Goldman Sachs Boosts CBOE Holdings Rating on Attractive Valuation
Goldman Sachs has upgraded CBOE Holdings' stock rating from Sell to Neutral. The firm's analyst, Alexander Blostein, believes that the current valuation of CBOE is attractive due to its undervalued status relative to its Fair Value. According to InvestingPro data, the company's PEG ratio is just 0.42, indicating compelling value relative to growth prospects.
The upgrade comes after a significant rally in CBOE's shares, which have risen by 44.6% since Goldman Sachs added them to their Americas Sell List. This outperforms the overall market, which has gained 28.1%. The firm cites better-than-expected volume trends within CBOE's SPX complex as retail activity accelerated over the past few years.
CBOE Global Markets recently reported impressive second-quarter 2026 financial results, with adjusted earnings per share reaching $3.56. This surpassed Wall Street's expectations of $3.36 and also exceeded Piper Sandler's estimate of $3.45. The company's net revenue hit a record $732 million, up 25% from the previous year.