Interactive Brokers Group Inc Stock Price, News & Analysis

Interactive Brokers Group reported Q1 2023 results with a GAAP diluted EPS of $1.42 and adjusted EPS of $1.35, reflecting significant growth from $0.74 and $0.82 year-over-year, respectively. Net revenues reached $1,056 million, up from $645 million a year ago. The firm saw a 2% increase in commission revenue to $357 million, driven by record futures contract volumes, despite a dip in customer stock trading volume. Net interest income soared 126% to $637 million due to rising interest rates. Customer accounts rose 21% to 2.20 million, though customer equity fell 4% to $343.1 billion. A quarterly cash dividend of $0.10 per share was declared, payable June 14, 2023.

Interactive Brokers Group (Nasdaq: IBKR) reported March 2023 performance metrics showing a decline in key trading metrics year-over-year. Daily Average Revenue Trades (DARTs) were 2.055 million, down 16% compared to last year and 3% from February. Ending client equity was $343.1 billion, with a 4% decrease year-over-year but a 3% rise from last month. Client margin loan balances fell 18% to $39.4 billion year-over-year, while credit balances increased 4% to $96.6 billion. The firm also reported 2.20 million client accounts, a 21% increase year-over-year. The average commission per cleared order was $3.21, reflecting market dynamics.

Interactive Brokers (NASDAQ: IBKR) announced clients can earn up to 4.33% interest on cash balances over USD 10,000. Interest is paid directly into client brokerage accounts, making funds instantly available. In comparison, other brokerages offer rates between 0.01% and 2.32%. The company uses the Fed Funds rate as a reference, allowing for potential earnings to increase as interest rates rise. Clients will have daily accruing interest with monthly payments, simplifying cash management. Thomas Peterffy, founder, emphasized the benefits of competitive rates and a sophisticated trading platform.

Interactive Brokers Group (Nasdaq: IBKR) reported its February performance metrics, showing 2.121 million Daily Average Revenue Trades (DARTs), a 15% decline year-over-year but 7% increase month-over-month. Client equity stood at $331.6 billion, down 5% from last year. The margin loan balances decreased 21% year-over-year to $39.1 billion. Conversely, client credit balances rose 10% to $97.9 billion, including $2.5 billion in insured deposits. The firm also achieved 2.16 million client accounts, representing a 22% increase from the previous year.

Interactive Brokers (NASDAQ: IBKR) has launched its revamped IBKR Campus website, offering a wide range of free educational resources for investors. The platform includes courses, webinars, podcasts, and market commentaries aimed at all levels, from beginners to advanced traders. It features user-friendly navigation to help investors enhance their trading skills and market understanding. Key offerings include the Traders’ Academy, Traders’ Insight, and IBKR Podcasts, which provide crucial insights into current financial events and trading strategies. The entire suite is free for both clients and non-clients worldwide.

Interactive Brokers (NASDAQ: IBKR) has extended its global reach into Taiwan by partnering with Sinopac Securities as its primary international broker. This collaboration enables institutional and retail clients to trade US stocks, ETFs, and fixed income instruments.

Clients can access 90+ stock markets worldwide and enjoy features like fractional share trading and algorithmic trading, absent from other local brokers. Interactive Brokers also supports trading select US ETFs 23½ hours a day through Overnight Trading Hours, enhancing market access for Taiwanese investors.

Interactive Brokers (Nasdaq: IBKR) has launched cryptocurrency trading services in Hong Kong, specifically for Professional Investor clients. Eligible individuals must have over HKD 8 million in investable assets or institutions with over HKD 40 million. The trading platform supports Bitcoin and Ethereum with low commissions of 0.20% - 0.30% of trade value and a USD 2.25 minimum order. This launch coincides with increasing investor interest in digital assets, enhancing the unified trading experience on its platform. The initiative is powered by OSL Digital Securities, enhancing market competitiveness.

Interactive Brokers Group (Nasdaq: IBKR) published its performance metrics for January, reporting 1.988 million Daily Average Revenue Trades (DARTs), a 24% decline year-over-year but a 14% increase month-over-month. Client equity stands at $337.6 billion, down 4% from the previous year, yet up 10% from December. Margin loan balances fell 21% year-over-year to $39.5 billion, while client credit balances rose 12% to $99.8 billion. The company reported 2.13 million client accounts, a 23% increase year-over-year. Average commission per order was $3.11 for cleared trades.

Interactive Brokers Group announced that its Chairman, Thomas Peterffy, will present at the BofA Securities 2023 Financial Services Conference on February 14th at 2:30 p.m. ET. The presentation will be available for live streaming on the company’s website. Attendees are encouraged to log in 10 minutes before the event, with a replay accessible afterward. Interactive Brokers offers automated trading and custody services across over 150 markets globally, catering to a diverse clientele including individual investors and financial advisors. The firm has received accolades, ranking #1 in Barron’s Best Online Brokers Review for five consecutive years.