CME Group - Comparative Multiple Analysis

CME Group (Comparative Multiple Analysis)

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Improve your investment analysis with by seeing the CME Group's Discounted Cash Flow analysis, CME Group's Warren Buffet analysis, and CME Group's Weighted Average Cost of Capital (WACC) Analysis.

Notes on the Comparative Multiple Analysis of CME Group

WikiWealth compares CME Group's revenue, EBITDA, and EBIT multiples to their peers in order to determine the appropriate fair valuation. Click in the top right corner to experiment with CME Group's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for CME Group.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to CME Group's debt holders.
3. Multiples incorporate benefits due to economies of scale; WikiWealth compares absolute enterprise value multiples to competitor's multiples.
4. WikiWealth excludes outliers when calculating individual company multiples.

Helpful Information for CME Group's Analysis


How does this work? The Comparative Investment Analysis determines the value of CME Group by comparing CME Group financial ratios, prices, growth rates, margins, etc. to those of relevant peer groups.

Value Investing Importance? This method is widely used by investment professionals to determine the correct price of investments, especially initial public offerings (IPOs). It is one element of WikiWealth's three Wall Street approaches used to determine the correct fair value of CME Group.

See the CME Group cash flow (DCF) analysis for a completely different approach that's popular on Wall Street for determining the value of an investment in CME Group.

Also, see the CME Group's buffett intrinsic valuation analysis for WikiWealth's attempt to replicate the investing formula's used by Warren Buffett and CME Group's valuation conclusion for a quick summary.