CME Group Crypto Expansion Boosts Share Price Amid Valuation Debate

CME Group (CME) has expanded its cryptocurrency offerings with the launch of Bitcoin Volatility Index futures and 24/7 trading for existing crypto futures and options.

The move comes as CME's share price has rebounded in the short term, with a 1-day return of 3.07% and a 7-day return of 4.42%. However, its 90-day return is down 15.23%, indicating mixed performance.

A widely followed narrative model estimates CME's fair value at $306.47, implying it may be undervalued by about 13.9% based on current prices.

On the other hand, a discounted cash flow (DCF) model from Simply Wall St puts the shares' estimated value at around $250.09, suggesting less of a clear discount and raising questions about how much growth is already reflected in the price.