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Interactive Brokers (IBKR) Stock Analysis

This is a peer-relative look at Interactive Brokers (IBKR): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Financial Services peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Interactive Brokers (IBKR)
Profile ItemIBKR
NameInteractive Brokers Group, Inc. Class A Common Stock
Country/RegionUnited States
GICS SectorFinancials
GICS Industry GroupFinancial Services
GICS IndustryCapital Markets
GICS Sub-IndustryInvestment Banking & Brokerage
Market Capitalization129.19 billion USD
CurrencyUSD
ExchangeNasdaq
Listing DateMay 4, 2007
Security TypeCommon Stock

Price Performance

Cumulative Growth

IBKR
GSPC
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Interactive Brokers (IBKR) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Interactive Brokers (IBKR) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Interactive Brokers (IBKR) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Total Return (1Y)11.53%1.90%
Total Return (3Y, Annualized)57.15%12.71%
Total Return (5Y, Annualized)34.54%2.81%

Risk Profile

Drawdown History

IBKR
GSPC
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Interactive Brokers (IBKR) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Interactive Brokers (IBKR) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Volatility (1Y, Annualized)40.72%36.24%
Beta (5Y)1.371.04
Max Drawdown (5Y)-38.66%-48.56%

Risk-Adjusted Performance

Risk-Return Positioning

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Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. IBKR is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Sharpe Ratio (1Y)0.18-0.09
Sortino Ratio (1Y)0.26-0.13

Profitability

ROE (TTM)

Interactive Brokers (IBKR) posts ROE of 23.67%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

IBKR

Financial Services industry group

23.67%

Group distribution
Max
44.78%
IBKR
23.67%
Q3
21.85%
Median
12.91%
Q1
4.48%
Min
-18.71%
Largest peers
MA
231.37%
V
63.51%
IBKR
23.67%
MS
18.04%
GS
17.71%
BRK.A
12.12%
BRK.B
12.12%
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Where Interactive Brokers (IBKR) stands on ROE within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Interactive Brokers (IBKR) keeps 16.68% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.

IBKR

Financial Services industry group

16.68%

Group distribution
Max
62.84%
Q3
28.05%
IBKR
16.68%
Median
15.36%
Q1
4.82%
Min
-28.52%
Largest peers
V
51.20%
MA
46.73%
GS
31.21%
MS
25.63%
BRK.A
22.30%
BRK.B
22.30%
IBKR
16.68%
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Where Interactive Brokers (IBKR) stands on net margin within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Interactive Brokers (IBKR) turns 77.70% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.

IBKR

Financial Services industry group

77.70%

Group distribution
Max
107.33%
IBKR
77.70%
Q3
55.90%
Median
30.09%
Q1
14.60%
Min
-44.34%
Largest peers
IBKR
77.70%
V
63.73%
MA
60.53%
MS
39.00%
GS
38.37%
BRK.A
32.56%
BRK.B
32.56%
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Where Interactive Brokers (IBKR) stands on operating margin within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
ROE (TTM)23.67%12.91%
ROA (TTM)2.28%3.60%
Net Margin (TTM)16.68%15.36%
Operating Margin (TTM)77.70%30.09%
Gross Margin (TTM)----

Growth

Revenue Growth

Interactive Brokers (IBKR) grew revenue 9.73%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

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Interactive Brokers (IBKR): Revenue Growth across different time periods, set against Financial Services industry-group medians.

EPS Growth

Interactive Brokers (IBKR) grew earnings per share 28.14%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.

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Interactive Brokers (IBKR): EPS Growth across different time periods, set against Financial Services industry-group medians.

Growth Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Revenue Growth (YoY)9.73%9.46%
Revenue Growth (3Y CAGR)34.60%10.90%
EPS Growth (YoY)28.14%7.46%
EPS Growth (3Y CAGR)33.29%13.04%

Financial Strength

Current Ratio (MRQ)

current ratio is set aside for Interactive Brokers (IBKR) in Financial Services: these balance sheets are not best read through a current/non-current split, so regulatory, funding, or liquidity-coverage measures usually matter more.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for Interactive Brokers (IBKR) in Financial Services: leverage is part of the business model itself, so capital adequacy, funding mix, and regulatory measures are usually better risk gauges.

Financial Strength Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Interactive Brokers (IBKR) has dividend yield of 0.46%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

IBKR

Financial Services industry group

0.46%

Group distribution
Max
9.77%
Q3
3.92%
Median
1.09%
IBKR
0.46%
Q1
0.00%
Min
0.00%
Largest peers
MS
2.40%
GS
2.07%
V
0.66%
MA
0.53%
IBKR
0.46%
BRK.A
0.00%
BRK.B
0.00%
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Where Interactive Brokers (IBKR) stands on dividend yield within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Interactive Brokers (IBKR) has payout ratio of 12.79%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

IBKR

Financial Services industry group

12.79%

Group distribution
Max
241.07%
Q3
97.36%
Median
25.77%
IBKR
12.79%
Q1
0.00%
Min
0.00%
Largest peers
MS
32.91%
GS
25.88%
V
21.75%
MA
17.63%
IBKR
12.79%
BRK.A
0.00%
BRK.B
0.00%
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Where Interactive Brokers (IBKR) stands on payout ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
Dividend Yield (TTM)0.46%1.09%
Dividend Payout Ratio (TTM)12.79%25.77%

Valuation

P/E Ratio (TTM)

Interactive Brokers (IBKR) trades at P/E ratio of 28.94, in the richer earnings-multiple quartile for its industry. That premium needs support from growth, durable earnings, or stronger business quality.

IBKR

Financial Services industry group

28.94

Group distribution
Max
45.85
IBKR
28.94
Q3
24.64
Median
15.37
Q1
9.68
Min
0.16
Largest peers
V
34.31
MA
34.15
IBKR
28.94
MS
14.39
BRK.A
14.36
BRK.B
14.36
GS
12.45
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Where Interactive Brokers (IBKR) stands on P/E ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Interactive Brokers (IBKR) trades at 18.30 on P/S ratio, above the industry benchmark range. The stock is being valued at an unusually rich price per dollar of trailing revenue.

IBKR

Financial Services industry group

18.30

Group distribution
IBKR
18.30
Max
9.23
Q3
4.57
Median
2.72
Q1
1.28
Min
-0.55
Largest peers
IBKR
18.30
V
17.18
MA
15.67
MS
3.55
GS
3.52
BRK.A
3.18
BRK.B
3.18
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Where Interactive Brokers (IBKR) stands on P/S ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Interactive Brokers (IBKR) trades at 5.53 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

IBKR

Financial Services industry group

5.53

Group distribution
Max
7.79
IBKR
5.53
Q3
3.63
Median
1.57
Q1
0.81
Min
-0.39
Largest peers
MA
84.30
V
22.05
IBKR
5.53
MS
2.65
GS
2.36
BRK.A
1.72
BRK.B
0.00
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Where Interactive Brokers (IBKR) stands on P/B ratio within its Financial Services peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Interactive Brokers (IBKR) metric values compared with Financial Services industry-group medians
MetricCurrent stock: IBKRIndustry group median
P/E Ratio (TTM)28.9415.37
P/S Ratio (TTM)18.302.72
P/B Ratio (MRQ)5.531.57
Free Cash Flow Yield (TTM)----