Shares of Interactive Brokers Group (IBKR) rose 3.5% in after-market hours on better-than-expected quarterly results. Its fourth-quarter 2024 adjusted earnings per share of $2.03 beat the Zacks Consensus Estimate of $1.86. The bottom line indicates a jump of 33.6% from the prior-year quarter’s reported actuals.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Results were primarily aided by an increase in revenues. The company recorded growth in customer accounts in the quarter, which ...

Core Insights - Interactive Brokers Group, Inc. (IBKR) reported a revenue of $1.42 billion for Q4 2024, marking a 25% year-over-year increase and exceeding the Zacks Consensus Estimate of $1.38 billion by 3.50% [1] - The earnings per share (EPS) for the same quarter was $2.03, up from $1.52 a year ago, representing a surprise of 9.14% against the consensus estimate of $1.86 [1] Financial Performance Metrics - Net Interest Margin was reported at 2.2%, slightly below the average estimate of 2.4% [4] - Total customer accounts reached 3.34 million, surpassing the estimated 3.2 million [4] - Average interest-earning assets amounted to $148.36 billion, exceeding the estimate of $138.37 billion [4] - Total customer Daily Average Revenue Trades (DARTs) were 3.12 million, above the average estimate of 2.8 million [4] - Cleared customers' commission per cleared commissionable order was $2.72, lower than the estimated $2.81 [4] - Customer equity stood at $568.2 billion, exceeding the average estimate of $546.27 billion [4] - Other fees and services generated $81 million, surpassing the estimated $63.07 million [4] - Commissions totaled $477 million, above the average estimate of $456.68 million [4] - Total net interest income was $807 million, slightly below the average estimate of $822.41 million [4] - Interest income reached $1.86 billion, exceeding the average estimate of $1.77 billion [4] Stock Performance - Shares of Interactive Brokers have returned +7% over the past month, outperforming the Zacks S&P 500 composite's +1.2% change [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Financial Data and Key Metrics Changes - In the fourth quarter, Interactive Brokers demonstrated strong financial performance, with significant growth in revenue and net income compared to the previous quarter [5]. Business Line Data and Key Metrics Changes - The company reported an increase in trading volume across its platforms, indicating robust activity in its brokerage services [5]. Market Data and Key Metrics Changes - Interactive Brokers experienced growth in client accounts, reflecting an expanding customer base and increased market participation [5]. Company Strategy and Development Direction and Industry Competition - The management emphasized a focus on enhancing technology and expanding service offerings to maintain a competitive edge in the brokerage industry [5]. Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing favorable market conditions and a strong demand for trading services as key drivers for growth [5]. Other Important Information - The company highlighted ongoing investments in technology to improve trading efficiency and customer experience [5]. Q&A Session Summary Question: What are the expectations for trading volumes in the upcoming quarters? - Management indicated that they anticipate continued strong trading volumes due to market volatility and increased retail participation [5]. Question: How is the company addressing competitive pressures in the industry? - The response highlighted the importance of technological advancements and customer service enhancements as primary strategies to counter competition [5].

Interactive Brokers Group, Inc. (IBKR) came out with quarterly earnings of $2.03 per share, beating the Zacks Consensus Estimate of $1.86 per share. This compares to earnings of $1.52 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 9.14%. A quarter ago, it was expected that this company would post earnings of $1.78 per share when it actually produced earnings of $1.75, delivering a surprise of -1.69%.Over the last four quarter ...

Core Insights - Interactive Brokers Group reported strong fourth-quarter results, exceeding Wall Street expectations in both earnings and revenue [2][6] - The company demonstrated significant growth in trading volumes, particularly in options and stock trading, which contributed to its financial performance [6][7] Financial Performance - Adjusted earnings per share (EPS) for Q4 2024 were $2.03, surpassing the consensus estimate of $1.84 and up 33.6% from $1.52 in Q4 2023 [3][6] - Adjusted revenue reached $1.424 billion, exceeding the anticipated $1.354 billion, marking a 23.9% increase from $1.149 billion in the previous year [3][6] - Net interest income rose to $807 million, a 10.5% increase from $730 million in Q4 2023 [3][7] - The pretax profit margin improved to 76%, up from 72% in the prior year, reflecting a 400 basis point increase [3][7] - Customer accounts grew by 30.5% to 3.34 million, indicating strong client acquisition [3][8] Business Overview - Interactive Brokers operates an electronic brokerage platform, providing technological solutions for traders and investors, facilitating low-cost and high-speed trade executions [4][5] - The firm offers access to over 150 markets and a wide range of tradable products, reinforcing its competitive position in the industry [5] Strategic Focus - The company is enhancing its proprietary technology and expanding global market access, focusing on maintaining low transaction costs and robust risk management systems [5][10] - Future initiatives include the development of new products like ForecastEx and the opening of new offices in markets such as Dubai, aligning with the company's growth strategy [10][11] Market Outlook - Management is optimistic about future growth, anticipating an increase in client accounts and heightened market activity linked to global events [12] - Forward guidance reflects expectations for continued customer growth and global expansion, with ongoing attention to regulatory changes and competitive dynamics [12]

INTERACTIVE BROKERS GROUP ANNOUNCES 4Q2024 RESULTS GAAP DILUTED EPS OF $1.99, ADJUSTED1 EPS OF $2.03 GAAP NET REVENUES OF $1,387 MILLION, ADJUSTED NET REVENUES OF $1,424 MILLION GREENWICH, CT, January 21, 2025 — Interactive Brokers Group, Inc. (Nasdaq: IBKR), an automated global electronic broker, announced results for the quarter ended December 31, 2024. — — — Reported diluted earnings per share were $1.99 for the current quarter and $2.03 as adjusted. For the year-ago quarter, reported diluted earnings pe ...

Interactive Brokers Group, Inc. (IBKR) is scheduled to announce fourth-quarter and full-year 2024 results on Jan. 21, after market close. Its quarterly earnings and revenues are expected to have improved year over year.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Interactive Brokers’ third-quarter 2024 earnings lagged the Zacks Consensus Estimate. Higher expenses hurt the company's results. On the other hand, higher total GAAP net revenues, growth in customer accounts and an incr ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Let's take a look at what these Wall Street heavyweights have to say about Interactive Brokers Group, Inc. (IBKR) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Interactiv ...

Company Overview - Interactive Brokers is a large online broker specializing in low-cost automated trading and investing [1] - The company has over 3.34 million accounts, with 69% registered as individual accounts [1] Growth and Market Position - The company has been consistently growing, indicating strong market presence and operational efficiency [1] Target Market and Strategy - Initially targeted at equity research with an emphasis on intrinsic value [1] - Prioritizes undervalued and growing companies, preferably in the early stages of their development [1]

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...