Key Takeaways IBKR's June DARTs rose 39.7% YoY to 3.45M, boosting shares by 3.4% on increased client activity. The company's global expansion and tech upgrades continue to support strong revenue momentum. Non-interest expenses climbed at a 13.8% CAGR through 2024 and remained elevated in early 2025.Interactive Brokers Group, Inc. (IBKR) reported a rise in its client Daily Average Revenue Trades (DARTs) on a year-over-year basis for June 2025. In light of this, shares of the company rose 3.4% in yesterday’ ...

Smartphones have enabled investing to reach the masses, driven by the viral growth of the Robinhood Markets trading application. It now has over 25 million customers and was only incorporated in 2013. Everyone knows about Robinhood, but another disruptive stock brokerage platform is gaining rapid share of the investment community, coming at the industry from a different angle: Interactive Brokers (IBKR 2.20%).Known as IBKR for short, the company has grown its client equity at a rapid rate over the last deca ...

Core Viewpoint - Interactive Brokers Group, Inc. (IBKR) has reported a significant increase in client Daily Average Revenue Trades (DARTs) for April 2025, driven by higher net new accounts and increased trading activity in options and futures contracts [1][6]. Group 1: Financial Performance - Total client DARTs for April 2025 reached 3,818,000, marking a 63.2% increase compared to April 2024 [1]. - Following the DART announcement on May 1, IBKR shares rose by 2.3%, underperforming the industry but outperforming the Zacks Finance sector [2]. - The company’s net revenues have shown a compound annual growth rate (CAGR) of 21.8% over the last five years (2019-2024) [12]. Group 2: Market Conditions and Client Activity - IBKR has benefited from heightened market volatility and increased client activity due to tariff concerns and rising geopolitical risks [6]. - The momentum in client activity is expected to continue as markets react to tariff impacts across various sectors [6]. Group 3: Product Diversification and Global Expansion - IBKR has extended trading hours for its Forecast Contracts to nearly 24 hours a day, enhancing its trading income [7]. - The company has launched several initiatives, including the introduction of Plan d'Epargne en Actions accounts for French clients and the IBKR GlobalTrader mobile application for global stock trading [8][9]. - The expansion of investment offerings, including mutual funds in the U.K., aims to provide a tax-efficient savings vehicle for investors [7]. Group 4: Technological Advancements - IBKR's technological superiority allows it to process trades across more than 150 exchanges globally [11]. - The company has focused on developing proprietary software to automate broker-dealer functions, contributing to revenue growth [12]. - The introduction of IBKR Desktop marks a significant innovation in its trading platform [9]. Group 5: Valuation and Analyst Sentiment - IBKR shares are currently trading at a price-to-tangible book (P/TB) ratio of 1.12X, significantly below the industry average of 2.77X, indicating potential undervaluation [16]. - Despite a recent downward revision in earnings estimates for 2025 and 2026 by 3% and 3.2% respectively, the projected figures still imply growth [18][21]. - The company is well-positioned for growth in a volatile operating environment, supported by strong technological capabilities and diversified product offerings [22].