Interactive Brokers Group Inc (IBKR)vsMicrosoft Corporation (MSFT)
IBKR
Interactive Brokers Group Inc
$67.84
+3.62%
FINANCIAL SERVICES · Cap: $115.34B
MSFT
Microsoft Corporation
$372.74
-2.68%
TECHNOLOGY · Cap: $2.85T
Smart Verdict
WallStSmart Research — data-driven comparison
Microsoft Corporation generates 4820% more annual revenue ($305.45B vs $6.21B). MSFT leads profitability with a 39.0% profit margin vs 15.9%. MSFT appears more attractively valued with a PEG of 1.25. MSFT earns a higher WallStSmart Score of 74/100 (B).
IBKR
Strong Buy66
out of 100
Grade: B-
MSFT
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.5%
Fair Value
$103.90
Current Price
$67.84
$36.06 discount
Margin of Safety
+50.1%
Fair Value
$747.40
Current Price
$372.74
$374.66 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 78.8%
Conservative balance sheet, low leverage
Large-cap with strong market position
Every $100 of equity generates 24 in profit
15.2% revenue growth
Earnings expanding 30.3% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 34 in profit
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 47.1%
Earnings expanding 59.8% YoY
16.7% revenue growth
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : IBKR
The strongest argument for IBKR centers on Operating Margin, Debt/Equity, Market Cap. Profitability is solid with margins at 15.9% and operating margin at 78.8%. Revenue growth of 15.2% demonstrates continued momentum.
Bull Case : MSFT
The strongest argument for MSFT centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 39.0% and operating margin at 47.1%. Revenue growth of 16.7% demonstrates continued momentum.
Bear Case : IBKR
The primary concerns for IBKR are PEG Ratio, P/E Ratio, Piotroski F-Score.
Bear Case : MSFT
No major red flags identified for MSFT, but monitor valuation.
Key Dynamics to Monitor
IBKR carries more volatility with a beta of 1.25 — expect wider price swings.
MSFT is growing revenue faster at 16.7% — sustainability is the question.
MSFT generates stronger free cash flow (5.9B), providing more financial flexibility.
Monitor CAPITAL MARKETS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MSFT scores higher overall (74/100 vs 66/100), backed by strong 39.0% margins and 16.7% revenue growth. IBKR offers better value entry with a 26.5% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Interactive Brokers Group Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Interactive Brokers Group, Inc. is a global automated electronic broker. The company is headquartered in Greenwich, Connecticut.
Microsoft Corporation
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Microsoft Corporation is an American multinational technology company which produces computer software, consumer electronics, personal computers, and related services. Its best known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite, and the Internet Explorer and Edge web browsers. Its flagship hardware products are the Xbox video game consoles and the Microsoft Surface lineup of touchscreen personal computers. Microsoft ranked No. 21 in the 2020 Fortune 500 rankings of the largest United States corporations by total revenue; it was the world's largest software maker by revenue as of 2016. It is considered one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Amazon, and Facebook.
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