Analyzing Angel Oak Financial Strategies Income Term Trust (NYSE:FINS) and CME Group (NASDAQ:CME)

Angel Oak Financial Strategies Income Term Trust (NYSE:FINS) and CME Group (NASDAQ:CME) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Valuation & Earnings

This table compares Angel Oak Financial Strategies Income Term Trust and CME Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Angel Oak Financial Strategies Income Term Trust	$47.14 million	N/A	N/A	N/A	N/A
CME Group	$6.52 billion	14.54	$4.07 billion	$11.79	22.36

CME Group has higher revenue and earnings than Angel Oak Financial Strategies Income Term Trust.

Institutional & Insider Ownership

87.7% of CME Group shares are owned by institutional investors. 0.3% of CME Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Angel Oak Financial Strategies Income Term Trust and CME Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Angel Oak Financial Strategies Income Term Trust	0	0	0	0	0.00
CME Group	3	4	11	0	2.44

CME Group has a consensus target price of $291.81, indicating a potential upside of 10.68%. Given CME Group’s stronger consensus rating and higher probable upside, analysts plainly believe CME Group is more favorable than Angel Oak Financial Strategies Income Term Trust.

Dividends

Angel Oak Financial Strategies Income Term Trust pays an annual dividend of $1.38 per share and has a dividend yield of 11.0%. CME Group pays an annual dividend of $5.20 per share and has a dividend yield of 2.0%. CME Group pays out 44.1% of its earnings in the form of a dividend.

Profitability

This table compares Angel Oak Financial Strategies Income Term Trust and CME Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Angel Oak Financial Strategies Income Term Trust	N/A	N/A	N/A
CME Group	63.30%	15.60%	2.20%

Summary

CME Group beats Angel Oak Financial Strategies Income Term Trust on 9 of the 11 factors compared between the two stocks.

About Angel Oak Financial Strategies Income Term Trust

he Angel Oak Financial Strategies Income Term Trust is a closed-end fund that seeks current income with a secondary objective of total return. The Fund utilizes a banking sector debt-centric strategy, which exhibits low historical correlations to other areas of the market. The investment highlights of the Fund include:

Access to a niche market segment.
Focus on high quality credit with at least 50% of the Fund’s depository institution debt investments publicly rated investment grade or, if deemed unrated, scored as investment grade by Angel Oak’s in-house proprietary BankSURF credit-quality assessment model.
Asset class duration historically uncorrelated to interest rates.
Benefits from Angel Oak’s extensive resources and expertise in a

About CME Group

CME Group Inc., together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. It offers futures and options products based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and metals, as well as fixed income and foreign currency trading services. The company also provides clearing house services, including clearing, settling, and guaranteeing futures and options contracts, and cleared swaps products traded through its exchanges; and trade processing and risk mitigation services. In addition, the company offers a range of market data services, including real-time and historical data services. It serves professional traders, financial institutions, institutional and individual investors, corporations, manufacturers, producers, governments, and central banks. The company was formerly known as Chicago Mercantile Exchange Holdings Inc. and changed its name to CME Group Inc. in July 2007. The company was founded in 1898 and is headquartered in Chicago, Illinois.