77.58 USD
+0.37 (+0.48%)
77.3304 USD
-0.25 (-0.32%)
Overall IBKR gets a fundamental rating of 4 out of 10. We evaluated IBKR against 238 industry peers in the Capital Markets industry. While IBKR is still in line with the averages on profitability rating, there are concerns on its financial health. IBKR is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- IBKR had positive earnings in the past year.
- IBKR had a positive operating cash flow in the past year.
- Each year in the past 5 years IBKR has been profitable.
- Of the past 5 years IBKR 4 years had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of IBKR (0.46%) is worse than 73.95% of its industry peers.
- With an excellent Return On Equity value of 17.96%, IBKR belongs to the best of the industry, outperforming 83.19% of the companies in the same industry.
- With a decent Return On Invested Capital value of 7.44%, IBKR is doing good in the industry, outperforming 79.41% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for IBKR is in line with the industry average of 7.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 17.96% | ||
| ROIC | 7.44% |
ROA(3y)0.48%
ROA(5y)0.41%
ROE(3y)17.58%
ROE(5y)15.79%
ROIC(3y)8.82%
ROIC(5y)8.09%
1.3 Margins
- Looking at the Profit Margin, with a value of 9.06%, IBKR is doing worse than 65.55% of the companies in the same industry.
- In the last couple of years the Profit Margin of IBKR has grown nicely.
- IBKR's Operating Margin of 44.58% is amongst the best of the industry. IBKR outperforms 81.09% of its industry peers.
- In the last couple of years the Operating Margin of IBKR has declined.
- IBKR has a Gross Margin of 54.41%. This is in the better half of the industry: IBKR outperforms 63.45% of its industry peers.
- IBKR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.58% | ||
| PM (TTM) | 9.06% | ||
| GM | 54.41% |
OM growth 3Y-2.19%
OM growth 5Y-2.01%
PM growth 3Y0.49%
PM growth 5Y3.71%
GM growth 3Y-6.15%
GM growth 5Y-6.5%
2. Health
2.1 Basic Checks
- The number of shares outstanding for IBKR has been increased compared to 1 year ago.
- IBKR has more shares outstanding than it did 5 years ago.
- IBKR has a worse debt/assets ratio than last year.
2.2 Solvency
- IBKR has an Altman-Z score of 0.52. This is a bad value and indicates that IBKR is not financially healthy and even has some risk of bankruptcy.
- IBKR has a Altman-Z score of 0.52. This is comparable to the rest of the industry: IBKR outperforms 40.34% of its industry peers.
- The Debt to FCF ratio of IBKR is 1.75, which is an excellent value as it means it would take IBKR, only 1.75 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 1.75, IBKR belongs to the best of the industry, outperforming 87.39% of the companies in the same industry.
- A Debt/Equity ratio of 5.47 is on the high side and indicates that IBKR has dependencies on debt financing.
- With a Debt to Equity ratio value of 5.47, IBKR is not doing good in the industry: 84.45% of the companies in the same industry are doing better.
- Even though the debt/equity ratio score it not favorable for IBKR, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.47 | ||
| Debt/FCF | 1.75 | ||
| Altman-Z | 0.52 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- IBKR has a Current Ratio of 0.97. This is a bad value and indicates that IBKR is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.97, IBKR perfoms like the industry average, outperforming 41.60% of the companies in the same industry.
- IBKR has a Quick Ratio of 0.97. This is a bad value and indicates that IBKR is not financially healthy enough and could expect problems in meeting its short term obligations.
- IBKR has a Quick ratio (0.97) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
- IBKR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.56%, which is quite impressive.
- Measured over the past years, IBKR shows a very strong growth in Earnings Per Share. The EPS has been growing by 29.78% on average per year.
- The Revenue has grown by 11.18% in the past year. This is quite good.
- IBKR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 33.28% yearly.
EPS 1Y (TTM)22.56%
EPS 3Y29.63%
EPS 5Y29.78%
EPS Q2Q%28.08%
Revenue 1Y (TTM)11.18%
Revenue growth 3Y36.65%
Revenue growth 5Y33.28%
Sales Q2Q%17.28%
3.2 Future
- The Earnings Per Share is expected to grow by 7.59% on average over the next years.
- The Revenue is expected to grow by 5.32% on average over the next years.
EPS Next Y8.68%
EPS Next 2Y10.02%
EPS Next 3Y8.83%
EPS Next 5Y7.59%
Revenue Next Year8.9%
Revenue Next 2Y8.92%
Revenue Next 3Y6.21%
Revenue Next 5Y5.32%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 35.26 indicates a quite expensive valuation of IBKR.
- Compared to the rest of the industry, the Price/Earnings ratio of IBKR indicates a slightly more expensive valuation: IBKR is more expensive than 75.63% of the companies listed in the same industry.
- IBKR is valuated rather expensively when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 32.45, IBKR can be considered very expensive at the moment.
- Based on the Price/Forward Earnings ratio, IBKR is valued a bit more expensive than the industry average as 69.33% of the companies are valued more cheaply.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. IBKR is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.26 | ||
| Fwd PE | 32.45 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, IBKR is valued a bit cheaper than the industry average as 66.81% of the companies are valued more expensively.
- IBKR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. IBKR is cheaper than 81.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.23 | ||
| EV/EBITDA | 27.52 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IBKR does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)4.06
PEG (5Y)1.18
EPS Next 2Y10.02%
EPS Next 3Y8.83%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.42%, IBKR is not a good candidate for dividend investing.
- IBKR's Dividend Yield is slightly below the industry average, which is at 6.10.
- Compared to an average S&P500 Dividend Yield of 1.82, IBKR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.42% |
5.2 History
- The dividend of IBKR is nicely growing with an annual growth rate of 15.84%!
- IBKR has been paying a dividend for at least 10 years, so it has a reliable track record.
- IBKR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.84%
Div Incr Years1
Div Non Decr Years11
5.3 Sustainability
- 13.63% of the earnings are spent on dividend by IBKR. This is a low number and sustainable payout ratio.
- The dividend of IBKR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP13.63%
EPS Next 2Y10.02%
EPS Next 3Y8.83%
INTERACTIVE BROKERS GRO-CL A / IBKR FAQ
Can you provide the ChartMill fundamental rating for INTERACTIVE BROKERS GRO-CL A?
ChartMill assigns a fundamental rating of 4 / 10 to IBKR.
Can you provide the valuation status for INTERACTIVE BROKERS GRO-CL A?
ChartMill assigns a valuation rating of 2 / 10 to INTERACTIVE BROKERS GRO-CL A (IBKR). This can be considered as Overvalued.
How profitable is INTERACTIVE BROKERS GRO-CL A (IBKR) stock?
INTERACTIVE BROKERS GRO-CL A (IBKR) has a profitability rating of 5 / 10.
What is the earnings growth outlook for INTERACTIVE BROKERS GRO-CL A?
The Earnings per Share (EPS) of INTERACTIVE BROKERS GRO-CL A (IBKR) is expected to grow by 8.68% in the next year.
Is the dividend of INTERACTIVE BROKERS GRO-CL A sustainable?
The dividend rating of INTERACTIVE BROKERS GRO-CL A (IBKR) is 5 / 10 and the dividend payout ratio is 13.63%.