Interactive Brokers Group, Inc. (IBKR) closed the most recent trading day at $64.19, moving +1.61% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.69% for the day. Elsewhere, the Dow gained 0.67%, while the tech-heavy Nasdaq added 0.82%.
The company's stock has dropped by 7.98% in the past month, falling short of the Finance sector's gain of 0.09% and the S&P 500's loss of 0.31%.
The upcoming earnings release of Interactive Brokers Group, Inc. will be of great interest to investors. The company is expected to report EPS of $0.49, down 3.92% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $1.43 billion, indicating a 0.29% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $2.06 per share and a revenue of $5.93 billion, demonstrating changes of +17.05% and +13.55%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Interactive Brokers Group, Inc. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.15% increase. Right now, Interactive Brokers Group, Inc. possesses a Zacks Rank of #2 (Buy).
Investors should also note Interactive Brokers Group, Inc.'s current valuation metrics, including its Forward P/E ratio of 30.67. For comparison, its industry has an average Forward P/E of 16.42, which means Interactive Brokers Group, Inc. is trading at a premium to the group.
We can additionally observe that IBKR currently boasts a PEG ratio of 1.93. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Financial - Investment Bank industry had an average PEG ratio of 1.07 as trading concluded yesterday.
The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 28, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on 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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