Tectonic Advisors LLC Makes New Investment in CME Group Inc. (NASDAQ:CME)

Tectonic Advisors LLC acquired a new stake in CME Group Inc. (NASDAQ:CME) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm acquired 1,387 shares of the financial services provider’s stock, valued at approximately $322,000.

Several other hedge funds have also added to or reduced their stakes in the business. Harbor Capital Advisors Inc. raised its holdings in CME Group by 0.6% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 7,810 shares of the financial services provider’s stock valued at $1,723,000 after buying an additional 45 shares during the last quarter. CVA Family Office LLC boosted its stake in CME Group by 11.8% during the third quarter. CVA Family Office LLC now owns 436 shares of the financial services provider’s stock worth $96,000 after acquiring an additional 46 shares in the last quarter. Waldron Private Wealth LLC grew its stake in shares of CME Group by 2.0% in the 4th quarter. Waldron Private Wealth LLC now owns 2,362 shares of the financial services provider’s stock valued at $549,000 after buying an additional 47 shares during the period. First Affirmative Financial Network increased its holdings in shares of CME Group by 2.3% during the fourth quarter. First Affirmative Financial Network now owns 2,141 shares of the financial services provider’s stock valued at $497,000 after acquiring an additional 49 shares in the last quarter. Finally, Mather Group LLC. raised its holdings in CME Group by 3.5% during the fourth quarter. Mather Group LLC. now owns 1,439 shares of the financial services provider’s stock worth $334,000 after buying an additional 49 shares during the last quarter. Institutional investors and hedge funds own 87.75% of the company’s stock.

CME Group Stock Performance

NASDAQ:CME opened at $244.41 on Friday. CME Group Inc. has a twelve month low of $190.70 and a twelve month high of $249.02. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 0.09. The firm’s fifty day simple moving average is $235.20 and its 200 day simple moving average is $223.49. The stock has a market cap of $88.08 billion, a P/E ratio of 25.70, a price-to-earnings-growth ratio of 5.37 and a beta of 0.57.

CME Group announced that its board has approved a share buyback plan on Thursday, December 5th that permits the company to buyback $3.00 billion in outstanding shares. This buyback authorization permits the financial services provider to reacquire up to 3.4% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s leadership believes its stock is undervalued.

CME Group Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, March 26th. Investors of record on Friday, March 7th will be paid a $1.25 dividend. This represents a $5.00 annualized dividend and a dividend yield of 2.05%. This is an increase from CME Group’s previous quarterly dividend of $1.15. CME Group’s dividend payout ratio is presently 48.37%.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on the stock. Barclays upped their price objective on shares of CME Group from $231.00 to $257.00 and gave the stock an “equal weight” rating in a research report on Monday, December 9th. Deutsche Bank Aktiengesellschaft dropped their target price on CME Group from $227.00 to $226.00 and set a “hold” rating on the stock in a research report on Monday, November 11th. Royal Bank of Canada reaffirmed a “sector perform” rating and set a $235.00 price objective on shares of CME Group in a research note on Monday, January 6th. Citigroup cut CME Group from a “buy” rating to a “neutral” rating and lowered their price target for the company from $255.00 to $250.00 in a report on Monday, January 6th. Finally, Keefe, Bruyette & Woods dropped their price objective on shares of CME Group from $260.00 to $256.00 and set a “market perform” rating for the company in a report on Monday, January 13th. Four analysts have rated the stock with a sell rating, eight have given a hold rating and three have given a buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $229.27.

CME Group Profile

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.