Interactive Brokers Group
Market Cap
US$21.9b
Last Updated
2020/11/27 00:46 UTC
Data Sources
Company Financials +
Executive Summary
Interactive Brokers Group, Inc. operates as an automated electronic broker worldwide. More Details
Snowflake Analysis
Adequate balance sheet with acceptable track record.
Similar Companies
Share Price & News
How has Interactive Brokers Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: IBKR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: IBKR's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-1.4%
IBKR
3.5%
US Capital Markets
2.1%
US Market
1 Year Return
6.9%
IBKR
11.5%
US Capital Markets
19.8%
US Market
Return vs Industry: IBKR underperformed the US Capital Markets industry which returned 11.4% over the past year.
Return vs Market: IBKR underperformed the US Market which returned 19.7% over the past year.
Shareholder returns
| IBKR | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.4% | 3.5% | 2.1% |
| 30 Day | 9.6% | 13.2% | 8.1% |
| 90 Day | -1.2% | 9.5% | 6.0% |
| 1 Year | 7.6%6.9% | 14.3%11.5% | 22.5%19.8% |
| 3 Year | -5.9%-7.7% | 30.2%20.2% | 46.5%36.8% |
| 5 Year | 26.1%21.1% | 87.2%64.0% | 96.9%75.3% |
Long-Term Price Volatility Vs. Market
How volatile is Interactive Brokers Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Interactive Brokers Group undervalued compared to its fair value and its price relative to the market?
24.24x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: IBKR ($52.64) is trading above our estimate of fair value ($30.29)
Significantly Below Fair Value: IBKR is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: IBKR is poor value based on its PE Ratio (24.2x) compared to the US Capital Markets industry average (23.1x).
PE vs Market: IBKR is poor value based on its PE Ratio (24.2x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: IBKR is poor value based on its PEG Ratio (19.9x)
Price to Book Ratio
PB vs Industry: IBKR is good value based on its PB Ratio (2.6x) compared to the US Capital Markets industry average (4.7x).
Next Steps
Future Growth
How is Interactive Brokers Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
1.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IBKR's forecast earnings growth (1.2% per year) is below the savings rate (2.2%).
Earnings vs Market: IBKR's earnings (1.2% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: IBKR's earnings are forecast to grow, but not significantly.
Revenue vs Market: IBKR's revenue is expected to decline over the next 3 years (-0.9% per year).
High Growth Revenue: IBKR's revenue is forecast to decline over the next 3 years (-0.9% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if IBKR's Return on Equity is forecast to be high in 3 years time
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Past Performance
How has Interactive Brokers Group performed over the past 5 years?
21.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IBKR has high quality earnings.
Growing Profit Margin: IBKR's current net profit margins (8%) are lower than last year (8.1%).
Past Earnings Growth Analysis
Earnings Trend: IBKR's earnings have grown significantly by 21.6% per year over the past 5 years.
Accelerating Growth: IBKR's earnings growth over the past year (5%) is below its 5-year average (21.6% per year).
Earnings vs Industry: IBKR earnings growth over the past year (5%) exceeded the Capital Markets industry 3%.
Return on Equity
High ROE: IBKR's Return on Equity (12.8%) is considered low.
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Financial Health
How is Interactive Brokers Group's financial position?
Financial Position Analysis
Short Term Liabilities: IBKR's short term assets ($84.2B) exceed its short term liabilities ($75.9B).
Long Term Liabilities: IBKR's short term assets ($84.2B) exceed its long term liabilities ($240.0M).
Debt to Equity History and Analysis
Debt Level: IBKR's debt to equity ratio (74.8%) is considered high.
Reducing Debt: IBKR's debt to equity ratio has reduced from 84.3% to 74.8% over the past 5 years.
Debt Coverage: IBKR's debt is well covered by operating cash flow (61.9%).
Interest Coverage: Insufficient data to determine if IBKR's interest payments on its debt are well covered by EBIT.
Balance Sheet
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Dividend
What is Interactive Brokers Group current dividend yield, its reliability and sustainability?
0.76%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: IBKR's dividend (0.76%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: IBKR's dividend (0.76%) is low compared to the top 25% of dividend payers in the US market (4.05%).
Stability and Growth of Payments
Stable Dividend: IBKR is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: IBKR is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: IBKR is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of IBKR's dividend in 3 years as they are not forecast to pay a notable one for the US market.
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Management
How experienced are the management team and are they aligned to shareholders interests?
10.9yrs
Average management tenure
CEO
Milan Galik (53 yo)
1.08yrs
Tenure
US$8,365,000
Compensation
Mr. Milan Galik has been Chief Executive Officer of Interactive Brokers Group, Inc. since October 1, 2019. Mr. Galik has been the President of Interactive Brokers Group, Inc., and IBG LLC since October 201...
CEO Compensation Analysis
Compensation vs Market: Milan's total compensation ($USD8.37M) is about average for companies of similar size in the US market ($USD10.79M).
Compensation vs Earnings: Milan's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.08yrs | US$8.37m | 1.07% $ 234.5m | |
| CFO, Treasurer | 14yrs | US$5.19m | 0.78% $ 171.8m | |
| Executive VP & Chief Information Officer | 21.33yrs | US$2.09m | 2.07% $ 453.2m | |
| Chief Accounting Officer | 4.83yrs | no data | 0.0094% $ 2.1m | |
| Director of Investor Relations | no data | no data | no data |
10.9yrs
Average Tenure
56.5yo
Average Age
Experienced Management: IBKR's management team is seasoned and experienced (10.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.08yrs | US$8.37m | 1.07% $ 234.5m | |
| CFO, Treasurer | 14yrs | US$5.19m | 0.78% $ 171.8m | |
| Independent Director | 1.92yrs | US$83.33k | 0.00085% $ 186.5k | |
| Independent Director | 3.83yrs | US$100.00k | 0.00056% $ 122.8k | |
| Founder & Chairman | 14yrs | US$800.00k | 10.76% $ 2.4b | |
| Independent Vice Chairman | 14yrs | US$1.66m | 0.067% $ 14.8m | |
| Lead Independent Director | no data | US$125.00k | 0.069% $ 15.1m | |
| Independent Director | 0.33yr | no data | no data | |
| Independent Director | 1.58yrs | US$108.33k | 0.12% $ 26.3m | |
| Director | 0.58yr | no data | no data |
3.8yrs
Average Tenure
60yo
Average Age
Experienced Board: IBKR's board of directors are considered experienced (3.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Interactive Brokers Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Interactive Brokers Group, Inc.
- Ticker: IBKR
- Exchange: NasdaqGS
- Founded: 1977
- Industry: Investment Banking and Brokerage
- Sector: Diversified Financials
- Implied Market Cap: US$21.937b
- Market Cap: US$4.778b
- Shares outstanding: 416.73m
- Website: https://www.interactivebrokers.com
Number of Employees
Location
- Interactive Brokers Group, Inc.
- One Pickwick Plaza
- Greenwich
- Connecticut
- 6830
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| IBKR | NasdaqGS (Nasdaq Global Select) | Yes | Class A Common Stock | US | USD | May 2007 |
| KY6 | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | May 2007 |
| IBKR * | BMV (Bolsa Mexicana de Valores) | Yes | Class A Common Stock | MX | MXN | May 2007 |
Biography
Interactive Brokers Group, Inc. operates as an automated electronic broker worldwide. It specializes in executing and clearing trades in securities, futures, foreign exchange instruments, bonds, and mutual...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/27 00:46 |
| End of Day Share Price | 2020/11/25 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.