Bank of America says this brokerage stock is cheap and has 50% upside

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Bank of America says this brokerage stock is cheap and has 50% upside
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The bank is particularly bullish on the company's potential upside after it exceeded Wall Street's earnings expectations earlier this week.

Bank of America thinks it's the right time for investors to scoop up shares of Interactive Brokers after its earnings topped analyst estimates earlier this week. The bank has a buy rating on the global electronic brokerage firm, and its $128 price target suggests shares could jump roughly 54% from its latest closing price.

mountain Interactive Brokers in 2023. Interactive Brokers posted third-quarter adjusted earnings of $1.55 per share on adjusted revenue of $1.14 billion postmarket Tuesday, while analysts polled by LSEG had called for earnings of $1.51 per share and $1.11 billion in revenue. "We think that IBKR should trade closer to the valuations of the e-trading platforms ... given its secular growth qualities and diversified profit stream ," Siegenthaler said.

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