Update shared on 18 Nov 2025
Fair value Increased 0.24%The analyst price target for Interactive Brokers Group has increased slightly to approximately $76.82. This reflects ongoing optimism among analysts about the company's rapid growth in retail and institutional brokerage services and its competitive positioning in electronic trading.
Analyst Commentary
Bullish analysts remain optimistic regarding Interactive Brokers Group, citing several key factors supporting an upward trajectory in valuation and ongoing business growth.
Bullish Takeaways- Interactive Brokers is recognized as a pioneer and leader in global electronic trading. Its transformation into an automated broker has broadened the scope of available brokerage services.
- Analysts highlight rapid growth in both retail and institutional brokerage segments, underpinned by technology-driven innovation and product expansion.
- Recent price target increases indicate confidence in continued robust execution. Technology research and development serve as a competitive advantage that drives operating margins above 75%.
- The company's dynamic launch of crypto products and its ability to introduce new capabilities at competitive price points support expectations for outperformance relative to peers.
- Some caution arises from market commentary about potential impacts to net interest income, especially with the prospect of future Federal Reserve rate cuts.
- Competitive pressures persist as certain rivals continue to experience account growth reacceleration, which raises questions about sustained user acquisition momentum.
- The mixed macro environment and evolving trends, such as the rise of tokenization and prediction markets, may create near-term volatility and add execution risk for core growth strategies.
What's in the News
- Launched the Karta Visa card. This enables eligible clients to spend globally directly from their IBKR account, with no foreign transaction fees and enhanced cash management features (Key Developments).
- Introduced Ask IBKR, an AI-powered tool for instant portfolio insights and natural language queries to aid clients in analyzing performance, allocation, and holdings (Key Developments).
- Released IBKR Desktop Version 1.2, a next-generation trading platform featuring instant order transmission, advanced customization, and improved global market access (Key Developments).
- Enhanced tax planning tools with the TaxPlanner module within PortfolioAnalyst, giving users new tax estimation and tax loss harvesting capabilities (Key Developments).
- Launched the Investeringssparkonto (ISK), a tax-advantaged investment account for Swedish investors. This offers efficient access to international assets (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from $76.64 to $76.82, reflecting continued analyst optimism.
- Discount Rate has increased modestly from 8.64% to 8.74%, indicating a slightly higher perceived risk or market return expectation.
- Revenue Growth projections have edged down from 6.72% to 6.47%, suggesting slightly tempered future growth expectations.
- Net Profit Margin is marginally higher, moving from 18.74% to 18.77%. This points to stable or improving profitability.
- Future P/E ratio has inched up from 34.08x to 34.53x. This signals a minor increase in valuation relative to projected earnings.
Disclaimer
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