Interactive Brokers Group Inc (IBKR)vsCharles Schwab Corp (SCHW)
IBKR
Interactive Brokers Group Inc
$67.69
-1.11%
FINANCIAL SERVICES · Cap: $115.09B
SCHW
Charles Schwab Corp
$93.99
+0.76%
FINANCIAL SERVICES · Cap: $166.37B
Smart Verdict
WallStSmart Research — data-driven comparison
Charles Schwab Corp generates 285% more annual revenue ($23.92B vs $6.21B). SCHW leads profitability with a 37.0% profit margin vs 15.9%. SCHW appears more attractively valued with a PEG of 1.10. SCHW earns a higher WallStSmart Score of 75/100 (B+).
IBKR
Strong Buy66
out of 100
Grade: B-
SCHW
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.5%
Fair Value
$103.90
Current Price
$67.69
$36.21 discount
Margin of Safety
+57.1%
Fair Value
$217.62
Current Price
$93.99
$123.63 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
Keeps 37 of every $100 in revenue as profit
Strong operational efficiency at 49.7%
Conservative balance sheet, low leverage
Large-cap with strong market position
18.9% revenue growth
Earnings expanding 41.1% YoY
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
Negative free cash flow — burning cash
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 : SCHW
The strongest argument for SCHW centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 37.0% and operating margin at 49.7%. Revenue growth of 18.9% demonstrates continued momentum.
Bear Case : IBKR
The primary concerns for IBKR are PEG Ratio, P/E Ratio, Piotroski F-Score.
Bear Case : SCHW
The primary concerns for SCHW are Free Cash Flow.
Key Dynamics to Monitor
IBKR carries more volatility with a beta of 1.25 — expect wider price swings.
SCHW is growing revenue faster at 18.9% — sustainability is the question.
IBKR generates stronger free cash flow (1.6B), providing more financial flexibility.
Monitor CAPITAL MARKETS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SCHW scores higher overall (75/100 vs 66/100), backed by strong 37.0% margins and 18.9% 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.
Charles Schwab Corp
FINANCIAL SERVICES · CAPITAL MARKETS · USA
The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.
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