View the Latest Analyst Ratings

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

 

Related Articles (CME)

View Comments and Join the Discussion!