CMECME GROUP INC.

Security & Commodity Brokers, Dealers, Exchanges & Services

Revenue: $6.5B; 6.4% YoY
Operating margin: 64.9%; 1.1% YoY
EBITDA: $4.3B; 7.2% YoY
Market cap: $20.2B
Employees: 3,875; $2M revenue each
Net debt / EBITDA: —
AI in 10-K: 2.9; mentions per 10K words

Takeover score 1 of 13

Fixable underperformance 0 of 7

TSR below peersNo
—
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
105% of net income
Cash flow under 80% of net income
Dilutive SBCNo
1% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
92% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyNo
5% of assets
Over 40% of assets
Shareholder dissentNo
81% lowest support
Any vote under 80% support

Buyer economics 0 of 4

Low revenue per employeeNo
$2M · 72nd pct
Bottom quartile of its SIC industry
Quiet on AINo
2.9 per 10K words · 68th pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
—
More cash than debt, positive EBITDA
Buyout-sizedNo
$20.2B market cap
Market cap $500M–$5B

Catalysts 1 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingYes
−$31M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$4.7B	$5.0B	$5.6B	$6.1B	$6.5B	6.4%
Operating income	$2.6B	$3.0B	$3.4B	$3.9B	$4.2B	7.6%
Net income	$2.6B	$2.7B	$3.2B	$3.5B	$4.1B	15%
Operating cash flow	$2.4B	$3.1B	$3.5B	$3.7B	$4.3B	16%
Capex	$127M	$90M	$76M	$94M	$84M	11%
Stock-based comp	$75M	$84M	$83M	$90M	$95M	5.9%
Dividends	$2.2B	$2.6B	$3.2B	$3.6B	$3.9B	9.7%

Deal filings

None.

13D filers

None on file.

Insider trading

Open-market buys, 12 mo: $667K · 7
Open-market sells, 12 mo: $32M · 19
Net: −$31M

Pay vs performance

No pay-versus-performance disclosure yet.