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Interactive Brokers Group

Nasdaq:IBKR
Snowflake Description

Adequate balance sheet and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
IBKR
Nasdaq
$18B
Imp Market Cap
  1. Home
  2. US
  3. Diversified Financials
Company description

Interactive Brokers Group, Inc. operates as an automated electronic broker worldwide. The last earnings update was 37 days ago. More info.


Add to Portfolio Compare Print
  • Interactive Brokers Group has significant price volatility in the past 3 months.
IBKR Share Price and Events
7 Day Returns
3.1%
NasdaqGS:IBKR
-1.2%
US Capital Markets
-2%
US Market
1 Year Returns
-20.6%
NasdaqGS:IBKR
-14.1%
US Capital Markets
-15.1%
US Market
IBKR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Interactive Brokers Group (IBKR) 3.1% -11.1% -10% -20.6% 23% 27.1%
US Capital Markets -1.2% -19.8% -24.6% -14.1% 1% 18.8%
US Market -2% -19.7% -23.2% -15.1% 3.7% 14.4%
1 Year Return vs Industry and Market
  • IBKR underperformed the Capital Markets industry which returned -14.1% over the past year.
  • IBKR underperformed the Market in United States of America which returned -15.1% over the past year.
Price Volatility
IBKR
Industry
5yr Volatility vs Market

Value

 Is Interactive Brokers Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Interactive Brokers Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Interactive Brokers Group.

NasdaqGS:IBKR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $16.09 * 14.7%
$2.37
Book Value of Equity per Share Median Book Value from the past 5 years. $16.09
Discount Rate (Cost of Equity) See below 7.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:IBKR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Capital Markets Unlevered Beta Simply Wall St/ S&P Global 0.75
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.745 (1 + (1- 21%) (37.97%))
0.979
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.98
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (0.979 * 5.44%)
7.07%

Discounted Cash Flow Calculation for NasdaqGS:IBKR using Excess Returns Model Model

The calculations below outline how an intrinsic value for Interactive Brokers Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqGS:IBKR Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (14.7% – 7.07%) * $16.09)
$1.23
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $1.23 / (7.07% - 1.74%)
$23.15
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $16.09 + $23.15
$39.23
NasdaqGS:IBKR Discount to Share Price
Calculation Result
Value per share (USD) From above. $39.23
Current discount Discount to share price of $42.69
= -1 x ($42.69 - $39.23) / $39.23
-8.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Interactive Brokers Group is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Interactive Brokers Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Interactive Brokers Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:IBKR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $2.12
NasdaqGS:IBKR Share Price ** NasdaqGS (2020-04-03) in USD $42.69
United States of America Capital Markets Industry PE Ratio Median Figure of 92 Publicly-Listed Capital Markets Companies 33.79x
United States of America Market PE Ratio Median Figure of 2,947 Publicly-Listed Companies 12.4x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Interactive Brokers Group.

NasdaqGS:IBKR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:IBKR Share Price ÷ EPS (both in USD)

= 42.69 ÷ 2.12

20.18x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Interactive Brokers Group is good value based on earnings compared to the US Capital Markets industry average.
  • Interactive Brokers Group is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Interactive Brokers Group's expected growth come at a high price?
Raw Data
NasdaqGS:IBKR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 20.18x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
9.4%per year
United States of America Capital Markets Industry PEG Ratio Median Figure of 36 Publicly-Listed Capital Markets Companies 2.07x
United States of America Market PEG Ratio Median Figure of 2,010 Publicly-Listed Companies 0.89x

*Line of best fit is calculated by linear regression .

NasdaqGS:IBKR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 20.18x ÷ 9.4%

2.14x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Interactive Brokers Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Interactive Brokers Group's assets?
Raw Data
NasdaqGS:IBKR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $18.92
NasdaqGS:IBKR Share Price * NasdaqGS (2020-04-03) in USD $42.69
United States of America Capital Markets Industry PB Ratio Median Figure of 182 Publicly-Listed Capital Markets Companies 7.67x
United States of America Market PB Ratio Median Figure of 5,144 Publicly-Listed Companies 1.2x
NasdaqGS:IBKR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:IBKR Share Price ÷ Book Value per Share (both in USD)

= 42.69 ÷ 18.92

2.26x

* Primary Listing of Interactive Brokers Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Interactive Brokers Group is good value based on assets compared to the US Capital Markets industry average.
X
Value checks
We assess Interactive Brokers Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Capital Markets industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Capital Markets industry average (and greater than 0)? (1 check)
  5. Interactive Brokers Group has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Interactive Brokers Group expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Interactive Brokers Group expected to grow at an attractive rate?
  • Interactive Brokers Group's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Interactive Brokers Group's earnings growth is positive but not above the United States of America market average.
  • Interactive Brokers Group's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:IBKR Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:IBKR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 9.4%
NasdaqGS:IBKR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 0.9%
United States of America Capital Markets Industry Earnings Growth Rate Market Cap Weighted Average 5.3%
United States of America Capital Markets Industry Revenue Growth Rate Market Cap Weighted Average 2.3%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.4%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:IBKR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:IBKR Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 1,933 1
2021-12-31 2,094 195 5
2020-12-31 2,052 176 5
2020-04-05
NasdaqGS:IBKR Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 1,997 2,666 161
2019-09-30 1,981 1,770 160
2019-06-30 1,931 2,269 163
2019-03-31 1,978 1,758 172
2018-12-31 1,890 2,356 169
2018-09-30 1,925 1,534 124
2018-06-30 1,851 1,611 116
2018-03-31 1,743 1,487 98
2017-12-31 1,581 1,065 76
2017-09-30 1,417 2,725 82
2017-06-30 1,362 2,118 71
2017-03-31 1,356 1,201 75

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Interactive Brokers Group's earnings are expected to grow by 9.4% yearly, however this is not considered high growth (20% yearly).
  • Interactive Brokers Group's revenue is expected to grow by 0.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:IBKR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Interactive Brokers Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:IBKR Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 2.42 2.45 2.39 2.00
2020-12-31 2.25 2.50 1.99 2.00
2020-04-05
NasdaqGS:IBKR Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 2.12
2019-09-30 2.11
2019-06-30 2.17
2019-03-31 2.31
2018-12-31 2.30
2018-09-30 1.71
2018-06-30 1.62
2018-03-31 1.38
2017-12-31 1.09
2017-09-30 1.19
2017-06-30 1.04
2017-03-31 1.12

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Interactive Brokers Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Interactive Brokers Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Interactive Brokers Group has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Interactive Brokers Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Interactive Brokers Group's growth in the last year to its industry (Capital Markets).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Interactive Brokers Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Interactive Brokers Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Interactive Brokers Group's 1-year earnings growth is negative, it can't be compared to the US Capital Markets industry average.
Earnings and Revenue History
Interactive Brokers Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Interactive Brokers Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:IBKR Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 1,997.00 161.00 462.00
2019-09-30 1,981.00 160.00 486.00
2019-06-30 1,931.00 163.00 475.00
2019-03-31 1,978.00 172.00 457.00
2018-12-31 1,890.00 169.00 413.00
2018-09-30 1,925.00 124.00 396.00
2018-06-30 1,851.00 116.00 388.00
2018-03-31 1,743.00 98.00 376.00
2017-12-31 1,581.00 76.00 359.00
2017-09-30 1,417.00 82.00 368.00
2017-06-30 1,362.00 71.00 370.00
2017-03-31 1,356.00 75.00 369.00
2016-12-31 1,436.00 84.00 361.00
2016-09-30 1,382.00 97.00 348.00
2016-06-30 1,431.00 99.00 344.00
2016-03-31 1,441.00 95.00 338.00
2015-12-31 1,395.00 49.00 338.00
2015-09-30 1,414.00 40.00 328.00
2015-06-30 1,319.00 21.00 312.00
2015-03-31 1,244.00 13.00 307.00
2014-12-31 1,228.00 45.00 301.00
2014-09-30 1,305.85 40.62 306.12
2014-06-30 1,323.27 54.07 300.85
2014-03-31 1,298.06 49.45 303.45
2013-12-31 1,159.00 37.00 295.00
2013-09-30 1,011.12 42.49 284.14
2013-06-30 1,024.30 38.54 294.66

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Interactive Brokers Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Interactive Brokers Group used its assets less efficiently than the US Capital Markets industry average last year based on Return on Assets.
  • Unable to establish if Interactive Brokers Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Interactive Brokers Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Capital Markets industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Interactive Brokers Group has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Interactive Brokers Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Interactive Brokers Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Interactive Brokers Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Interactive Brokers Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Interactive Brokers Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 10.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Interactive Brokers Group Company Filings, last reported 3 months ago.

NasdaqGS:IBKR Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 7,940.00 6,609.00 39,049.00
2019-09-30 7,653.00 4,480.00 40,359.00
2019-06-30 7,620.00 4,159.00 38,776.00
2019-03-31 7,426.00 4,331.00 36,224.00
2018-12-31 7,156.00 4,462.00 32,387.00
2018-09-30 6,903.00 4,562.00 29,887.00
2018-06-30 6,700.00 4,715.00 29,763.00
2018-03-31 6,706.00 4,251.00 28,229.00
2017-12-31 6,433.00 6,240.00 30,110.00
2017-09-30 6,312.00 4,651.00 32,986.00
2017-06-30 6,191.00 4,001.00 33,136.00
2017-03-31 6,010.00 4,638.00 33,424.00
2016-12-31 5,820.00 5,672.00 33,719.00
2016-09-30 5,870.00 4,700.00 35,556.00
2016-06-30 5,692.00 4,583.00 34,827.00
2016-03-31 5,663.00 3,512.00 33,717.00
2015-12-31 5,344.00 3,945.00 30,449.00
2015-09-30 5,282.00 4,466.00 29,939.00
2015-06-30 5,234.00 4,322.00 24,400.00
2015-03-31 5,038.00 4,337.00 24,278.00
2014-12-31 5,185.00 4,440.00 24,697.00
2014-09-30 5,192.63 4,494.18 22,926.83
2014-06-30 5,275.59 4,116.38 23,531.35
2014-03-31 5,244.21 4,432.54 23,128.61
2013-12-31 5,092.13 4,382.34 22,791.61
2013-09-30 5,072.88 4,263.92 22,505.88
2013-06-30 4,895.13 4,833.94 22,217.36
  • Interactive Brokers Group's level of debt (83.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (85.6% vs 83.2% today).
  • Debt is well covered by operating cash flow (40.3%, greater than 20% of total debt).
  • Unable to confirm if the interest payments on Interactive Brokers Group's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess Interactive Brokers Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Interactive Brokers Group has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Interactive Brokers Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.94%
Current annual income from Interactive Brokers Group dividends. Estimated to be 0.94% next year.
If you bought $2,000 of Interactive Brokers Group shares you are expected to receive $19 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Interactive Brokers Group's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (2.05%).
  • Interactive Brokers Group's dividend is below the markets top 25% of dividend payers in United States of America (5.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:IBKR Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United States of America Capital Markets Industry Average Dividend Yield Market Cap Weighted Average of 44 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1938 Stocks 3.1%
United States of America Minimum Threshold Dividend Yield 10th Percentile 1.1%
United States of America Bottom 25% Dividend Yield 25th Percentile 2.1%
United States of America Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:IBKR Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.40 1.00
2021-12-31 0.40 3.00
2020-12-31 0.40 3.00
2020-04-05
NasdaqGS:IBKR Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2020-02-28 0.400 0.918
2020-01-21 0.400 0.773
2019-11-12 0.400 0.842
2019-10-15 0.400 0.861
2019-08-08 0.400 0.829
2019-07-16 0.400 0.803
2019-05-09 0.400 0.746
2019-04-16 0.400 0.722
2018-10-16 0.400 0.757
2018-08-08 0.400 0.686
2018-07-17 0.400 0.647
2018-01-16 0.400 0.580
2017-11-08 0.400 0.685
2017-10-17 0.400 0.767
2017-08-08 0.400 0.924
2017-07-18 0.400 1.016
2017-05-09 0.400 1.100
2017-04-18 0.400 1.140
2017-02-28 0.400 1.123
2017-01-17 0.400 1.061
2016-11-09 0.400 1.058
2016-10-18 0.400 1.195
2016-08-09 0.400 1.121
2016-07-19 0.400 1.138
2016-05-10 0.400 1.078
2016-04-19 0.400 1.038
2016-02-29 0.400 1.042
2016-01-19 0.400 1.238
2015-07-21 0.400 0.985
2015-05-11 0.400 1.011
2015-04-21 0.400 1.166
2014-10-21 0.400 1.337
2014-07-15 0.400 1.669
2014-04-15 0.400 1.721
2014-01-21 0.400 1.834
2013-10-15 0.400 1.748
2013-07-16 0.400 2.279
2013-04-16 0.400 2.539
2013-01-15 0.400 2.738
2012-10-16 0.400 2.775
2012-07-17 0.400 2.868
2012-04-19 0.400 2.751
2012-01-19 0.400 2.470
2011-10-31 0.400 2.685
2011-08-10 0.400 2.763
2011-04-21 0.400 2.496

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Interactive Brokers Group is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • Interactive Brokers Group is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Interactive Brokers Group's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Interactive Brokers Group's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of Interactive Brokers Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Interactive Brokers Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Interactive Brokers Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Interactive Brokers Group has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Interactive Brokers Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Milan Galik
COMPENSATION $8,365,000
AGE 52
TENURE AS CEO 0.5 years
CEO Bio

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 2014. Mr. Galik has been the Vice President of Timber Hill LLC, a subsidiary of IBG LLC since April 1998. He joined Interactive Brokers Group, Inc in 1990. He served as the Senior Vice President of Software Development of Interactive Brokers Group LLC. since October 2003 until October 2014 and also for its subsidiary Interactive Brokers Group, Inc. since November 2006. He has been a Director of Interactive Brokers Group, Inc. since November 2006 and serves as a Member of the Board of Directors of the Boston Options Exchange. Mr. Galik holds a Master’s of Science Degree in Electrical Engineering from the Technical University of Budapest in 1990.

CEO Compensation
  • Milan's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Milan's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Interactive Brokers Group management team in years:

10.3
Average Tenure
55.5
Average Age
  • The average tenure for the Interactive Brokers Group management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Milan Galik

TITLE
President
COMPENSATION
$8M
AGE
52
TENURE
0.5 yrs

Paul Brody

TITLE
CFO, Treasurer
COMPENSATION
$5M
AGE
59
TENURE
16.3 yrs

Thomas A. Frank

TITLE
Executive VP & Chief Information Officer
COMPENSATION
$2M
AGE
63
TENURE
20.8 yrs

Denis Mendonca

TITLE
Chief Accounting Officer
AGE
44
TENURE
4.3 yrs

Nancy Stuebe

TITLE
Director of Investor Relations
Board of Directors Tenure

Average tenure and age of the Interactive Brokers Group board of directors in years:

13.4
Average Tenure
60.5
Average Age
  • The average tenure for the Interactive Brokers Group board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Thomas Peterffy

TITLE
Founder & Chairman
COMPENSATION
$800K
AGE
74
TENURE
13.4 yrs

Milan Galik

TITLE
President
COMPENSATION
$8M
AGE
52
TENURE
13.4 yrs

Earl Nemser

TITLE
Independent Vice Chairman
COMPENSATION
$2M
AGE
72
TENURE
13.4 yrs

Paul Brody

TITLE
CFO, Treasurer
COMPENSATION
$5M
AGE
59
TENURE
13.4 yrs

Lawrence Harris

TITLE
Lead Independent Director
COMPENSATION
$125K
AGE
62

Gary Katz

TITLE
Independent Director
COMPENSATION
$100K
AGE
58
TENURE
3.3 yrs

John Damgard

TITLE
Independent Director
COMPENSATION
$83K
AGE
79
TENURE
1.3 yrs

Philip Uhde

TITLE
Independent Director
COMPENSATION
$108K
AGE
33
TENURE
1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Interactive Brokers Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Interactive Brokers Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Does Interactive Brokers Group Inc's (NASDAQ:IBKR) PE Ratio Warrant A Sell?

Interactive Brokers Group Inc (NASDAQ:IBKR) is currently trading at a trailing P/E of 37.1x, which is higher than the industry average of 17.8x. … While IBKR might seem like a stock to avoid or sell if you own it, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions. … Check out our latest analysis for Interactive Brokers Group

Simply Wall St -

Does Interactive Brokers Group Inc's (NASDAQ:IBKR) CEO Pay Compare Well With Peers?

Recognizing whether CEO incentives are aligned with shareholders is a crucial part of investing. … Incentives can be in the form of compensation, which should always be structured in a way that promotes value-creation to shareholders. … CEOs leading companies of similar size and profitability

Simply Wall St -

Have Investors Priced In Interactive Brokers Group Inc's (NASDAQ:IBKR) Growth?

Interactive Brokers Group Inc (NASDAQ:IBKR) is a stock well-positioned for future growth, but many investors are wondering whether its last closing price of $64.41 is based on unrealistic expectations. … Check out our latest analysis for Interactive Brokers Group? … What can we expect from Interactive Brokers Group in the future.

Simply Wall St -

Has Interactive Brokers Group Inc (NASDAQ:IBKR) Improved Earnings Growth In Recent Times?

When Interactive Brokers Group Inc (NASDAQ:IBKR) announced its most recent earnings (31 March 2018), I did two things: looked at its past earnings track record, then look at what is happening in the industry. … Understanding how Interactive Brokers Group performed requires a benchmark rather than trying to assess a standalone number at one point in time. … View out our latest analysis for Interactive Brokers Group?

Simply Wall St -

Best NasdaqGS Growth Companies

High growth companies such as Interactive Brokers Group and Allegiance Bancshares has a positive future outlook in terms of their returns, profitability and cash flows. … NasdaqGS:IBKR Future Profit May 30th 18 Allegiance Bancshares, Inc. … NasdaqGS:OLED Future Profit May 30th 18 For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.

Simply Wall St -

Best Growth Stocks To Buy

IBKR’s projected future profit growth is a robust 22.87%, with an underlying 33.81% growth from its revenues expected over the upcoming years. … WIX’s forecasted bottom line growth is an optimistic double-digit 47.88%, driven by the underlying 75.98% sales growth over the next few years. … NasdaqCM:SRTS Future Profit Apr 20th 18 For more financially robust companies with high growth potential to enhance your portfolio, explore this interactive list of fast growing companies.

Simply Wall St -

Have Investors Priced In Interactive Brokers Group Inc's (NASDAQ:IBKR) Growth?

Another thing to keep in mind is that Interactive Brokers Group’s share price is quite stable relative to the rest of the market, as indicated by its low beta. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … If you are no longer interested in Interactive Brokers Group, you can use our free platform to see my list of over 50 other stocks with a high growth potential.

Simply Wall St -

Does Interactive Brokers Group Inc's (NASDAQ:IBKR) PE Ratio Warrant A Sell?

By comparing a stock’s price per share to its earnings per share, we are able to see how much investors are paying for each dollar of the company’s earnings. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for IBKR Price per share = $64.79 Earnings per share = $1.087 ∴ Price-Earnings Ratio = $64.79 ÷ $1.087 = 59.6x On its own, the P/E ratio doesn’t tell you much; however, it becomes extremely useful when you compare it with other similar companies. … For example, if you are inadvertently comparing riskier firms with IBKR, then IBKR’s P/E would naturally be higher than its peers since investors would reward its lower risk with a higher price.

Simply Wall St -

Should You Invest In The Financial Sector And Interactive Brokers Group Inc (NASDAQ:IBKR)?

Interactive Brokers Group Inc (NASDAQ:IBKR), a US$29.10B large-cap, operates in the capital markets industry, which now face the choice of either being disintermediated or proactively disrupting their own business models to thrive in the future. … See our latest analysis for Interactive Brokers Group What’s the catalyst for Interactive Brokers Group's sector growth? … Interactive Brokers Group lags the pack with its negative growth rate of -14.59% over the past year, which indicates the company will be growing at a slower pace than its capital markets peers.

Simply Wall St -

How Did Interactive Brokers Group Inc's (NASDAQ:IBKR) 12.33% ROE Fare Against The Industry?

Check out our latest analysis for Interactive Brokers Group Breaking down Return on Equity Firstly, Return on Equity, or ROE, is simply the percentage of last years’ earning against the book value of shareholders’ equity. … Some of Interactive Brokers Group’s peers may have a higher ROE but its cost of equity could exceed this return, leading to an unsustainable negative discrepancy i.e. … While Interactive Brokers Group exhibits a weak ROE against its peers, its returns are sufficient enough to cover its cost of equity.

Simply Wall St -

Company Info

Description

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 funds. The company custodies and services accounts for hedge and mutual funds, registered investment advisors, proprietary trading groups, introducing brokers, and individual investors. In addition, it offers custody, prime brokerage, securities, and margin lending services. Further, the company provides electronic execution and clearing services. It serves institutional and individual customers through approximately 120 electronic exchanges and market centers. Interactive Brokers Group, Inc. was founded in 1977 and is headquartered in Greenwich, Connecticut.

Details
Name: Interactive Brokers Group, Inc.
IBKR
Exchange: NasdaqGS
Founded: 1977
$17,734,364,411
$3,276,514,704
415,421,982
Website: http://www.interactivebrokers.com
Address: Interactive Brokers Group, Inc.
One Pickwick Plaza,
Greenwich,
Connecticut, 06830,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS IBKR Class A Common Stock Nasdaq Global Select US USD 04. May 2007
DB KY6 Class A Common Stock Deutsche Boerse AG DE EUR 04. May 2007
BRSE KY6 Class A Common Stock Berne Stock Exchange CH CHF 04. May 2007
BMV IBKR * Class A Common Stock Bolsa Mexicana de Valores MX MXN 04. May 2007
Number of employees
Current staff
Staff numbers
1,643
Interactive Brokers Group employees.
Industry
Investment Banking and Brokerage
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/05 02:21
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/04/01
Last earnings filing: 2020/02/28
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.