Analyst Craig Siegenthaler of Bank of America Securities reiterated a Buy rating on Cboe Global Markets (CBOE – Research Report), with a price target of $251.00.
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Craig Siegenthaler has given his Buy rating due to a combination of factors related to Cboe Global Markets’ strategic initiatives and market positioning. Despite a slower-than-anticipated rollout of Cboe’s index options on Robinhood, Siegenthaler remains optimistic about the long-term potential. The company plans to continue investing in marketing and investor education to increase penetration, and there’s an expectation of adding crypto index options to Robinhood, which could see strong adoption due to existing market demand for crypto products.
Another reason for the Buy rating is the upward revision of earnings per share based on higher quarter-to-date volumes, despite a slight decrease in data revenue projections. Management’s guidance for 2025 indicates a lower compensation growth rate, allowing for reallocation of savings towards capital expenditures, which is seen positively. The price objective has been raised, suggesting a 20% total return potential, reinforcing the buy recommendation based on the secular growth thesis of index options.
In another report released on February 3, Piper Sandler also assigned a Buy rating to the stock with a $220.00 price target.
Based on the recent corporate insider activity of 43 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CBOE in relation to earlier this year.