Cboe Global Markets Delivers Record Quarter, Raises 2026 Revenue Guidance
Exchange operator posts 50% EPS growth and 25% revenue increase, driven by surge in index options trading and data services.
Record Revenue Drives Strong Quarter
Cboe Global Markets, Inc. reported diluted earnings per share of $3.35 for the second quarter of 2026, representing a 50% increase year-over-year, according to an 8-K filing released July 31, 2026. The exchange operator posted record net revenue of $731.6 million, up 25% from the prior-year period, with adjusted diluted EPS reaching $3.56, a 45% increase (8-K filing, 2026-07-31).
The strong performance prompted the Chicago-based company to raise its 2026 organic total net revenue growth target to "mid to high teens" from "low double-digit to mid teens," while reaffirming adjusted operating expense guidance of $838 million to $853 million (8-K filing, 2026-07-31).
"We're investing in opportunities that will define Cboe's future. Whether it's expanding event contracts, growing Cboe Clear U.S., or advancing around-the-clock access to our markets, we're executing with speed and discipline," said CEO Craig Donohue in the filing (8-K filing, 2026-07-31).
Options Business Reaches New Heights
The Options segment delivered record net revenue of $473.9 million, up $109.1 million or 30% from the second quarter of 2025. The growth was fueled by a 26% increase in total options average daily volume and a 6% increase in revenue per contract. Index options average daily volume surged 32%, while multi-listed options ADV rose 24% (8-K filing, 2026-07-31).
Market share for Cboe's options exchanges remained essentially flat at 30.0%, down slightly from 30.2% in the year-ago period (8-K filing, 2026-07-31).
Strength Across Segments
North American Equities posted record net revenue of $114.7 million, up 17%, driven by higher industry volumes and improved net capture rates. However, U.S. equities on-exchange market share declined to 9.4% from 10.5%, while off-exchange market share increased to 18.8% from 14.9% (8-K filing, 2026-07-31).
Europe and Asia Pacific net revenue rose 20% to $84.8 million, with European equities average daily notional value traded reaching €15.5 billion, up 13%. The company's Data Vantage business grew 15%, leading management to raise its organic net revenue growth target for that segment to "low teens" from "low double-digit" (8-K filing, 2026-07-31).
Expense Control and Capital Allocation
Total operating expenses increased to $255.6 million from $248.2 million, primarily due to severance related to strategic realignment and higher bonus accruals. The effective tax rate improved to 28.6% from 29.7%, partially due to reduced interest from resolving uncertain tax positions with state and local authorities (8-K filing, 2026-07-31).
Cboe held cash and cash equivalents of $2.28 billion as of June 30, 2026, against total debt of $1.44 billion. The company paid $75.7 million in dividends ($0.72 per share) and repurchased approximately 127,000 shares for $32.6 million at an average price of $256.61 during the quarter (8-K filing, 2026-07-31).
MarginX data shows recent insider activity including tax withholding by director Tomczyk and share sales by Froetscher. Upcoming FOMC rate decisions are scheduled for September 16 and October 28, 2026, which could influence trading volumes across Cboe's platforms.
This article was generated by MarginX from the 8-K filing on 2026-07-31. It is not investment advice.