Deutsche Bank Maintains PT, Rating On CME

Deutsche Bank is maintaining its Buy rating and its $28 price target on CME Group CME after the company reported earnings above expectations. According to Deutsche Bank, “Despite 3% ad markets contraction in 2Q CME managed to beat our and market expectations. With sales of USD 250m the company came 8% ahead of our forecasts with the major positive surprise coming from Media Pro Entertainment, Bulgaria and Romania…Below the top line CME has also surprised us positively with OIBDA of USD 62.7m, 11% ahead of our estimates, again mainly due to strong contribution from Bulgaria, Croatia and Media Pro. As a result CME came up with recurring earnings of USD 0.8m, materially ahead of our USD 19.1m loss expectations and last year's figure of USD –52.9m.” CME closed at $18.01 yesterday.