10 Best Breakout Stocks To Invest In Right Now

5. Interactive Brokers Group, Inc. (NASDAQ:IBKR)

Number of Hedge Fund Holders: 52

Interactive Brokers Group, Inc. (NASDAQ:IBKR) provides execution, clearance, and settlement services for a variety of financial products, including stocks, options, futures, bonds, and foreign exchange. It operates the largest electronic trading platform in the U.S. based on daily average revenue trades.

Citi recently reaffirmed its Buy rating on Interactive Brokers Group, Inc. (NASDAQ:IBKR) with a price target of $145, following a meeting with Chairman Thomas Peterffy. The firm expressed confidence in the company’s long-term potential for account growth and strong operating margins.

In Q2 2024, Interactive Brokers Group, Inc. (NASDAQ:IBKR) delivered impressive financial results, posting record net revenues and pretax income, fueled by increased trading activity. Commissions surged to $406 million, while net interest income reached a new quarterly high of $792 million. The company also reported a 36% year-over-year rise in client equity, which totaled $497 billion. Additionally, 178,000 new accounts were added during the quarter, highlighting the company’s strong growth in customer acquisition.

In the second quarter of 2024, 52 out of the 912 hedge funds monitored by Insider Monkey held positions in Interactive Brokers Group, Inc. (NASDAQ:IBKR). The largest of these was Orbis Investment Management, which owned 6.96 million shares valued at $853.5 million.

TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding Interactive Brokers Group, Inc. (NASDAQ:IBKR) in its Q2 2024 investor letter:

“In the Financials sector we tend to avoid banks that face credit deterioration or rising deposit costs, preferring either asset managers or specialized insurance companies. One contributor this quarter was Interactive Brokers Group, Inc. (NASDAQ:IBKR), which offers automated, low-cost securities brokerage services for global retail investors. The company’s revenues and earnings edged ahead of forecasts. Interactive’s volume of daily average revenue trades increased each month during the quarter, its margins remained high—benefiting from the sustained high interest rate environment, and its management increased the company’s dividend. Combined, that gave its shares a 10% lift.”