Robinhood Markets Inc (HOOD)vsInteractive Brokers Group Inc (IBKR)
HOOD
Robinhood Markets Inc
$86.56
-0.05%
FINANCIAL SERVICES · Cap: $94.08B
IBKR
Interactive Brokers Group Inc
$87.99
-2.75%
FINANCIAL SERVICES · Cap: $158.60B
Smart Verdict
WallStSmart Research — data-driven comparison
Interactive Brokers Group Inc generates 49% more annual revenue ($6.87B vs $4.61B). HOOD leads profitability with a 41.1% profit margin vs 16.4%. IBKR appears more attractively valued with a PEG of 2.55. IBKR earns a higher WallStSmart Score of 68/100 (B-).
HOOD
Buy60
out of 100
Grade: C+
IBKR
Strong Buy68
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 41 of every $100 in revenue as profit
Strong operational efficiency at 38.5%
Large-cap with strong market position
Every $100 of equity generates 20 in profit
15.1% revenue growth
Generating 1.2B in free cash flow
Strong operational efficiency at 76.8%
Large-cap with strong market position
Revenue surging 23.7% year-over-year
Earnings expanding 36.9% YoY
Generating 3.6B in free cash flow
Areas to Watch
Trading at 8.4x book value
2.7% earnings growth
Elevated debt levels
Weak financial health signals
Premium valuation, high expectations priced in
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : HOOD
The strongest argument for HOOD centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 41.1% and operating margin at 38.5%. Revenue growth of 15.1% demonstrates continued momentum.
Bull Case : IBKR
The strongest argument for IBKR centers on Operating Margin, Market Cap, Revenue Growth. Profitability is solid with margins at 16.4% and operating margin at 76.8%. Revenue growth of 23.7% demonstrates continued momentum.
Bear Case : HOOD
The primary concerns for HOOD are Price/Book, EPS Growth, Debt/Equity. A P/E of 51.5x leaves little room for execution misses.
Bear Case : IBKR
The primary concerns for IBKR are P/E Ratio, Piotroski F-Score, PEG Ratio. Debt-to-equity of 7.69 is elevated, increasing financial risk.
Key Dynamics to Monitor
HOOD carries more volatility with a beta of 2.34 — expect wider price swings.
IBKR is growing revenue faster at 23.7% — sustainability is the question.
IBKR generates stronger free cash flow (3.6B), providing more financial flexibility.
Monitor CAPITAL MARKETS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
IBKR scores higher overall (68/100 vs 60/100), backed by strong 16.4% margins and 23.7% revenue growth. Both earn "Strong Buy" and "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.
Robinhood Markets Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Robinhood Markets Inc (HOOD) is a leading fintech company revolutionizing retail investing since 2013 with its innovative, commission-free trading platform. By offering a diverse range of investment products—including stocks, ETFs, options, and cryptocurrencies—Robinhood caters to a broad demographic, particularly engaging younger investors. The company is committed to financial education and inclusivity, further solidified by its unique features like fractional shares and advanced cash management solutions. With a focus on transparency and efficiency, Robinhood is well-positioned as a key player in the evolving digital brokerage landscape.
Visit Website →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.
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