I think E*TRADE Financial Corp ($ETFC) is a Cautious Buy/Hold. It currently should be $62. Confident Investor Rating: Fair
| Company name | E*TRADE Financial Corp |
| Stock ticker | ETFC |
| Live stock price | [stckqut]ETFC[/stckqut] |
| P/E compared to competitors | Good |
MANAGEMENT EXECUTION
| Employee productivity | Good |
| Sales growth | Good |
| EPS growth | Good |
| P/E growth | Good |
| EBIT growth | Poor |
| Price growth | Fair |
| R&D growth | Poor |
| Income growth | Good |
| Assets growth | Poor |
| Return on Assets growth | Good |
| Income / Rev growth | Good |
| TWCA Plus | Good |
| Standard TWCA | Good |
| Weighted ann. stock price increase | Good |
ANALYSIS
| Confident Investor Rating | Fair |
| Target stock price (TWCA growth scenario) | $79.28 |
| Target stock price (averages with growth) | $149.48 |
| Target stock price (averages with no growth) | $44.89 |
| Target stock price (manual assumptions) | $88.38 |
The following company description is from Reuters: https://finance.yahoo.com/quote/etfc/profile?p=etfc
E*TRADE Financial Corporation, a financial services company, provides brokerage, and related products and services for traders, investors, registered investment advisors (RIAs), and stock plan administrators and participants. It offers investor-focused banking products, including sweep deposit accounts; automated trade order placement and execution services; clearing and settlement services; and insurance on qualifying amounts of customer deposits, and other banking and cash management services. The company also provides custody solutions to RIAs; software and services for managing equity compensation plans, student loans, and financial wellness solutions to corporate clients; retail futures transaction services; and investment advisory services. It provides its services through digital platforms; and a network of industry-licensed customer service representatives and financial consultants through phone, email, and online at two national financial centers, as well as in-person at 30 regional financial centers in the United States. E*TRADE Financial Corporation has a strategic alliance with Empower Retirement to deliver an integrated stock plan and retirement benefits experience. The company was founded in 1982 and is headquartered in Arlington, Virginia.
Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in E*TRADE Financial Corp as long as the price is correct and the indicators that I describe in my book The Confident Investor are favorable. Most of the fundamentals of this company are good but there are some concerns.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.
How was this analysis of E*TRADE Financial Corp calculated?
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
- Stock price at the time of the calculation: $51.36
- Growth: 0.164
- Current EPS (TTM): $3.38166666666667
- P/E: 19.6980711318215
- Future EPS Calc: $7.22
- Future Stock Price Calc: $142.33
- Target stock price: $88.38
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I hope that this makes you a Confident Investor.
