Yes, I Said E*Trade
Posted: April 19th, 2007 | Author: saldarji | Filed under: business | No Comments »Ok, I did buy into E*Trade the other day, and I know it is off 5% or so. Which is funny because it was up about 5% or so since I bought into it.
There is a lot of volatility in the market right now, and I’m expecting all of my holdings to vary pretty substantially over the next two or three months. In fact, I wouldn’t be surprised by a correction, because I do not think that the prices reflect reality.
The current drop in price is really related to their drop in FY estimates from $1.55 – $1.75, instead of $1.65 – $1.80. Regardless, I think E*Trade should do well in the next ten years. There will be some consolidation in that market. E*Trade’s leadership team should guide them through. Here’s the positive highlights from their release:- E-Trade reported a 19% increase in first-quarter net income
- Net income came in at $169.4 million, or 39 cents a share, compared with $142.5 million, or 33 cents a share a year ago
- Grew target accounts by 20% on an annualized basis in the first quarter of 2007
- Total customer assets climbed to a record $201 billion, while $2.4 billion of that went into cash products
- Board approved a $250 million share repurchase plan
Leave a Reply