Interactive Brokers Group, Inc. (NASDAQ:IBKR) Raises Dividend to $0.09 Per Share

Interactive Brokers Group, Inc. (NASDAQ:IBKR) announced a quarterly dividend on Tuesday, April 21st. Stockholders of record on Monday, June 1st will be paid a dividend of 0.0875 per share by the financial services provider on Friday, June 12th. This represents a c) annualized dividend and a dividend yield of 0.4%. The ex-dividend date of this dividend is Monday, June 1st. This is a 9.4% increase from Interactive Brokers Group’s previous quarterly dividend of $0.08.

Interactive Brokers Group has increased its dividend by an average of 0.2%per year over the last three years and has raised its dividend annually for the last 2 consecutive years. Interactive Brokers Group has a dividend payout ratio of 4.1% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Interactive Brokers Group to earn $2.73 per share next year, which means the company should continue to be able to cover its $0.32 annual dividend with an expected future payout ratio of 11.7%.

Interactive Brokers Group Stock Performance

Shares of IBKR stock opened at $79.62 on Wednesday. The stock’s fifty day moving average is $71.04 and its 200-day moving average is $69.57. The stock has a market capitalization of $135.06 billion, a PE ratio of 35.95, a PEG ratio of 2.25 and a beta of 1.25. Interactive Brokers Group has a 52 week low of $38.53 and a 52 week high of $82.88.

Interactive Brokers Group (NASDAQ:IBKR) last announced its earnings results on Tuesday, April 21st. The financial services provider reported $0.60 EPS for the quarter, topping the consensus estimate of $0.57 by $0.03. The company had revenue of $1.68 billion for the quarter, compared to analysts’ expectations of $1.69 billion. Interactive Brokers Group had a return on equity of 5.12% and a net margin of 9.44%.The business’s revenue for the quarter was up 17.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.94 earnings per share. As a group, analysts forecast that Interactive Brokers Group will post 2.45 earnings per share for the current fiscal year.

Insider Activity

In other news, Vice Chairman Earl H. Nemser sold 145,000 shares of the company’s stock in a transaction on Friday, January 23rd. The stock was sold at an average price of $77.85, for a total transaction of $11,288,250.00. Following the transaction, the insider owned 155,000 shares of the company’s stock, valued at $12,066,750. This represents a 48.33% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Insiders sold a total of 400,000 shares of company stock worth $30,725,122 over the last quarter. Corporate insiders own 2.80% of the company’s stock.

Hedge Funds Weigh In On Interactive Brokers Group

Several large investors have recently made changes to their positions in the company. Vanguard Group Inc. lifted its stake in Interactive Brokers Group by 26.4% in the third quarter. Vanguard Group Inc. now owns 52,859,085 shares of the financial services provider’s stock valued at $3,637,234,000 after buying an additional 11,048,679 shares during the period. State Street Corp boosted its holdings in Interactive Brokers Group by 1.0% during the fourth quarter. State Street Corp now owns 18,836,521 shares of the financial services provider’s stock worth $1,211,377,000 after buying an additional 187,763 shares during the last quarter. Cantillon Capital Management LLC boosted its holdings in Interactive Brokers Group by 0.8% during the fourth quarter. Cantillon Capital Management LLC now owns 12,759,904 shares of the financial services provider’s stock worth $820,589,000 after buying an additional 95,878 shares during the last quarter. Wellington Management Group LLP boosted its holdings in Interactive Brokers Group by 17.6% during the third quarter. Wellington Management Group LLP now owns 10,901,171 shares of the financial services provider’s stock worth $750,110,000 after buying an additional 1,630,620 shares during the last quarter. Finally, Orbis Allan Gray Ltd boosted its holdings in Interactive Brokers Group by 178.8% during the second quarter. Orbis Allan Gray Ltd now owns 9,740,072 shares of the financial services provider’s stock worth $539,697,000 after buying an additional 6,246,715 shares during the last quarter. Institutional investors and hedge funds own 23.80% of the company’s stock.

About Interactive Brokers Group

Interactive Brokers Group, Inc (NASDAQ: IBKR) is a global electronic brokerage holding company that provides trading, clearing and custody services to retail traders, institutional investors, proprietary trading groups and financial advisors. The firm offers direct access to a wide range of asset classes, including equities, options, futures, foreign exchange, bonds and exchange-traded funds across many international markets. Interactive Brokers emphasizes electronic order execution, automated trading and low transaction costs as core differentiators for its clients.

Its product suite centers on advanced trading platforms and infrastructure.