BGC Group rises after BofA starts coverage with 'buy'

Bgc

25/02/2025 15:03

** Shares of brokerage firm BGC Group BGC.O rise as much as 7.5%; last up 6% at $9.43 in early trading

** BofA Global Research initiates coverage of BGC with "buy" rating and $16 PT, 79.8% upside to stock's last close

** Brokerage says easing regulatory backdrop under Trump administration significantly accelerates ramp up of BGC's FMX Futures Exchange

** Adds that FMX Futures could achieve as much as 20% share in rates trading by Q4 2027

** Brokerage says FMX has ample opportunity to modernize futures trading and take market share from incumbent CME Group CME.O

** BofA says growth qualities of BGC's energy segment are underrated, adding that firm has highest exposure to energy transition products in its coverage

** As of last close, BGC stock down 1.8% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)

 ((ArasuKannagi.Basil@thomsonreuters.com;))