Core Viewpoint - A stock split does not alter the underlying business fundamentals, yet stocks that undergo splits tend to outperform in the following 12 months, making them noteworthy for investors [1] Company Overview - Interactive Brokers (IBKR) has experienced significant growth in users, revenue, and earnings over the past decade, attracting customers with its advanced trading platform [2] - The brokerage offers a comprehensive trading platform that allows customers to trade various markets, currencies, bonds, and futures, providing a better value proposition compared to traditional brokerages [3] - The company has transitioned from 200,000 active customers in 2012 to 3.6 million today, primarily attracting wealthier and more sophisticated traders [4] Product and Service Expansion - Interactive Brokers is expanding its offerings to include more cryptocurrency trading and a prediction marketplace, enhancing its value for customers and attracting investors from legacy brokerages [5] Financial Performance - The company has maintained a high pre-tax profit margin of 74%, significantly above the S&P 500 average of 10% to 15%, demonstrating its efficiency and profitability [8] - Net income has surged by 400% over the last five years, reaching $793 million in the past 12 months, indicating substantial growth potential as it captures more market share [8] Investment Consideration - Despite a 67% increase in stock price over the last year and a recent stock split, the company still presents a compelling investment opportunity due to its growth trajectory and market position [10] - The current price-to-earnings ratio of 28 may deter some value investors, but the company's impressive growth in users, revenue, and earnings suggests a strong potential for continued market share expansion [11] - If the company can sustain its rapid earnings growth, it is considered a strong buy following the recent stock split [12]