Interactive Brokers Group Inc. jumped the most since April after saying client trades rose, extending a rally that has lifted the stock for 10 of the last 11 months and added more than $6 billion to its market value in 2015.
Shares of the electronic broker based in Greenwich, Connecticut, gained 4.7 percent, or $2, to a record $44.74 at 4 p.m. in New York, pushing its advance from a year ago to 89 percent.
“Their trades have been outpacing any of the other e-brokers,” said Rich Repetto, a New York-based analyst for Sandler O’Neill & Partners, in a phone interview. Other e-brokers who have not yet reported for the month of June are “all going to be plus or minus 5 percent. They’re not going to be near” Interactive Brokers’ growth.
According to a release that came out while exchanges were open yesterday, the company completed 21 percent more daily average revenue trades in June compared with a year ago while client equity rose 22 percent.
Options traders are speculating the rise will continue. Trading in call options jumped Friday and open interest in the contracts increased.
The volume of Interactive Brokers call options totaled 2,159, more than five times the average of the past 20 days, according to data compiled by Bloomberg.
The most popular contracts were calls expiring July 17 with a strike price of $44. The company is set to release second quarter earnings July 15.
“They’re growing faster than any of the other e-brokers currently in trading activity and accounts,” Repetto said. He rates the company a buy.