Overview
Interactive Brokers Q3 revenue grows, beating analyst expectations
Adjusted EPS for Q3 beats consensus
Company declares quarterly cash dividend of $0.08 per share
Outlook
Interactive Brokers did not provide specific future guidance
Result Drivers
TRADING VOLUMES - Increased customer trading volumes in stocks and options boosted commission revenue by 23%
SECURITIES LENDING - Stronger securities lending activity and higher average customer margin loans increased net interest income by 21%
EXPENSE REDUCTION - General and administrative expenses fell 59% due to non-recurrence of legal and regulatory costs
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$1.65 bln
$1.51 bln (6 Analysts)
Q3 Adjusted EPS
Beat
$0.57
$0.54 (8 Analysts)
Q3 EPS
$0.59
Q3 Net Income
$1.18 bln
Q3 Net Interest Income
$967 mln
Q3 Dividend
$0.08
Q3 Pretax Profit
$1.31 bln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the investment banking & brokerage services peer group is "buy"
Wall Street's median 12-month price target for Interactive Brokers Group Inc is $77.50, about 10% above its October 15 closing price of $69.77
The stock recently traded at 32 times the next 12-month earnings vs. a P/E of 29 three months ago
Press Release: ID:nBw7fZX69a
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)