Interactive Brokers Stock Rises On 66% Growth In Daily Average Revenue Trades In December: Retail Remains Confident
Ending client equity increased 33% year over year (YoY) to $568.2 billion and declined 1% compared to the prior month.
FollowShares of Interactive Brokers Group, Inc. (IBKR) rose over 1% on Thursday after the company announced its December metrics, which saw the daily average revenue trades rise by 66% year-over-year (YoY).
However, the metric witnessed a 1% decline versus the previous month.
Ending client equity witnessed a 33% YoY growth to $568.2 billion and a 1% decline compared to the prior month.
Ending client margin loan balances grew 45% YoY to $64.2 billion while ending client credit balances of $119.7 billion, including $4.9 billion in insured bank deposit sweeps, stood 15% higher than the prior year.
Meanwhile, the average order size for stocks in December stood at 862 shares, with an average commission per cleared commissionable order at $1.84.
Interactive Brokers witnessed a 30% YoY growth in client accounts to 3.34 million during the month. The firm also saw a mark-to-market gain of $0.3 million for the quarter and a gain of $1.8 million for the year ended Dec. 31.
Following the disclosure, retail sentiment on Stocktwits climbed further into the ‘bullish’ territory (60/100), accompanied by high message volumes.
IBKR’s Sentiment Meter and Message Volume as of 1:09 p.m. ET on Jan. 2, 2025 | Source: Stocktwits
According to TheFly, Barclays recently raised its price target on Interactive Brokers to $214 from $165 while keeping an ‘Overweight’ rating on the shares.
The brokerage believes that the macro backdrop appears constructive going into 2025 for brokers, asset managers, and exchanges.
Interactive Brokers Group affiliates provide automated trade execution and custody of securities, commodities, and various assets on over 150 markets in numerous countries. The firm serves individual investors, hedge funds, proprietary trading groups, financial advisors, and introducing brokers.
Notably, the firm's shares have more than doubled over the last year.
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