Jefferies Comments On 1Q11 Results For CME Group

According to Jefferies, CME Group CME reported 1Q11 EPS of $4.36, above $4.09 estimate and consensus of $4.20. Jefferies said that a combination of better than expected revenues and stringent expense control drove the upside. “Operating margins were 140 bps better than our estimate. The prospects of positive operating leverage and increased interest rate volatility as the Fed exits QE2 represent a compelling investment backdrop, in our view.” CME Group closed yesterday at $304.05.