Barclays Upgrades Cboe Global Markets on Structural Growth Outlook

Shares of exchange operator Cboe Global Markets received a significant vote of confidence from Wall Street on Friday. The catalyst was a bullish research note from Barclays, which raised its rating on the stock from "Equal Weight" to "Overweight." The bank's revised assessment reflects a newfound conviction in the durability of retail options trading and endorses the company's recent strategic refocusing.

In a notable shift in perspective, Barclays analyst Benjamin Budish not only upgraded the stock but also substantially increased the price target to $302.00, up from a previous $273.00. Based on Friday's trading level around $253, this new target implies an upside potential of approximately 19 percent.

This reassessment is rooted in the belief that the surge in retail options trading—particularly in proprietary products like SPX and Zero-Days-to-Expiry (0DTE) options—represents a structural, long-term trend rather than a temporary boom. Barclays had initially anticipated that revenue comparisons would become more challenging in 2025. Contrary to that expectation, activity has continued to expand, mirroring trends observed at retail brokerages.

Should investors sell immediately? Or is it worth buying Cboe Global Markets?

Strategic Focus Follows Record Performance

The optimistic analyst call comes on the heels of compelling operational data released earlier this month. Cboe reported record trading volumes for November 2025. Its proprietary index options reached an all-time high, averaging 5.9 million contracts per day. Particular strength was seen in S&P 500 Index options and the growing SPX 0DTE segment, which set a new single-day record of 2.8 million contracts.

Barclays also expressed approval for Cboe's strategic direction under its current leadership. The company is divesting non-core and sub-scale assets—specifically citing operations in regions like Australia and Canada—to concentrate both capital and managerial focus on its core derivatives business. This "back-to-basics" approach is designed to enhance margins and free up resources for growth initiatives. One such initiative is the planned expansion of trading hours for Russell 2000 Index options to nearly 24 hours a day, scheduled for February 2026.

Upcoming Quarterly Report in Focus

For investors, the next critical milestone will be the release of Cboe's fourth-quarter 2025 financial results on Friday, February 6, 2026. Armed with the "Overweight" rating and a $302 price target, the market will be watching closely to see if the exchange can translate its record November volumes into a strong bottom-line performance.