Should You Invest in IBKR Now as DART Numbers Continue to Grow?

Since the beginning of this year, Interactive Brokers Group, Inc. IBKR has been benefiting from heightened market volatility and increased retail investor participation, as evident from its solid Daily Average Revenue Trades (DARTs) numbers.In the first, second and third quarters of 2025, IBKR recorded 50%, 49% and 34% year-over-year increases in total customer DARTs. In October 2025, total customer DARTs were 4,472,000, up 58.4% from October 2024 and 15.7% from September 2025. On an annualized basis, cleared average DARTs per customer account were 229 in October. The metric increased 14.5% on a year-over-year basis and 12.8% from September 2025.Supported by the robust DART numbers, IBKR’s revenue growth has been impressive. In the first nine months of 2025, the company’s net revenues increased 20.1% year over year.Amid a favorable trading backdrop, IBKR’s technological superiority, combined with easier regulations to improve product velocity, will likely continue to support revenue growth through higher client acquisitions.The Zacks Consensus Estimate for IBKR’s 2025 and 2026 revenues is $5.92 billion and $6.24 billion, which indicates year-over-year growth of 13.4% and 5.3%, respectively.Sales Estimates Image Source: Zacks Investment Research If we look at the company’s price performance, its shares have gained 51.8% so far this year, outperforming the S&P 500 Index’s 18.3% rise and the industry’s 33.9% growth. IBKR’s two closest peers Robinhood Markets, Inc. HOOD and Charles Schwab SCHW have rallied 226.2% and 28.8%, respectively, in the same time frame.YTD Price Performance Image Source: Zacks Investment Research Given IBKR’s robust performance, investors must be tempted to buy the stock now. But, before making any investment decision, it is better to examine the company’s fundamentals and growth prospects to understand whether the stock has further upside potential left.Key Factors Supporting Interactive Brokers Product Diversification Efforts: Interactive Brokers has continuously been making efforts to expand the product suite and reach of its services. Last month, the company launched the Karta Visa card for its clients to make purchases globally with a card linked to their IBKR account. In August, IBKR introduced Connections, a new feature designed to help investors discover trading opportunities and evaluate investments by highlighting related ideas across global markets. Also, it launched zero-commission U.S. stock trading in Singapore.In July, IBKR launched NISA accounts to help Japanese investors build wealth tax-free. In May, it extended the trading hours for Forecast Contracts to nearly 24 hours a day, and in April, it launched the prediction markets hub in Canada.Last year, IBKR introduced Plan d’Epargne en Actions accounts to boost its offerings for its French clients. The launch of IBKR GlobalTrader has enabled investors worldwide to trade stocks through mobile applications. Moreover, IBKR was one of the first brokers to introduce Overnight Trading on U.S. stocks and ETFs nearly 24 hours a day, five days a week.Likewise, the launch of Impact Dashboard, an innovative sustainable investing tool, has made the company the first major brokerage firm to allow investors to easily align their portfolio with their values. Also, IBKR launched cryptocurrency trading via Paxos Trust Company, charging commissions that are lower than those of other crypto exchanges. The introduction of IBKR Desktop, the next-generation desktop trading application for Windows and Mac, marks a new chapter for innovation.Continued product diversification efforts will help the company expand market share and global footprint.Technological Excellence: Interactive Brokers’ technological superiority is one of its strongest aspects. The company processes trades in stocks, digital assets, futures, options and forex on more than 160 exchanges across several countries and currencies.Unlike many of its peers, IBKR has a very low level of compensation expenses relative to net revenues (10.4% in the first nine months of 2025). This helps the company generate solid growth.Interactive Brokers has been emphasizing developing proprietary software to automate broker-dealer functions, leading to a steady rise in revenues. Over the last five years (2019-2024), total net revenues witnessed a compound annual growth rate (CAGR) of 21.8%.Efficient Capital Distributions: While Interactive Brokers was consistent with its dividend payment for a long time, it hiked its quarterly dividend 150% to 25 cents per share in April 2024. In April 2025, it once again announced a dividend hike of 28% and a four-for-one forward split of its common stock to make shares more accessible to investors.IBKR uses insignificant debt to finance its operations. Thus, given a solid liquidity position, the company is expected to be able to sustain its dividend payments in the future, thus enhancing shareholder value.Analyzing IBKR’s Earnings EstimatesOver the past 30 days, the Zacks Consensus Estimate for Interactive Brokers’ 2025 earnings has been revised 5.1% higher to $2.06, whereas estimates for 2026 have been revised 6.7% upward to $2.22 per share. The estimated numbers indicate year-over-year growth rates of 17.1% and 7.8% for 2025 and 2026, respectively.Earnings Estimate Revision Image Source: Zacks Investment Research Interactive Brokers’ Valuation AnalysisIn terms of valuation, the IBKR stock looks expensive compared with the industry at large. The stock is trading at a forward 12-month price/sales (P/S) ratio of 18.36X, above the industry average of 4.52X.Price-to-Sales F12M Image Source: Zacks Investment Research Looking at its peers, Robinhood has a P/S (F12M) ratio of 21.50X and Schwab is currently trading at a P/S ratio of 6.77X. Thus, Interactive Brokers is trading at a premium compared with Schwab but it is relatively inexpensive compared with Robinhood.How to Approach IBKR Stock Now?Although a premium valuation compared with the industry makes us apprehensive, Interactive Brokers remains well-positioned for growth in the current volatile operating environment, supported by its strong technological capabilities and diversified product offerings.Heightened market volatility, increased client participation, efficient onboarding and global expansion efforts have been driving the company’s customer accounts.Thus, for valuation-aware and more conservative investors, it is advisable to maintain caution and look for any signs of slowing growth before making any investment decision. But, for those focused on long-term potential, Interactive Brokers looks like an attractive investment option now.The company’s higher valuation reflects durable advantages and growth, not just investor enthusiasm. Upward earnings estimate revisions add another layer of optimism.At present, IBKR carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Charles Schwab Corporation (SCHW): Free Stock Analysis Report Interactive Brokers Group, Inc. (IBKR): Free Stock Analysis Report Robinhood Markets, Inc. (HOOD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks