UPDATE: Compass Point Upgrades Interactive Brokers Group (IBKR) to Buy

(updated to add analyst comment)

Compass Point analyst Chris Allen upgraded Interactive Brokers Group (NASDAQ: IBKR) from Neutral to Buy with a price target of $56.00.

• Says the company's business is well insulated on the pricing front.

The analyst comments "...we believe IBKR is well insulated from pressure on this front. And with its own zero commission offering (Lite) announced last week, they could be a beneficiary if retail interest picks up. We have long viewed IBKR as a best in class growth story from a customer account (~22% 3-year CAGR) and asset perspective. IBKR has a clear competitive advantage internationally (~60% of accounts, ~45% of commissions) where it offers efficient/affordable access to the US markets. We acknowledge growth has slowed somewhat from 2018 peaks, but still remains strong (3Q19 accounts up 16.4% YOY, customer equity/credit up 11% YOY). And we believe any resolution of US/China trade issues, which are difficult to time, would likely have a positive impact on the growth profile here. With the pullback in the stock, we see a much better risk/reward..."

For an analyst ratings summary and ratings history on Interactive Brokers Group click here. For more ratings news on Interactive Brokers Group click here.

Shares of Interactive Brokers Group closed at $55.78 yesterday.

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