CME Group (CME) is broadening its long-term growth opportunity with multiple emerging vectors that include single stock and compute futures, 24/7 trading across cryptocurrencies, Treasury Link, and prediction markets, Morgan Stanley said in a Thursday research note.
Building on this, Morgan Stanley said that these initiatives will expand the CME Group's addressable markets and create revenue opportunities that could meaningfully raise estimate revisions and are not currently fully reflected in the company's shares.
Morgan Stanley raised its earnings per share estimates on the company by 1.5% and 1.8% for 2026 and 2027, respectively, and also increased its 2026 adjusted expenses forecast to about $1.71 billion, compared with the company's guidance of about $1.70 billion. Additionally, average daily volume is expected to grow 10.2% in 2026 and 5.7% in 2027.
Morgan Stanley adjusted its price target on the company's stock to $330 from $324 and maintained its overweight rating.
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