WallStSmart

CME Group Inc (CME)vsValue Line Inc (VALU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CME Group Inc generates 18597% more annual revenue ($6.51B vs $34.80M). CME leads profitability with a 62.6% profit margin vs 61.1%. VALU trades at a lower P/E of 15.9x. CME earns a higher WallStSmart Score of 63/100 (C+).

CME

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 7.3Quality: 5.5
Piotroski: 1/9

VALU

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 7.5Value: 7.7Quality: 9.0
Piotroski: 4/9Altman Z: 3.28
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CMEUndervalued (+43.8%)

Margin of Safety

+43.8%

Fair Value

$522.76

Current Price

$293.93

$228.83 discount

UndervaluedFair: $522.76Overvalued
VALUUndervalued (+27.5%)

Margin of Safety

+27.5%

Fair Value

$51.03

Current Price

$35.91

$15.12 discount

UndervaluedFair: $51.03Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CME6 strengths · Avg: 9.0/10
Profit MarginProfitability
62.6%10/10

Keeps 63 of every $100 in revenue as profit

Operating MarginProfitability
63.8%10/10

Strong operational efficiency at 63.8%

Market CapQuality
$105.67B9/10

Large-cap with strong market position

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

EPS GrowthGrowth
35.0%8/10

Earnings expanding 35.0% YoY

Free Cash FlowQuality
$1.10B8/10

Generating 1.1B in free cash flow

VALU5 strengths · Avg: 9.4/10
Profit MarginProfitability
61.1%10/10

Keeps 61 of every $100 in revenue as profit

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.2810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
21.6%9/10

Every $100 of equity generates 22 in profit

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Areas to Watch

CME3 concerns · Avg: 3.0/10
P/E RatioValuation
26.3x4/10

Moderate valuation

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
5.842/10

Expensive relative to growth rate

VALU2 concerns · Avg: 2.5/10
Market CapQuality
$338.68M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-3.1%2/10

Revenue declined 3.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : CME

The strongest argument for CME centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 62.6% and operating margin at 63.8%.

Bull Case : VALU

The strongest argument for VALU centers on Profit Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 61.1% and operating margin at 17.4%.

Bear Case : CME

The primary concerns for CME are P/E Ratio, Piotroski F-Score, PEG Ratio.

Bear Case : VALU

The primary concerns for VALU are Market Cap, Revenue Growth.

Key Dynamics to Monitor

CME profiles as a mature stock while VALU is a declining play — different risk/reward profiles.

VALU carries more volatility with a beta of 1.25 — expect wider price swings.

CME is growing revenue faster at 8.0% — sustainability is the question.

CME generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

CME scores higher overall (63/100 vs 42/100), backed by strong 62.6% margins. VALU offers better value entry with a 27.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CME Group Inc

FINANCIAL SERVICES · FINANCIAL DATA & STOCK EXCHANGES · USA

CME Group Inc. (Chicago Mercantile Exchange, Chicago Board of Trade, New York Mercantile Exchange, The Commodity Exchange) is an American global markets company. It is the world's largest financial derivatives exchange, and trades in asset classes that include agricultural products, currencies, energy, interest rates, metals, stock indexes and cryptocurrencies futures.

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Value Line Inc

FINANCIAL SERVICES · FINANCIAL DATA & STOCK EXCHANGES · USA

Value Line, Inc. produces and sells investment periodicals and related publications primarily in the United States. The company is headquartered in New York, New York.

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