CME Downgraded to “Sell” at Goldman Sachs (CME)
Goldman Sachs reported on Monday that they have downgraded electronic trading exchange, CME Group Inc( CME ) to a "Sell."
The firm reported that they have downgraded CME from "Neutral" to "Sell," and have decreased its price target from $53 to $48. This price target suggests a 14.5% decline from the stock's current price of $54.96.
Analysts see the company starting to focus less on dividends, and more on weak fundamentals. The firm believes that EPS will drop; and also noted company's valuation is stretched due to their change in dividend policies.
CME Group shares were down 99 cents, or -1.80% during premarket trading Monday. The stock is up 12% YTD.
The Bottom Line
Shares of CME Group ( CME ) have a 3.28% dividend yield, based on Friday's closing stock price of $54.96. The stock has technical support in the $50-$52 price area. If the shares can firm up, we see overhead resistance around the $58-$59 price levels.
CME Group Inc( CME ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.