Definitive Analysis
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Cboe Global Markets, Inc. (0HQN.L)

Company Dividend Discount ModelIndustry: Financial - DiversifiedSector: Financial Services

Valuation Snapshot

Stable Growth$219.02 - $581.00$334.90
Multi-Stage$149.22 - $163.07$156.02
Blended Fair Value$245.46
Current Price$244.67
Upside0.32%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS10.70%14.05%2.372.131.991.841.621.431.241.120.750.70
YoY Growth--11.59%6.73%8.33%13.31%13.73%15.12%10.33%50.45%6.95%9.55%
Dividend Yield--1.06%1.17%1.49%1.62%1.61%1.56%1.28%1.00%0.56%0.53%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)980.60
(-) Cash Dividends Paid (M)199.20
(=) Cash Retained (M)781.40
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)196.12122.5873.55
Cash Retained (M)781.40781.40781.40
(-) Cash Required (M)-196.12-122.58-73.55
(=) Excess Retained (M)585.28658.83707.86
(/) Shares Outstanding (M)105.03105.03105.03
(=) Excess Retained per Share5.576.276.74
LTM Dividend per Share1.901.901.90
(+) Excess Retained per Share5.576.276.74
(=) Adjusted Dividend7.478.178.64
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Fair Value$219.02$334.90$581.00
Upside / Downside-10.48%36.88%137.46%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)980.601,044.341,112.221,184.521,261.511,343.511,383.81
Payout Ratio20.31%34.25%48.19%62.13%76.06%90.00%92.50%
Projected Dividends (M)199.20357.70535.96735.89959.541,209.161,280.03

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)324.79327.87330.95
Year 2 PV (M)441.88450.30458.79
Year 3 PV (M)550.90566.71582.82
Year 4 PV (M)652.24677.32703.12
Year 5 PV (M)746.30782.35819.77
PV of Terminal Value (M)12,955.7313,581.4914,231.21
Equity Value (M)15,671.8316,386.0417,126.67
Shares Outstanding (M)105.03105.03105.03
Fair Value$149.22$156.02$163.07
Upside / Downside-39.01%-36.23%-33.35%

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