Arrowstreet Capital Limited Partnership Has $793.38 Million Stock Holdings in CME Group Inc. (NASDAQ:CME)

Arrowstreet Capital Limited Partnership raised its stake in shares of CME Group Inc. (NASDAQ:CME) by 31.5% in the fourth quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 3,416,361 shares of the financial services provider’s stock after buying an additional 819,158 shares during the period. CME Group comprises about 0.6% of Arrowstreet Capital Limited Partnership’s investment portfolio, making the stock its 21st biggest holding. Arrowstreet Capital Limited Partnership owned 0.95% of CME Group worth $793,382,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also modified their holdings of CME. Norges Bank acquired a new position in CME Group in the fourth quarter worth approximately $1,107,389,000. Raymond James Financial Inc. bought a new stake in CME Group in the fourth quarter worth approximately $871,063,000. Franklin Resources Inc. increased its stake in shares of CME Group by 70.4% during the 3rd quarter. Franklin Resources Inc. now owns 2,427,107 shares of the financial services provider’s stock worth $544,157,000 after purchasing an additional 1,003,119 shares during the last quarter. Capital Wealth Planning LLC raised its holdings in shares of CME Group by 69.2% during the 4th quarter. Capital Wealth Planning LLC now owns 2,435,823 shares of the financial services provider’s stock valued at $565,671,000 after purchasing an additional 996,498 shares in the last quarter. Finally, Egerton Capital UK LLP acquired a new stake in shares of CME Group in the 4th quarter valued at $223,967,000. 87.75% of the stock is currently owned by hedge funds and other institutional investors.

CME Group Trading Up 0.1 %

Shares of CME opened at $262.22 on Friday. The stock’s 50-day moving average price is $249.65 and its 200 day moving average price is $235.75. The company has a quick ratio of 1.02, a current ratio of 1.01 and a debt-to-equity ratio of 0.10. The firm has a market capitalization of $94.49 billion, a price-to-earnings ratio of 27.12, a P/E/G ratio of 6.76 and a beta of 0.53. CME Group Inc. has a 12-month low of $190.70 and a 12-month high of $267.91.

CME Group (NASDAQ:CME) last released its quarterly earnings data on Wednesday, February 12th. The financial services provider reported $2.52 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.46 by $0.06. CME Group had a return on equity of 13.62% and a net margin of 57.52%. As a group, research analysts predict that CME Group Inc. will post 10.49 earnings per share for the current year.

CME Group announced that its Board of Directors has approved a stock buyback plan on Thursday, December 5th that permits the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization permits the financial services provider to buy up to 3.4% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its shares are undervalued.

CME Group Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, March 26th. Stockholders of record on Friday, March 7th were issued a dividend of $1.25 per share. This represents a $5.00 dividend on an annualized basis and a dividend yield of 1.91%. This is an increase from CME Group’s previous quarterly dividend of $1.15. The ex-dividend date was Friday, March 7th. CME Group’s dividend payout ratio (DPR) is presently 51.71%.

Insider Activity

In other CME Group news, insider Julie Winkler sold 11,592 shares of the firm’s stock in a transaction dated Thursday, February 13th. The shares were sold at an average price of $249.17, for a total transaction of $2,888,378.64. Following the completion of the transaction, the insider now owns 21,885 shares in the company, valued at $5,453,085.45. This trade represents a 34.63 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, COO Suzanne Sprague sold 1,500 shares of the company’s stock in a transaction that occurred on Monday, March 3rd. The shares were sold at an average price of $256.83, for a total value of $385,245.00. Following the completion of the sale, the chief operating officer now owns 8,036 shares in the company, valued at approximately $2,063,885.88. This represents a 15.73 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 27,076 shares of company stock worth $6,871,496. Corporate insiders own 0.30% of the company’s stock.

Wall Street Analyst Weigh In

Several research firms have weighed in on CME. Morgan Stanley raised their target price on CME Group from $256.00 to $263.00 and gave the company an “equal weight” rating in a report on Wednesday, February 19th. Citigroup cut CME Group from a “buy” rating to a “neutral” rating and decreased their target price for the stock from $255.00 to $250.00 in a research report on Monday, January 6th. Piper Sandler lifted their price target on shares of CME Group from $250.00 to $258.00 and gave the company an “overweight” rating in a research report on Tuesday, January 7th. Oppenheimer upped their price objective on shares of CME Group from $258.00 to $269.00 and gave the stock an “outperform” rating in a report on Thursday, February 13th. Finally, Keefe, Bruyette & Woods lifted their target price on shares of CME Group from $256.00 to $257.00 and gave the stock a “market perform” rating in a report on Friday, February 14th. Four investment analysts have rated the stock with a sell rating, eight have given a hold rating, three have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $238.93.

About CME Group

CME Group Inc, together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. It offers futures and options products based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and metals, as well as fixed income and foreign currency trading services.