Update shared on15 Jul 2025
Fair value Decreased 69%Despite bullish analyst views on Interactive Brokers’ scalable, automated business model and long-term growth prospects, the consensus price target has been sharply reduced from $195.80 to $59.72.
Analyst Commentary
- Bullish analysts believe Interactive Brokers operates with a structurally advantaged model centered around its proprietary, automated technology platform.
- The company’s global footprint remains underpenetrated relative to the size of its addressable market.
- There is a long runway for further compounding growth in customer accounts, client equity, and overall earnings.
- The scalability and automation of the platform are viewed as key drivers supporting operational efficiency.
- Core business fundamentals are expected to support sustainable, above-market growth as the firm captures additional market share.
What's in the News
- Interactive Brokers launched IBKR InvestMentor, a free mobile microlearning app designed to improve financial literacy among beginner and aspiring investors.
- The company was added to multiple growth-focused Russell indexes, including the Russell 1000 Growth, 3000 Growth, Top 200 Growth, 3000E Growth, and Small Cap Comp Growth, while being dropped from several midcap and value-oriented Russell indexes.
- Interactive Brokers added the Ping An of China CSI HK Dividend ETF to its no-transaction-fee program, enabling efficient access to dividend-rich Hong Kong-listed companies.
- The firm expanded trading hours for Forecast Contracts, allowing near-24/5 trading on economic, government, and climate event outcomes via multiple IBKR platforms.
- IBKR launched a First Home Savings Account for eligible Canadian residents, providing tax-efficient savings and investment options for first-time homebuyers.
Valuation Changes
Summary of Valuation Changes for Interactive Brokers Group
- The Consensus Analyst Price Target has significantly fallen from $195.80 to $59.72.
- The Net Profit Margin for Interactive Brokers Group has significantly risen from 12.62% to 16.10%.
- The Future P/E for Interactive Brokers Group has significantly fallen from 39.79x to 31.95x.
Disclaimer
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