CBOE

Cboe Global Markets, Inc.

Next est. report 2026-10-30 · BMO

Alt & Market Data '24: Market DataBrokerages & Exchanges '26: Global Exchange OperatorsBrokerages & Exchanges '26: Options & Retail DerivativesData Owners '25: Financial Markets & Risk Info

Loading…

Loading chart…

Overview

Cboe Global Markets operates global financial exchanges, offering platforms for options, equities, futures, and foreign exchange. It provides trading for market

Cboe Global Markets operates global financial exchanges, offering platforms for options, equities, futures, and foreign exchange. It provides trading for market indices, stocks, and exchange-traded products to institutional and retail clients. The company is experiencing strong growth across its derivatives, cash, and data segments, expanding with new products like Cboe Predicts and company-specific performance contracts.

Search Keywords Brand Product

SPX options
VIX options
0DTE options
Cboe Predicts
XSP binaries
Mini-SPX options
Cboe Clear U.S.
Cboe Data Vantage
options trading
retail derivatives
financial exchanges
market data
prediction markets
event contracts
equity trading
futures trading
foreign exchange trading
clearing services

Search Keywords Event Phrases

Cboe Q2 earnings 2026
Cboe KPI contracts launch

Search Keywords Policy Regulatory

pattern day trader rule
SEC approval
CFTC regulations

What They Do (Plain English & Analogies): Cboe Global Markets is like a global marketplace for buying and selling different financial products. Think of it as a huge, sophisticated shopping mall for investors. They operate various "stores" (exchanges) where people can trade things like company stocks (equities), contracts that let you buy or sell something at a future price (options and futures), and foreign currencies (FX). They are especially known for their options trading, which are like insurance policies or bets on how a stock or index will move, allowing investors to manage risk or speculate. They also provide valuable data and insights, like a market research firm within the mall, helping traders make informed decisions. They are expanding into "event contracts," which are simpler ways for people to bet on specific outcomes, like whether a company's earnings will hit a certain target.
Very Brief History: Cboe Global Markets, Inc. originated in Chicago, Illinois, in 1973, initially operating as CBOE Holdings, Inc. It rebranded to Cboe Global Markets, Inc. in October 2017. Over the decades, it has grown into a global operator of financial exchanges, expanding its offerings beyond options to include equities, futures, and foreign exchange, largely through strategic partnerships and acquisitions.
"Street Stereotype": Cboe is generally perceived as the "cleanest public options-exchange pure play". It is strongly associated with U.S. listed options and volatility trading, particularly benefiting from the growth of 0DTE (zero days to expiration) options and its proprietary SPX/VIX ecosystem. The company is seen as a key infrastructure beneficiary of rising derivatives volumes, especially in the retail segment.
Subsidiaries On Linked In*: Cboe Global Markets — Main company page; LinkedIn: cboe-global-markets
Cboe Europe — LinkedIn: cboe-europe
Cboe Digital — LinkedIn: cboe-digital
Cboe Clear Europe — LinkedIn: cboe-clear-europe
Cboe FX — LinkedIn: cboe-fx
Cboe Options Institute — LinkedIn: cboe-options-institute
Cboe Clear U.S. — Mentioned in transcript as being built out
Cboe Canada — In process of being sold; LinkedIn: cboe-canada
Cboe Australia — In process of being sold, expected Q3 close 2026; LinkedIn: cboe-australia
Customer Sectors & Example Clients: Cboe's customers span various sectors within the financial industry, including: * **Retail Investors:** Individuals trading options, equities, and new event contracts. * **Institutional Investors:** Large funds, asset managers, and corporations using derivatives for hedging, income generation, and portfolio management. * **Broker-Dealers:** Firms that provide trading platforms and services to retail and institutional clients. Examples mentioned in the transcript include Schwab, Robinhood, Webull, and tastytrade. * **Futures Commission Merchants (FCMs):** Firms that clear futures and options trades. * **Market Makers and Liquidity Providers:** Firms that provide continuous bid and ask prices to facilitate trading. * **Global Banks:** For foreign exchange trading and clearing services.
New Customers / Segments They'Re Targeting: Cboe is actively targeting a broader set of investors, particularly **retail investors**, by developing simpler, intuitive products that appeal to those who might find traditional markets complex. They aim to draw these new traders into basic risk management concepts, eventually progressing them to more sophisticated strategies like options spread trading. A key focus is the **event and prediction market space**, with products like Cboe Predicts (binary options on Mini-S&P 500 Index) and proposed company-specific KPI (Key Performance Indicator) contracts. These products are designed to meet demand for simple outcome-based ways to engage with markets.
Supply Chain And Sourcing Geographies: Cboe Global Markets primarily operates as a financial exchange and market data provider, meaning its "products" are largely intangible services, trading platforms, and data. Therefore, it does not have a traditional physical supply chain for manufacturing goods or sourcing components in the conventional sense. Its "sourcing" would involve technology infrastructure (servers, networking equipment), software development, and human capital. The transcript mentions "opportunistically pulled forward hardware purchases for future service to lock in lower costs ahead of rising inflationary pressure in the space," indicating some hardware procurement, but no specific geographies are mentioned for this sourcing. Given the global nature of technology, these would likely be sourced from major technology hubs globally, but this is an educated guess rather than a direct statement from the transcript.
Sales Geographies And Expansion Plans: Cboe currently operates and sells its services across several key geographies: * **North America:** With a strong presence in U.S. equities and options markets. * **Europe:** Offering pan-European listed equities and derivatives, ETPs, exchange-traded commodities, and international depository receipts. * **Asia-Pacific (APAC):** With operations in the region, though Cboe Australia is being sold. The transcript notes strong international demand for Data Vantage, with 50% of Q2 sales coming from outside the U.S., and specific success in expanding broker relationships in Korea. * **Global FX:** Serving institutional foreign exchange trading worldwide. **Expansion Plans:** Cboe plans to expand cash equities trading to a "23 by five basis" (23 hours a day, five days a week) by December 2026, pending industry readiness, with an eventual goal of 24/7 trading. They are also expanding their global derivatives franchise, including the event and prediction market build-out, supported by continued investment in global clearing capabilities, particularly Cboe Clear U.S.
How Key Themes May Help/Hurt: The primary focus theme "Brokerages & Exchanges '26: Options & Retail Derivatives" is highly beneficial for Cboe. * **Help:** * **Direct Beneficiary of Options Growth:** Cboe is positioned as the "cleanest public options-exchange pure play" and directly benefits from the secular rise in options trading, including the rapid growth of 0DTE and index options. * **Increased Retail Engagement:** The growing role of retail investors globally, particularly with the repeal of the pattern day trader rule, is a significant tailwind for Cboe's options volumes, especially in products like SPX 0DTE and Mini-SPX. * **Innovation in Derivatives:** Cboe's strategic focus on expanding its derivatives franchise into event and prediction markets (Cboe Predicts, company KPI contracts) directly aligns with the theme, attracting new retail participants and potentially sophisticated strategies. * **Data Vantage Growth:** Increased trading activity in options and derivatives drives demand for Cboe's market data and access services, contributing to Data Vantage revenue growth. * **Global Expansion:** The theme's global nature supports Cboe's efforts to expand its derivatives offerings and customer base internationally, as seen in APAC and EMEA demand. * **Hurt:** * **Competition from Vertically Integrated Models:** While Cboe emphasizes its open, all-to-all market structure, the emergence of vertically integrated brokerage models with their own contracts could pose a competitive challenge, particularly at lower scales or in specific niches. * **Regulatory Scrutiny:** Rapid innovation in retail derivatives and prediction markets could attract increased regulatory scrutiny, potentially delaying product launches or imposing new restrictions. Cboe's emphasis on SEC oversight aims to mitigate this. * **Market Volatility Dependence:** While options thrive in volatile markets, a prolonged period of low volatility or reduced economic uncertainty could temper some of the extreme growth rates seen in options trading.

3 Main Long-Term Bull Details

Dominance in U.S. Equity Derivatives & Proprietary Products: Cboe is at the center of the dominant U.S. equity marketplace, with its proprietary SPX options ADV growing roughly 30% annually since 2021. The S&P 500 is benchmarked to over $20 trillion globally, providing a strong foundation for its index options business.
Secular Growth in Options Trading & Retail Engagement: U.S. options are one of the fastest-growing asset classes, on pace for a seventh straight record year in 2026, with daily volume averaging nearly 71 million contracts. This growth is fueled by increased retail participation, especially following the repeal of the pattern day trader rule, and Cboe's commitment to investor education and access.
Strategic Expansion into Event/Prediction Markets & Global Clearing: Cboe is building the "next chapter of growth" through a suite of solutions in the event and prediction market space, launching Cboe Predicts and filing for company-specific KPI contracts. This is enabled by significant investment in global clearing capabilities (Cboe Clear U.S.), allowing for product innovation and vertical integration.

3 Main Long-Term Bear Details

Regulatory Uncertainty for New Products: While Cboe emphasizes its regulated approach, the approval and adoption of novel products like company-specific KPI contracts remain subject to regulatory approval (SEC) and potential industry commentary, which could delay or alter their market introduction.
Intensifying Competition in Derivatives and Data: The derivatives market is highly competitive, with other exchanges and platforms constantly innovating. Additionally, the Data Vantage business, while growing, faces competition from other financial data providers.
Dependence on Market Activity & Economic Conditions: Cboe's revenue is significantly tied to trading volumes and market volatility. While options can thrive in various market cycles, a sustained period of extremely low volatility or a significant downturn in retail trading enthusiasm could negatively impact transaction and clearing fees.

Competitors And Differentiation: Cboe operates in a competitive landscape with other major financial exchange operators and trading platforms. * **Competitors:** * **Other Exchanges:** For equities, options, futures, and FX, this includes major players like CME Group, Intercontinental Exchange (NYSE), and Nasdaq. * **Prediction Market Platforms:** Other existing event contracts and prediction markets, though Cboe emphasizes its regulated securities product structure as a differentiator. * **Brokerage Platforms:** While often partners, some vertically integrated brokerage platforms could be seen as competitors if they develop their own proprietary contracts or clearing. * **OCC (Options Clearing Corporation):** While a partner for existing equity options clearing, Cboe's build-out of Cboe Clear U.S. for new products like KPIs indicates a complementary, but potentially competitive, clearing capability. * **Differentiation:** * **Proprietary Products:** Cboe's strong proprietary index options franchise, including SPX and VIX options, is a significant differentiator. * **Regulatory Foundation:** For new products like company-specific KPI contracts, Cboe firmly believes these are securities products that should be overseen by the SEC and built within a framework of transparency and investor protection, which Cboe has helped shape for over 50 years. This regulatory rigor is a key competitive advantage against less regulated prediction markets. * **Trusted Market Infrastructure and Deep Liquidity:** Cboe leverages its established infrastructure and liquidity to develop new, intuitive products. * **Defined Risk Options:** Cboe highlights that its options offer a distinct risk and return profile compared to linear derivatives, allowing investors to define maximum loss upfront while participating in upside. The vast majority of 0DTE options trading happens in capped-risk structures. * **Global Clearing Capabilities:** Investment in Cboe Clear U.S. allows Cboe to innovate in options and expand futures offerings with a vertically integrated stack of trading and clearing, complementing its partnership with OCC. * **Education:** Cboe pioneered options education through its Options Institute, which continues to see strong demand.
Recent Performance & What The Market'S Focused On: Cboe delivered a strong second quarter in 2026, achieving record net revenue of $732 million, up 25% year-over-year, and robust adjusted diluted EPS of $3.56, increasing 45%. This performance was broad-based, with double-digit net revenue growth across all major categories and all five company segments. The company updated its 2026 financial guidance, increasing its total organic net revenue growth outlook to the mid-to-high teens range, despite the planned sale of Cboe Australia. CapEx guidance was increased due to investments in clearing infrastructure and hardware. The market is currently focused on: * **New Product Launches:** The progress and adoption of Cboe Predicts and the regulatory approval and launch of company-specific KPI event contracts. * **Clearing Capabilities:** The build-out of Cboe Clear U.S. and its impact on product innovation and capital requirements for clearing members. * **Retail Engagement & Options Growth:** The sustained strong growth in retail options trading, particularly 0DTE, and the impact of the repeal of the pattern day trader rule. * **Global Expansion of Trading Hours:** The planned expansion of cash equities trading to 23x5 and eventually 24/7.

Revenue Segments And Estimated Mix: Derivatives (Category) — Mix: ~56.4%; Source: Q2 2026 earnings call, $413M out of $732M total net revenue; Trend: Up 30% year-over-year
Options (Segment) — Mix: Largest component of Derivatives; Source: Q2 2026 earnings call; Trend: Net revenue up 30% year-over-year, driven by 33% increase in net transaction and clearing fees
North American Equities — Mix: n/m; Source: Q2 2026 earnings call; Trend: Net revenue up 17% year-over-year
Europe and Asia-Pacific — Mix: n/m; Source: Q2 2026 earnings call; Trend: Net revenue up 20% year-over-year (18% on a constant currency basis)
Futures — Mix: Smaller component of Derivatives; Source: Q2 2026 earnings call; Trend: Net revenue up 2% year-over-year
Global FX — Mix: n/m; Source: Q2 2026 earnings call; Trend: Net revenue up 17% year-over-year
Data Vantage — Mix: n/m; Source: Q2 2026 earnings call; Trend: Net revenue up 15% year-over-year
Product Brands: SPX options
SPX 0DTE options
Mini-SPX options
Cboe Predicts
XSP binaries
VIX Index
Cboe Global Indices
Cboe Clear U.S.

Bull / Bear Details

Cboe Global Markets maintains a compelling long thesis as of 2026-08-29, driven by its dominant position in U.S. options, particularly the SPX/VIX ecosystem and

Thesis

Cboe Global Markets maintains a compelling long thesis as of 2026-08-29, driven by its dominant position in U.S. options, particularly the SPX/VIX ecosystem and 0DTE products, which continue to see record retail and institutional engagement. Strategic expansion into event/prediction markets and global clearing, alongside robust Data Vantage growth and extended cash equities trading, positions Cboe to capitalize on powerful secular trends in derivatives and retail participation.

Bull case

Cboe's derivatives business, especially proprietary index options like SPX and 0DTE, continues to exhibit exceptional growth, with SPX option volumes up 40% year-over-year and 0DTE ADV increasing 11% month-over-month in June 2026. The repeal of the pattern day trader rule has significantly boosted retail engagement, making it easier for smaller accounts to trade more frequently, driving higher volumes and broader participation across Cboe's options products.
Cboe is actively expanding its product suite into high-growth areas, including the launch of Cboe Predicts (binary options on Mini-S&P 500) and the filing to list company-specific KPI event contracts. These initiatives, supported by investments in global clearing capabilities (Cboe Clear U.S.), aim to attract a broader investor base and define new chapters of growth. Additionally, the planned expansion of cash equities trading to 23x5 hours will enhance market access and liquidity.
The Data Vantage segment consistently delivers strong performance, with net revenue increasing 15% year-over-year, driven by new subscriptions and strong international demand. This growth reflects Cboe's ability to monetize its proprietary market data and access services globally, leveraging its extensive network and diverse product offerings to meet customer needs across different regions, further diversifying revenue streams.

Bear case

The success of new initiatives like company-specific KPI event contracts is contingent on regulatory approval from the SEC, which, while progressing, introduces uncertainty regarding launch timing and scope. Furthermore, while Cboe emphasizes its open, centrally cleared model, the emergence of vertically integrated, closed silo systems in the broader event/prediction market space could present competitive challenges, potentially impacting adoption and pricing.
Despite strong performance, Cboe's trading volumes and revenue are inherently linked to overall market activity and volatility. While options thrive in uncertain environments, a sustained period of low volatility or significant economic downturn could temper trading volumes across its derivatives and cash markets. Management noted share price volatility in Q2 2026, highlighting market sensitivity.
Cboe is undertaking significant strategic investments, including building out global clearing infrastructure and expanding trading hours. These complex initiatives carry execution risks related to technology implementation, operational readiness, and market adoption. While management is confident, any delays or underperformance in these areas could impact projected growth and profitability, potentially increasing capital expenditure.

Bull / Bear Case

Bear Case: Cboe faces notable risks, including regulatory uncertainty surrounding new initiatives like company-specific KPI event contracts, which could delay or alter their market introduction and adoption. While Cboe champions its open, centrally cleared model, the emergence of vertically integrated, closed silo systems in the broader event/prediction market space presents competitive challenges that could impact adoption and pricing. The company's revenue remains inherently linked to overall market activity and volatility; a sustained period of low volatility or a significant economic downturn could temper trading volumes across its derivatives and cash markets. Additionally, significant strategic investments in global clearing infrastructure and extended trading hours carry execution risks related to technology implementation, operational readiness, and market acceptance, potentially impacting projected growth and profitability.
Bull Case: Cboe Global Markets is positioned for continued strong growth, driven by its dominant derivatives business, particularly proprietary index options like SPX and 0DTE, which saw SPX option volumes up 40% year-over-year and 0DTE ADV increasing 11% month-over-month in June 2026. The repeal of the pattern day trader rule has significantly boosted retail engagement, fostering higher volumes and broader participation. Strategic expansion into high-growth areas such as Cboe Predicts and company-specific KPI event contracts, supported by investments in global clearing capabilities (Cboe Clear U.S.), aims to attract a wider investor base. Furthermore, the planned expansion of cash equities trading to 23x5 hours will enhance market access and liquidity, while the Data Vantage segment consistently delivers strong performance with 15% net revenue growth year-over-year, diversifying revenue streams and leveraging global demand.
More Compelling & Why: The Bull Case is more compelling. Cboe's current P/E ratio of approximately 24.2x is below its 10-year historical average of 30.84x, suggesting it is reasonably valued given its strong growth trajectory. The most compelling argument is the exceptional growth in its derivatives business, particularly proprietary index options and 0DTE, fueled by increased retail engagement and strategic product expansion into event/prediction markets. This is further supported by robust overall revenue and EPS growth. My view would flip if regulatory approvals for key new products are significantly delayed or rejected, or if retail trading volumes experience a sustained, material decline, impacting core derivatives revenue.

Key Factors5 rows

Key Factor	Why It Matters	What To Watch	What It Signals	Where/How To Track	Free Alt Data	Paid Alt Data
Sustained organic net revenue growth in the Data Vantage segment	Data Vantage is a high-margin business with strong international demand, contributing significantly to overall revenue and profitability. Continued double-digit growth indicates successful product innovation and market penetration.	Quarterly reported organic net revenue growth rate for Data Vantage. New subscription and unit sales trends, particularly from international customers.	Bullish if Data Vantage organic net revenue growth continues to be in the low teens or higher, exceeding updated 2026 guidance.	Cboe Global Markets quarterly earnings reports, investor presentations, and earnings call transcripts.		SimilarWeb: Cboe website traffic and engagement as a proxy for interest in data products.
SEC approval for listing company-specific KPI event contracts and their subsequent launch	This new product category expands Cboe's derivatives franchise into event and prediction markets, which management views as a key future growth driver and a 'next chapter of growth' for the company.	Official SEC announcement regarding approval of the filing for company-specific KPI event contracts. Confirmation of launch date (targeted H2 September/early October 2026).	Bullish if SEC approval is received by the targeted H2 September/early October 2026 timeframe, enabling the product launch as planned.	SEC website (filings and announcements), Cboe Global Markets press releases, investor relations website, and subsequent earnings calls.	Financial news wires (e.g., Reuters, Bloomberg) for regulatory news, industry forums discussing new product launches.	Bloomberg Terminal: Regulatory news and company announcements.
Cboe Clear U.S. achieving full registration with the SEC as a covered clearing agency	Enhanced clearing capabilities are crucial for Cboe to innovate and expand its derivatives and cash equities offerings, reducing capital requirements for clearing members and supporting new product development.	Updates on the 18-month timeline for full SEC registration following the temporary registration application. Any official announcements from the SEC or Cboe regarding the status.	Bullish if Cboe Clear U.S. achieves full SEC registration within or ahead of the 18-month target, confirming its ability to support broader product innovation and market expansion.	Cboe Global Markets earnings calls, investor presentations, SEC filings (e.g., Form 8-K for significant events), and press releases.	SEC website for regulatory updates on clearing agencies.
Average Daily Volume (ADV) of SPX 0DTE Options and overall Index Options	Cboe's proprietary index options and 0DTE products are core revenue drivers. Sustained growth indicates strong retail and institutional engagement, directly impacting transaction and clearing fees and confirming the 'Options & Retail Derivatives' thesis.	Monitor month-over-month percentage change in SPX 0DTE ADV and year-over-year percentage change in overall Index Options ADV. Also, track the estimated retail share of SPX 0DTE volume.	Bullish if SPX 0DTE ADV continues to increase month-over-month (e.g., >10% M/M) and retail share remains elevated (>55%). Bullish if overall Index Options ADV growth remains strong (>30% Y/Y).	Cboe Global Markets monthly volume reports (typically released early in the following month), quarterly earnings calls, and investor presentations.	Cboe's own website for daily/monthly volume statistics, financial news outlets reporting on options market trends.	OptionMetrics: Historical and real-time options data, including volume and open interest by product.
Successful launch of 23x5 cash equities trading in December 2026	Extending trading hours provides greater flexibility and liquidity for investors, potentially increasing transaction volumes and market share for Cboe's North American Equities segment, aligning with evolving market structure.	Official confirmation from Cboe regarding the December 2026 launch of 23x5 trading, industry readiness updates, and initial trading volumes/market share in the extended hours.	Bullish if the 23x5 trading is launched as planned in December 2026 and shows early signs of strong market participant adoption and increased liquidity.	Cboe Global Markets press releases, investor presentations, industry news outlets covering market structure changes, and subsequent earnings calls.	Cboe's own website for market data on extended trading hours (post-launch), financial news reporting on market structure changes.	IHS Markit: Equity market transaction data, including volume and market share by exchange.

Key Reported Metrics, Reratings Triggers & Results3 rows

Index options, especially SPX and 0DTE, are a key driver of Cboe's derivatives success. High ADV indicates strong trading activity, liquidity, and retail partic

Upcoming print · 2026-10-30

Key reported metrics
Metric	Last period	Why it matters
Index Options Average Daily Volume (ADV)	32%	Index options, especially SPX and 0DTE, are a key driver of Cboe's derivatives success. High ADV indicates strong trading activity, liquidity, and retail participation, directly impacting transaction fees.
Data Vantage Net Revenue	15%	This segment provides diversified, high-margin revenue through market data and access services, with strong international demand. Its consistent growth contributes to overall profitability and stability.
Derivatives Net Revenue	30%	This is Cboe's largest and fastest-growing segment, driven by proprietary index options and retail engagement. Continued strong growth signals sustained market demand and effective product innovation.

Key Questions

Can Cboe successfully launch its company-specific KPI event contracts by early Q4 2026, and will these new products demonstrate early signs of strong retail ado

Can Cboe successfully launch its company-specific KPI event contracts by early Q4 2026, and will these new products demonstrate early signs of strong retail adoption and contribute meaningfully to derivatives volume growth, validating the company's 'next chapter of growth' strategy?

Question 2: Will Cboe sustain its updated mid-to-high teens organic net revenue growth guidance for 2026, driven by continued strong performance in its core derivatives business (especially index options and 0DTE) and sustained retail investor engagement following the pattern day trader rule repeal?
Question 3: How quickly will Cboe Clear U.S. progress towards full SEC registration as a covered clearing agency, and will the planned December 2026 launch of 23x5 cash equities trading successfully expand market access and liquidity, reinforcing Cboe's competitive position in evolving market structures?

Earnings Transcript SummaryTable

2026-07-31 · 2026Q2 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
3 Things Management Is Most Focused On1. Expanding the Derivatives Franchise, particularly Event and Prediction Markets: Management is heavily focused on building out a suite of solutions in the event and prediction market space, exemplified by the launch of Cboe Predicts and the filing to list company-specific KPI products. They believe this will define the next chapter of growth and appeal to a broader set of investors. They are also investing in global clearing capabilities (Cboe Clear U.S.) to enable this expansion. 2. Enhancing Cash Equities Trading Capabilities: Cboe is focused on expanding cash equities trading to a 23x5 basis, with an eye toward 24/7 over time, to offer investors greater flexibility and access to liquidity. They are also supportive of the proposed rescission of Rule 611 to reshape market structure. 3. Leveraging Secular Trends and Strategic Repositioning: Management emphasized repositioning Cboe to align with powerful secular trends: the dominance of the U.S. equity marketplace, the growing role of retail investors globally, and the secular rise in options trading. They are focused on turning these trends into long-term shareholder growth through continued investment in core businesses and high-growth potential areas.	Call Takeaway & ToneThe overall takeaway from the call is that Cboe Global Markets delivered a strong second quarter with record net revenue and adjusted earnings, driven by broad-based growth across all major segments, particularly derivatives. The tone was highly positive and confident, with management emphasizing the company's strong execution, strategic repositioning, and significant growth opportunities ahead. Key themes included the continued strength of the derivatives franchise, the expansion into event and prediction markets, the evolution of cash equities trading towards extended hours, and the sustained growth of the Data Vantage business. Management expressed excitement about Cboe's future and its position to capitalize on powerful secular trends in the industry.	Prior Quarter'S Y/Y Growth By SegmentIn Q1 2026, Cboe Global Markets reported a 29% year-over-year increase in total net revenue. Derivatives net revenue increased 32% year-over-year. Options net revenue was up 33% year-over-year. Index options ADV surged 29% and multi-listed options ADV grew 4%. Cash and spot markets net revenue climbed 34%. North American Equities net revenue increased 18%. Europe and Asia Pacific net revenue was up 32%. Global FX net revenue increased 38%. Futures net revenue was up 9%. Data Vantage segment posted 19% revenue growth.	3 Things Analysts Most Pressed On (And Mgmt Responses)1. Retail Strength and the Distinction between Options and Perpetual Futures: Analysts questioned the overlap between options and perpetual futures, particularly for retail traders, and the current mix of sophisticated versus less sophisticated retail engagement. Management (Craig Donohue and Rob Hocking) emphasized that options and perpetual futures serve fundamentally different investor needs, with options offering convexity and defined risk exposure, unlike linear derivatives. They highlighted that over 95% of 0DTE options trades are defined risk strategies, with 50-55% being spreads, and view perps as complementary rather than a direct substitute. 2. Company KPI Event Contracts (SEC Approval, Demand, Revenue Impact): Analysts inquired about the progress of SEC approval for company KPI event contracts, market participant demand, target end-users, and any revenue baked into guidance. Management (Rob Hocking and Craig Donohue) stated they are working closely with the SEC, the process is going well, and the comment period for the filing is ending soon. They noted strong inbound demand from retail broker platforms and anticipate adoption to follow a similar path to 0DTE, starting with retail and later involving institutions. Jill Griebenow clarified that no notable revenue from these new products has been incorporated into the current 2026 guidance. 3. Clearing Capabilities and Product Innovation: Analysts asked for more color on products that could be innovated with enhanced clearing capabilities and opportunities for inorganic investments in clearing. Management (Craig Donohue and Scott Johnston) explained that clearing is an enabler for product and market innovation, particularly for introducing new instruments like KPIs that differ from those customarily cleared at OCC. They also mentioned exploring securities finance transactions in Europe and thinking about tokenization and on-chain transactions. They are open to inorganic investments to support innovation but did not provide specific details.	Revenue SegmentsCboe Global Markets reported a 25% year-over-year increase in total net revenue to a record $732 million in Q2 2026. The Derivatives business saw net revenue grow 30% year-over-year to $413 million. Within Derivatives, Options net revenue was up 30% year-over-year, driven by a 33% increase in net transaction and clearing fees. Total options ADV climbed 26%, with index options volume increasing 32% and multi-list options volume up 24%. SPX option volumes increased 40% year-over-year, and Mini-SPX contract ADV surged over 80% year-over-year in Q2. SPX 0DTE ADV increased 11% month-over-month in June. Cash and spot markets net revenue grew 22% year-over-year. Global FX net revenue increased 17% year-over-year. Europe and Asia-Pacific net revenues increased 20% year-over-year (18% on a constant currency basis). North American Equities business delivered record net revenue for the segment, with net transaction and clearing fees up 37%. Futures net revenue was up 2% from the second quarter of 2025. Data Vantage net revenue increased 15% year-over-year.

Transcript TidbitsTable

2026-07-31

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
About Expanding Eligible MarketCboe is building a suite of solutions in the event and prediction market space, having launched Cboe Predicts, binary options on the Mini-S&P 500 Index, in June. They also filed with the SEC in July to list products tied to company-specific performance metrics, initially focusing on 23 actively traded U.S. companies. The company is expanding cash equities trading to a 23 by five basis, planned for December, with an eye toward 24/7 over time. A key enabler for the expansion of their global derivatives franchise, including event and prediction market build-out, is continued investment in global clearing. Cboe is seeing strong international demand for Data Vantage, with 50% of the quarter's sales coming from customers outside the U.S. They are also expanding their core product set in the APAC and EMEA regions by adding more brokers, citing Korea as a success story.	About CompetitionCboe views options as a fundamentally different tool than linear derivative products like single-stock futures and perpetual futures, offering defined risk and convexity. They believe their proposed company-specific KPI contracts are securities products that should be overseen by the SEC, distinguishing them from other existing event contracts and prediction markets. Cboe emphasizes the value of all-to-all exchange and centrally cleared markets due to network effects, broad-based partnerships, risk offsets, and capital efficiency, which they believe are superior to closed, vertically integrated silo systems for long-term growth and critical mass in financial markets.	About The Broader IndustryThe repeal of the pattern day trader rule has eliminated a friction point, making it easier for smaller retail accounts to trade products like 0DTE more frequently, leading to an immediate increase in SPX 0DTE ADV and estimated retail share. The cash equities business is embracing innovations like extended trading hours, with Cboe supportive of the commission taking a fresh look at market structure through its proposed rescission of Rule 611. The U.S. equity market remains the bedrock of global capital, with market cap surging past $75 trillion in June 2026, and the S&P 500 is central to this dominance. Retail investors are playing a bigger role than ever in the markets, fueled by greater access, tools, and education. U.S. options are one of the fastest-growing asset classes, on pace for a seventh straight record year in 2026, with overall options growth accelerating to over 20% annually since 2019. The company is monitoring the potential for the SEC to move to semi-annual reporting and its possible effects on options usage and retail engagement.	Where Things Are HeadedCboe anticipates the continued adoption of the pattern day trader rules across their broker-dealer partners in the months ahead will be a tailwind for volumes and retail investors alike. They expect many traders using Cboe Predicts to build familiarity and confidence in basic risk management concepts and progress into more sophisticated strategies like options spread trading. Cboe is targeting full registration with the SEC as a covered clearing agency at the end of an 18-month period, subject to regulatory approval. They are targeting a second half of September, early October launch for company-specific KPI event contracts, pending regulatory approval. The company plans to expand cash equities trading to a 23x5 basis in December, pending industry readiness, with an eye toward 24/7 over time. In Data Vantage, Cboe aims to keep bringing new products to market to meet customer data and access needs. The company expects to repay a $650 million debt tranche maturing in the first quarter of 2027 with cash on hand. Cboe is also exploring tokenization and on-chain transactions in financial instruments.	Updates On ThemeOptions	Broader Themes EmergingThe continued dominance of the U.S. equity marketplace, the growing role of retail investors globally, and the secular rise in options trading are identified as powerful secular trends. There is also an emerging theme around tokenization and on-chain transactions in financial instruments.	Bullish-Leaning Quotes (Short)Cboe delivered another quarter of record net revenue and strong adjusted earnings with all of our core businesses continuing to deliver exceptional performance. Adjusted diluted EPS increased a robust 45% to $3.56. We anticipate the continued adoption of the pattern day trader rules across our broker-dealer partners in the months ahead will be a tailwind for volumes and retail investors alike. U.S. options stand out as one of the fastest-growing asset classes on pace for a seventh straight record year in 2026. We're moving into this next phase with speed, conviction, and a clear sense of where we can win.	Bearish-Leaning Quotes (Short)While we recognized that there was meaningful volatility in our share price during the second quarter, the most notable declines occurred in the final weeks of June, a period during which, consistent with standard practice around quarter-end reporting, our ability to transact in the open market is more limited outside of our 10b5-1. Had we had greater flexibility in the open market, we would have welcomed the opportunity to be more aggressive, particularly given what we viewed as a notable discount in the stock.	HiringCboe rounded out its executive leadership team by adding Heidi Fischer as Global Head of Equities and Spot Markets in June.

Upcoming Events2 rows

Catalyst ID	Estimated Timing	Estimated Date Start	Estimated Date End	Catalyst	Why It Matters	Ticker Or Theme Specific	Transcript Date	Source Type
CBOE_8f53a43d	second half of September, early October launch, pending regulatory approval	2026-09-16	2026-10-31	SEC approval and launch of company-specific KPI event contracts, initially focusing on 23 actively traded U.S. companies.	This initiative expands Cboe's derivatives offerings into a new, granular market segment, aiming to attract both retail and institutional investors by providing tools to trade and manage risk around individual company performance metrics, potentially driving new revenue streams.	Ticker	2026-07-31	earnings_transcript
CBOE_63cc0e20	planned for this December, pending industry readiness	2026-12-01	2026-12-31	Expansion of cash equities trading to a 23 by five basis, with an eventual goal of 24/7 trading.	This shift aims to provide investors with greater flexibility to manage risk and access liquidity, potentially boosting trading volumes and market share for Cboe's North American equities business.	Ticker	2026-07-31	earnings_transcript