Interactive Brokers Group, Inc. (IBKR) closed the most recent trading day at $63.90, moving +2.67% from the previous trading session. The stock's performance was ahead of the S&P 500's daily loss of 0.69%. At the same time, the Dow lost 0.55%, and the tech-heavy Nasdaq lost 0.82%.
Shares of the company have depreciated by 4.1% over the course of the past month, underperforming the Finance sector's gain of 4.76%, and the S&P 500's gain of 3.79%.
The investment community will be paying close attention to the earnings performance of Interactive Brokers Group, Inc. in its upcoming release. The company is expected to report EPS of $0.49, up 11.36% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.4 billion, up 2.27% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.96 per share and revenue of $5.68 billion, indicating changes of +11.36% and +8.75%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Interactive Brokers Group, Inc. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.29% higher. As of now, Interactive Brokers Group, Inc. holds a Zacks Rank of #1 (Strong Buy).
From a valuation perspective, Interactive Brokers Group, Inc. is currently exchanging hands at a Forward P/E ratio of 31.8. This valuation marks a premium compared to its industry average Forward P/E of 16.44.
Investors should also note that IBKR has a PEG ratio of 2.54 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Investment Bank industry had an average PEG ratio of 1.58 as trading concluded yesterday.
The Financial - Investment Bank industry is part of the Finance sector. With its current Zacks Industry Rank of 17, this industry ranks in the top 7% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow IBKR in the coming trading sessions, be sure to utilize Zacks.com.
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Interactive Brokers Group, Inc. (IBKR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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