Expert Outlook: Interactive Brokers Group Through The Eyes Of 8 Analysts

8 analysts have shared their evaluations of Interactive Brokers Group IBKR during the recent three months, expressing a mix of bullish and bearish perspectives.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $218.5, a high estimate of $265.00, and a low estimate of $188.00. Surpassing the previous average price target of $213.25, the current average has increased by 2.46%.

Diving into Analyst Ratings: An In-Depth Exploration

In examining recent analyst actions, we gain insights into how financial experts perceive Interactive Brokers Group. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|-----------------------|---------------|---------------|--------------------|--------------------| |Benjamin Budish |Barclays |Lowers |Overweight | $188.00|$231.00 | |Christopher Allen |Citigroup |Lowers |Buy | $215.00|$242.00 | |Brennan Hawken |UBS |Raises |Buy | $265.00|$225.00 | |Patrick Moley |Piper Sandler |Raises |Overweight | $210.00|$200.00 | |Benjamin Budish |Barclays |Raises |Overweight | $231.00|$224.00 | |Kyle Voigt |Keefe, Bruyette & Woods|Raises |Market Perform | $195.00|$190.00 | |Benjamin Budish |Barclays |Raises |Overweight | $224.00|$214.00 | |Christopher Allen |Citigroup |Raises |Buy | $220.00|$180.00 |

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Interactive Brokers Group. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Interactive Brokers Group compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Interactive Brokers Group's stock. This analysis reveals shifts in analysts' expectations over time.

Capture valuable insights into Interactive Brokers Group's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Interactive Brokers Group analyst ratings.

Get to Know Interactive Brokers Group Better

Interactive Brokers is an online brokerage that generates trading commissions (around 31% of net revenue) from facilitating trading in a wide range of products, including equity, options, futures, foreign exchange, bonds, mutual funds, and exchange-traded funds. Interactive Brokers also generates net interest income (about 64% of net revenue) from idle client cash and earns fees (about 6% of net revenue) from ancillary services. Principal trading and other miscellaneous activities are small (about 5% of net revenue). The firm derives about 70% of its net revenue from the US and 30% from international markets.

A Deep Dive into Interactive Brokers Group's Financials

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Interactive Brokers Group's remarkable performance in 3M is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 15.4%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: Interactive Brokers Group's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 8.96%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 5.15%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.15%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Interactive Brokers Group's debt-to-equity ratio is below the industry average. With a ratio of 0.0, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

Which Stocks Are Analysts Recommending Now?

Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.

This article was generated by Benzinga's automated content engine and reviewed by an editor.