Here is how it works... for some weird and probably uninteresting reason, "buy on the rumor, sell on the news" is how IBKR works. Every earnings number is preceeded by a bit of a runup, followed by a selloff that wipes the buying out and winds up with the stock below where it was when the information event was initially being bought into.
So, sell IBKR tomorrow, and buy something else. You will make money.
I checked the results for NITE trading the day before the IBKR release, and realized IBKR was probably in for a bad release. Sold the day before the release. So yes, there you have it, good call.
The next IBKR earnings announcement is scheduled for 4 PM TODAY! Where is the fanfare Thomas? Where is all of the hoopla? Where is the pre-announced analyst earnings conference call and pre-canned rhetoric about IBKR's amazing market making systems? Time to fire yourself on the grounds that your business model is in an accelerating state of decline. Time to fire your minions too -- they are making it worse. Time for you to demonstrate that you even know how to identify a minion who is making it worse (which you don't know how to do). Time for IBKR to stop representing to the public shareholder that it is anything but poorly run. The numbers speak for themselves. "Buy on the rumor, sell on the news."
IBKR's next SEC 8-K quarterly filing should occur later this week or early next. Expect a disaster. "Buy on the rumor, sell on the news" is how this thing works. This writer's IBKR price target of $9.85 will be realized very shortly.
This posting is highly relevant as we approach yet another quarterly disappointment from IBKR. IF the pattern holds, AND the number is bad, AND there are more bogus stories designed to conceal poor performance, IBKR is going to get massacred.
Price target: $9.85.
Since the disastrous 1st quarter numbers prompted an immediate bloodbath in IBKR, the stock has listlessly trended up. Then IBKR files its 10-Q, and...
THE STOCK IMMEDIATELY TANKS.
Play the IBKR flip trade. And make money. Buy on the rumor, sell on the news. The selloff always wipes out the preceeding buying. BANK.
IBKR has been one long term blood bath. The up times are always exceeded by the down and this will continue until we see IBKR below $10, then below $1.
You are correct that it is only good for trading (or shorting). One has to be pretty dumb to buy and hold a stock that continues to under perform the market.
If you have had the misfortune of doing business with Interactive Brokers, then you are well aware of why this company is headed out of business.