Cboe Global Markets, Inc. (CBOE) reported a blockbuster finish to 2025, posting record-breaking fourth-quarter results that blew past Wall Street expectations. Driven by an unprecedented surge in derivatives trading and the continued rise of zero-days-to-expiration (0DTE) options, the exchange operator solidified its position as a dominant force in the global financial infrastructure.
Financial Performance: At a Glance
Cboe delivered double-digit growth across nearly every key metric, marking what CEO Craig Donohue described as an “exceptional culmination” to a year of strategic realignment.
| Metric | Q4 2025 Results | Year-over-Year (YoY) Change |
| Net Revenue | $671.1 Million | +28% |
| Adjusted Diluted EPS | $3.06 | +46% |
| Full-Year Net Revenue | $2.4 Billion | +17% |
| Adj. Operating EBITDA Margin | 69.2% | +610 bps |
Segment Highlights: The 0DTE Revolution
The core of Cboe’s success this quarter was its Derivatives business, which saw net revenue jump 38% to $386 million.
Options Growth: Options net revenue hit a record $433.1 million (up 34%). This was fueled by a 35% increase in index options Average Daily Volume (ADV), specifically within the flagship S&P 500 Index (SPX) suite.
The 0DTE Effect: Management highlighted that short-dated contracts (0DTE) are no longer just a trend but a structural shift in how both institutional and retail traders manage risk. In the Mini-SPX suite, 0DTE volume now accounts for over 50% of total activity.
Data Vantage & Equities: The “Data Vantage” segment. Cboe’s recurring data and analytics arm grew 9%, while North American Equities revenue rose 17% to $110.7 million, despite slight shifts in on-exchange market share.
Conference Call: Strategic Shifts and Future Bets
During the earnings call, Cboe leadership focused on the company’s evolution from a traditional exchange to a global technology and data powerhouse. “Our recent strategic realignment is enabling us to allocate more resources toward growth and value creation,” said CEO Craig Donohue. “We are starting 2026 with a very strong foundation and continued strong secular trends in our core businesses.”
Key Takeaways from the Call:
Event Prediction Markets: Cboe confirmed plans to launch a new event prediction market in Q2 2026, aiming to capitalize on the growing demand for “betting” on economic and political outcomes.
Global Expansion: CFO Jill Griebenow noted the durability of the company’s international segments, with Europe and Asia Pacific revenue climbing 24%, aided by new listing approvals in Australia.
Geopolitical Tailwinds: Management suggested that ongoing global uncertainty and market volatility remain a long-term “tailwind” for Cboe’s hedging products, such as the VIX (Volatility Index).
2026 Outlook: A “Measured” Future
While the 2025 results were historic, Cboe provided a grounded outlook for the coming year:
Organic Net Revenue Growth: Targeted at “mid single-digits.”
Data Vantage Growth: Targeted at “mid to high single-digits.”
Expense Management: Adjusted operating expenses are projected between $864 million and $879 million.
The conservative 2026 revenue guidance appeared to be the primary driver behind the stock’s pre-market softening, as some analysts had hoped for a more aggressive growth forecast following the 2025 momentum.
Bottom Line
Cboe is effectively transitioning from a “cyclical exchange” to a “secular growth powerhouse.” The stock dip following the report is likely a “sell the news” event driven by the modest 2026 guidance. For long-term investors, the core story remains intact: Cboe owns the most valuable real estate in the derivatives world (the SPX and VIX complexes) and is successfully converting that volume into high-margin recurring data revenue.