BGC stock jumps on upbeat Q4 outlook
Shares of financial services firm BGC Group (BGC) are riding high Friday afternoon — the final trading day of 2023 — after raising its fourth-quarter outlook. Yahoo Finance Live monitors BGC's stock and comments on CEO Howard Lutnick's plans for a US Treasury trading platform.
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Video Transcript
MADISON MILLS: BGC shares popping after the company updated its outlook for the fourth quarter of 2023. BGC expecting to hit the high end of its revenue and adjusted earnings guidance as well. And again, just updating that outlook for the fourth quarter and giving a little bit of excitement to the Street when it comes to that, Julie.
But I don't know. I mean, I have to wonder whether or not this is one of those names that's going to be impacted by the overall macro environment next year or if this is just a case where good news can actually be good news.
JULIE HYMAN: Yeah, BGC, brokerage financial technology company, Howard Lutnick, the chairman and CEO saying that the business performed strongly through the fourth quarter. That seems to be what the market is keying in on.
In addition to that, Lutnick has been trying to launch a competing treasury platform to the CME, which has just dominated in treasury trading. And he said also in the statement we've made, significant progress with FMX, which is this platform.
On multiple fronts during the quarter, we expect to have CFTC regulatory approval and announce our strategic partners in early 2024. So it seems like that's something that the market is watching for as well, not just investors in BGC, but people who trade this stuff as well. So that's sort of an interesting perhaps side note to this story as well that we'll continue to watch.
MADISON MILLS: That's a great point. The regulatory approval can as you know, often really move a name. So once that comes, we could get a little bit more clarity about the long-term story for this name.
JULIE HYMAN: Yeah. So we'll keep watching and keep on top of it.
