Interactive Brokers Group, Inc. (NASDAQ:IBKR)

FV

Quality company, lots of room for growth. Customers stay loyal. Metrics look good, too, even if the market doesn't like it.

Lot of room for growth
Like their brokerage, use it myself.
Insiders are buying.

Near 52 week low, good potential

IBKR recently reached a trade volume of 1.5 million shares. That's more than any other electronic brokerage. Considering their currently small customer base, I see a lot of room for growth with this company.

Coiled up ready to spring.

1.3x book. earnings growth, high fair value provides large margin of safety.

For serious investors Interactive Brokers is the best. They have the lowest fees, the best execution, the most comprehensive and automatic systems, and the most global reach. However they have struggled a little throughout the financial crisis. They probably fall into the category of "too honest". Most companies succeed in the financial industry by cheating their customers, not by offering them low-priced services.

Growth of brokerage business continues. Peterffy recently instituted a 0.10 quarterly dividend paid out of the capital of the money making business which has been a drag recently. This is good governance as the MM business will not sap the results through further capital deployment and will have to make it on its own. I like it.

Brokerage business is the real gem here....looking for mgmt to return capital to shareholders from the market making biz to unlock the value there

Quality company with solid balance sheets. Even though the stock has been trading sideways for the past year, they should have a record earnings next quarter if the trend from the previous 4 quarters is to continue -- there is no reason why it shouldn't.

They offer a very solid product, no debt, $1.2billion cash (about $30/share) and a very strong 50% operating margin...

I believe this will be a multi-bagger stock over the next 2-3 years.

stock adviser

Original pitch from "11 O'Clock Stock" series.

http://www.fool.com/investing/general/2010/08/25/todays-buy-opportunity-interactive-brokers.aspx

To see more about the series, watch this video from co-founder Tom Gardner:

http://www.fool.com/investing/general/2010/07/22/introducing-11-oclock-stock.aspx

Testing out today's 11 O'Clock stock idea. Long term play.

The discount broker model is dramatically changing once again. IBKR appears to be way ahead of its competition. The new fund management models found on Coversor.com and KaChing.com both exclusively use IBKR.

Disclosure: Real money on this one; very long.

Increased market activity during this sell off and the likely relief rallies may help this company's profits. However it is possible that it may be taken down with the rest of the market in spite of its improved earnings.

Brokerage is growing fast and their market making business is at a huge low due to economy not due to problems. This stock will rebound.

I just have a good feeling about this.

Middleman wins.