GREENWICH, Conn. - Interactive Brokers (NASDAQ:IBKR) Group, Inc. (NASDAQ:IBKR), a global electronic brokerage firm, has reported an increase in its trading activity for January, with significant growth in both client equity and accounts. The company's Daily Average Revenue Trades (DARTs) reached 2.201 million for the month, marking an 11% rise from the previous year and a 12% increase from the prior month.
Client equity by the end of January stood at $424.0 billion, showing a robust 26% growth year-over-year and remaining steady compared to the previous month. Margin loan balances were also up, with ending client margin loan balances of $44.3 billion, a 12% increase from the year before and consistent with the previous month's figures.
In terms of client credit balances, which include insured bank deposit sweeps, there was a slight decline of 2% from the previous month to $102.5 billion, but this still represented a 3% increase compared to the same period last year. The number of client accounts saw a substantial rise of 23% from the prior year, reaching 2.63 million, which is 2% higher than the preceding month.
Interactive Brokers also disclosed that the average commission per cleared Commissionable Order, including fees, was $3.03. The average order size for stocks was 958 shares with an average commission of $1.95, equity options averaged 6.5 contracts at $4.08, and futures averaged 3.1 contracts at $4.51.
The company's GLOBAL value, which represents its net worth in a basket of 10 major currencies, decreased by 0.46% in January. Furthermore, the report detailed the all-in cost of trade execution for IBKR PRO clients, which averaged about 3.4 basis points of trade money for January, against a daily VWAP benchmark.
The information in this article is based on a press release.
InvestingPro Insights
Interactive Brokers Group, Inc. (NASDAQ:IBKR) continues to make strides in the financial market as reflected by its trading activity and client growth metrics. Delving deeper into the financial health and market performance of the company through InvestingPro data, we uncover some compelling figures. The company boasts a market capitalization of $37.78 billion and a P/E ratio of 15.56, which adjusts slightly to 15.83 when considering the last twelve months as of Q4 2023. This valuation comes in light of a notable revenue growth of 37.04% over the same period, underscoring the company's strong performance.
InvestingPro Tips highlight that analysts have revised their earnings upwards for the upcoming period, indicating optimism about the company's future financial performance. This is coupled with the fact that Interactive Brokers is trading at a low P/E ratio relative to its near-term earnings growth, which could signal an attractive investment opportunity. Furthermore, the company has shown a commitment to shareholder returns by maintaining dividend payments for 15 consecutive years, a testament to its financial reliability and stability.
For those seeking more in-depth analysis and additional insights, InvestingPro offers a wealth of tips; for instance, there are six more tips available that delve into the company's profitability, valuation multiples, and historical returns. These insights are part of the comprehensive suite of tools and data available to InvestingPro subscribers, who can now benefit from a special New Year sale with discounts of up to 50%.
To enhance your investment research with these tools, use coupon code SFY24 to get an additional 10% off a 2-year InvestingPro+ subscription, or SFY241 to get an additional 10% off a 1-year InvestingPro+ subscription. Whether you're an individual investor, financial advisor, or part of a trading group, these insights can help refine your strategies in the dynamic market landscape.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.