Summary
- Interactive Brokers (IBKR) shows strong technical buy signals, with a 21.79% gain since 8/22 and significant price appreciation, supported by Barchart's screening tools.
- The company excels in automated electronic brokerage, offering diverse financial services globally, with a market cap of $63.64 billion and a P/E ratio of 23.36.
- Analysts are bullish with 5 strong buys, 3 buys, and 1 hold, citing impressive revenue and earnings growth, and favorable interest rate conditions.
- Despite its volatility, IBKR is monitored by 17,760 investors on Seeking Alpha, highlighting its strong investor interest and potential for continued growth.
The Chart of the Day belongs to the automated electronic broker Interactive Brokers (IBKR) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 8/22 the stock gained 21.79%.
Interactive Brokers Group, Inc. operates as an automated electronic broker worldwide. The company engages in the execution, clearance, and settlement of trades in stocks, options, futures, foreign exchange instruments, bonds, mutual funds, exchange traded funds (ETFs), precious metals, and cryptocurrencies. It also custodies and services accounts for hedge and mutual funds, ETFs, registered investment advisors, proprietary trading groups, introducing brokers, and individual investors. In addition, the company offers custody, prime brokerage, securities, and margin lending services. It serves institutional and individual customers through electronic exchanges and market centers. The company was founded in 1977 and is headquartered in Greenwich, Connecticut.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 85.32+ Weighted Alpha
- 72.81% gain in the last year
- Trend Seeker buy signal
- .80 - 60 month Beta
- Above its 20, 50 and 100 day moving averages
- 17 new highs and up 23.11% in the last month
- Relative Strength Index 79.50%
- Technical support level at $149.61
- Recently traded at $151.14 with 50 day moving average of $128.74
Fundamental Factors:
- Market Cap $63.64 billion
- P/E 23.36
- Dividend yield .46%
- Revenue expected to grow 16.10% this year and another 1.20% next year
- Earnings are estimated to increase 20.90% this year, decrease 2.00% next year and continue to increase at a compounded annual rate of 12.55% for the next 5 years
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Wall Street analyst gave 5 strong buy, 3 buy and 1 hold opinion on the stock
- Analysts' price targets are between $148 and $178
- Value Line rates the stock its above average rating of 2 and comments:"Interactive Brokers continues to put up impressive numbers. In the second period, the automated global electronic broker’s revenues climbed 23% on a year over-year basis. The news was even better for the bottom line, as share earnings surged by 38%."
- CFRAs MarketScope rates the stock a5 star strong buy and comments:"We believe IBKR is poised to benefit from higher NII as strong economic growth and sticky inflation lead to interest rates remaining higher for longer."
- MorningStar give the stock its average rating of 3 and comments:"We assume commissions will grow at a 10-year compound annual growth rate of around 5%. The firm’s recent growth has been skewed toward international clients that generally trade less frequently. Interest rates are a long-term valuation driver."
- 17,760 investors monitor the stock on Seeking Alpha
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
