Using the PEG framework with analyst consensus forward EPS growth of 11.0% plus 0.1% dividend yield, Interactive Brokers Group, Inc. has a fair value of $27.12 based on NTM EPS (FY2026) of $2.47. The current PEG ratio is 2.44.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 10.9% |
| Dividend Yield | +0.1% |
| Adjusted Growth (clamped 8–25%) | 11.0% |
| Fair P/E | 11.0x |
| NTM EPS (FY2026) | $2.47 |
| Fair Value | $27.12 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $2.22 | — | — |
| FY2026E | $2.47 | +11.1% | 3 |
| FY2027E | $2.73 | +10.6% | 3 |
2Y Forward EPS CAGR: 10.9%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $308.0M | $0.81 | — |
| FY2022 | $380.0M | $0.94 | +15.7% |
| FY2023 | $600.0M | $1.42 | +51.2% |
| FY2024 | $755.0M | $1.73 | +22.0% |
| FY2025 | $984.0M | $2.22 | +28.3% |
4Y Historical EPS CAGR: 28.7%
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.