Interactive Brokers Group
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Interactive Brokers Group beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly, and earnings per share increased.
Margins grew across the board.
Interactive Brokers Group logged revenue of $307.9 million. The analysts polled by S&P Capital IQ expected to see revenue of $295.4 million. Sales were 65% higher than the prior-year quarter's $203.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.27. The three earnings estimates compiled by S&P Capital IQ anticipated $0.22 per share on the same basis. GAAP EPS were $0.30 for Q4 versus -$0.66 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 78.3%, 1,350 basis points better than the prior-year quarter. Operating margin was 50.7%, 2,820 basis points better than the prior-year quarter. Net margin was 4.5%, 1,960 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $344.7 million. On the bottom line, the average EPS estimate is $0.32.
Next year's average estimate for revenue is $1.43 billion. The average EPS estimate is $1.35.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 569 members out of 591 rating the stock outperform, and 22 members rating it underperform. Among 211 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 205 give Interactive Brokers Group a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Interactive Brokers Group is outperform, with an average price target of $17.75.
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