TD Ameritrade Holding Corp

Historically, TD Ameritrade traded at a discount to its peers because of average operating margins. The sector’s valuations fell in the recent past.

Charles Schwab’s (SCHW) banking operations have seen strong growth over the past few quarters on accumulation of assets, expanding balance sheet, and interest income.

TD Ameritrade Holding (AMTD) saw an increase in its total operating expenses for fiscal 3Q17 compared to fiscal 3Q16.

Charles Schwab (SCHW) has improved its operating margins on improved interest income, administration fees, asset management fees, and new assets.

Of the 19 analysts covering TD Ameritrade (AMTD) in April 2018, seven have recommended “strong buy,” five have recommended “buy,” six have recommended “hold,” and one has recommended “strong sell.”

TD Ameritrade’s (AMTD) NTM (next-12-month) price-to-book ratio is 4.1x, higher than the peer average of 4.0x, indicating its higher valuation.

TD Ameritrade has seen a weaker performance than other brokerage giants. It posted EPS of $0.35 in fiscal 4Q16, missing analyst estimates of $0.38.

For the institutional channel, TD Ameritrade had its second-best quarter ever in terms of net new client assets but fell year-over-year.

Charles Schwab (SCHW) has seen an increase in its total expenses excluding interest expenses in 2Q17 as compared to 2Q16.

E*TRADE (ETFC) reported DARTs (daily average revenue trades) of $170,000 during the quarter—an increase of 1% from the prior quarter.

JPMorgan Chase (JPM) has launched its much-awaited free digital investment platform—You Invest—with 100 free online trades for customers.

Proprietary trading firms and hedge funds formed 4% of Interactive Brokers Group’s (IBKR) total accounts in the second quarter.

The primary reason for Interactive Brokers Group’s premium valuation is its strong second-quarter results.

In the second quarter, Interactive Brokers Group (IBKR) saw daily average revenue trades (or DARTs) of 797,000.

Interactive Brokers Group (IBKR) posted net revenues of $445 million in the second quarter, a rise of 14.9% on a YoY basis.

TD Ameritrade (AMTD) released its third fiscal quarter results on July 23. The company posted an EPS of $0.89, which exceeded analysts’ expectations.

After second-quarter earnings, Charles Schwab (SCHW) has “strong buy” ratings from seven analysts and a “sell” rating from one analyst.

Technological investments, competitive commission rates, and acquisitions are expected to drive the brokerage industry moving forward.

Asset management and administration fees contributed $814 million, or 32.7%, of Charles Schwab’s (SCHW) net revenues in the second quarter.

As of June 30, Charles Schwab (SCHW) had total client assets of $3.4 trillion, a YoY rise of 12% and a sequential rise of 3%.

E*TRADE Financial posted second-quarter EPS of $0.95, which beat Wall Street estimates by $0.07.

Charles Schwab’s (SCHW) second-quarter net revenues came in at $2.5 billion, a YoY rise of 17% and a sequential rise of 4%.

On July 17, Interactive Brokers Group declared its second-quarter earnings. The company’s EPS was $0.39, which missed analysts’ expectations by $0.02.

Charles Schwab (SCHW) reported its second-quarter results on July 17. The company posted an EPS of $0.60, which exceeded analysts’ estimates.

In July, Interactive Brokers had two “strong buy” ratings out of six analysts tracking the stock.

The PE ratio of Interactive Brokers Group (IBKR) is 26.17x on an NTM (next-12-month) basis.

In the second quarter, Interactive Brokers Group (IBKR) is expected to generate fees and commissions income of $195 million.

Interactive Brokers Group (IBKR) saw DARTs of 797,000 in the second quarter, which implies a sequential fall.

In the second quarter, Interactive Brokers Group (IBKR) is expected to report net interest income of $255.1 million.

Interactive Brokers Group (IBKR) is expected to report its Q2 2018 earnings on July 17. It’s expected to have lower commissions.

E*TRADE Financial Corporation (ETFC) is scheduled to release its second-quarter results on July 19. Wall Street is expecting EPS of $0.89, implying year-over-year growth of 27.1%.

On July 11, JJ Kinahan of TD Ameritrade Holding (AMTD) stated his views on the rising US-China trade tensions.

In July, Charles Schwab (SCHW) got six “hold” ratings and one “sell” rating of the 20 analysts covering the stock.

Charles Schwab (SCHW) has a PE ratio of 18.99x on an NTM (next-12-month) basis.

In the first quarter, Schwab (SCHW) generated total asset management and administration fees of $851 million.

Moving forward, the markets could see higher volatility, mainly due to prevailing trade tensions that are disrupting global trade.

Charles Schwab’s net interest income is largely influenced by interest-earning assets and interest rates.

On July 17, Charles Schwab (SCHW) is expected to post its second-quarter earnings. Analysts expect it to report EPS of $0.58.

Interactive Brokers Group reported daily average revenue trades of 799,000 in June, a month-over-month rise of 2% and a year-over-year rise of 17%.

Over the long term, trade wars could negatively impact investors’ views on equities, primarily due to the risks they carry.

The final week of the second quarter might help brokerages, primarily because of higher client participation.

The primary reason for investors’ preference for safer instruments is highly unstable global factors.

Brokerages could see a negative impact from escalating trade wars between the United States and China in the long term.

In June, six analysts recommended a “hold” for Charles Schwab (SCHW). Eight gave “strong buy” ratings, and one recommended a “sell.

E*TRADE Financial Corporation (ETFC) saw a marginal sequential rise of 1.0% in its May DARTs.

E*TRADE Financial’s EV-to-EBITDA multiple is ~40.8x on an LTM (last-12-months) basis.

Charles Schwab (SCHW) has witnessed an increasing trend in its net interest income during the past few quarters.

Brokerage firms Charles Schwab, E*TRADE, and TD Ameritrade have beta values of ~1.7, ~1.2, and ~1.4, respectively.

After lower volatility in April, the markets were again volatile in May, which boosted brokerages’ (VFH) daily average revenue trades (or DARTs).

Charles Schwab (SCHW) is expected to report strong numbers in the second quarter mainly due to supportive macro fundamentals.

On June 11, E*TRADE Financial released results from a study on investor sentiment about the June Fed meeting and the overall economy.

Market participants tend to prefer digital tools to execute trades because of lower costs and faster execution.

We’re almost halfway through the current year, and market dynamics seem to have supported brokerages (VFH).

On June 6, Interactive Brokers (IBKR) attended the Sandler O’Neill Global Exchange and Brokerage Conference, where it shared company insights.

In the second quarter, Interactive Broker Group is expected to witness a drop in its commission revenues sequentially due to a fall in its DARTs.

For TD Ameritrade, six analysts recommend a “hold,” one recommends a “strong sell,” five recommend a “buy,” and seven recommend a “strong buy.”

TD Ameritrade’s (AMTD) PE ratio stood at 16.68x on a next 12-month basis, which implies discounted valuations.

TD Ameritrade’s (AMTD) performance will likely depend on the economic and political factors prevailing in the economy.

TD Ameritrade (AMTD) is expected to report an EPS of $0.8 in the fiscal third quarter, which ends in June.

TD Ameritrade (AMTD) operates in a very competitive industry. The company needs to retain its clients in order to experience long-term growth.

TD Ameritrade (AMTD) benefited from clients’ higher trading activities in the second quarter, which ended on March 31.

Of the six analysts covering Interactive Brokers (IBKR), two recommend “strong buy,” two recommend “hold,” and two recommend “strong sell.”

In the first quarter, Interactive Brokers (IBKR) exceeded analysts’ EPS and revenue expectations, like peers (VFH) Charles Schwab (SCHW) and E*TRADE Financial (ETFC).

Interactive Brokers (IBKR) has an NTM (next-12-month) PE ratio of 32.7x, which is higher than peers’ average of 18.5x.

Interactive Brokers (IBKR) drew market participants’ attention in the first quarter, primarily because of expectations of higher interest rates and strong volatility.

In the first quarter, trade tensions and interest rate hike expectations made equity markets volatile, resulting in brokerages’ (VFH) customers trading more and boosting brokerages’ revenue.

On May 14, Charles Schwab (SCHW) released its April metrics. Let’s look at how the brokerage did.

Since President Trump has levied tariffs on aluminum and steel imports, they might lead to a trade war if the affected countries take the same road, as China did.

TD Ameritrade Holding (AMTD) announced on February 28, 2018, that it has converted the brokerage accounts of Scottrade.

TD Ameritrade Holding (AMTD) is tracked by 19 analysts in March 2018. Eight of them are suggesting a “hold” for the stock.

The PE ratio of TD Ameritrade Holding (AMTD) was 17.14x on an NTM (next-12-month) basis, which represents a premium valuation.

Raymond James Financial (RJF) generated a return of 4.8% in the last three months and 17.6% in the last year.

Analysts covering Raymond James Financials (RJF) have given RJF a mean price target of $109.14, implying a 15.7% rise from its current level of $94.30.

Ratings for AMTD Of the 19 analysts covering TD Ameritrade (AMTD), seven have recommended “strong buy,” three have recommended “buy,” eight have recommended “hold,” and one has recommended “strong sell” in January 2018. In December 2017, six analysts recommended “strong buy,” three recommended “buy,” nine recommended “hold,” and one recommended “strong sell.” There were no “sell” recommendations. […]

Lower valuation TD Ameritrade (AMTD) has an NTM (next-12-month) PE (price-to-earnings) ratio of 18.4x, trading at a discount to peers’ average of 20.1x. Peers Financial Engines (FNGN), Raymond James Financial (RJF), and CBOE Global Markets (CBOE) have NTM PE ratios of 17.7x, 14.3x, and 28.3x, respectively. TD Ameritrade could recover from its discounted valuation with quarterly payouts and […]

In 1Q18, TD Ameritrade (AMTD) reported strong results, with EPS (earnings per share) of $0.52—in line with Wall Street analysts’ estimates.

E*TRADE’s (ETFC) net interest income rose from $286 million in 2Q16 to $356 million in 2Q17.

TD Ameritrade Holding (AMTD) witnessed a substantial rise in its investment product fee-related revenues in fiscal 3Q17 compared to fiscal 3Q16.

Charles Schwab (SCHW) declared total dividends of $0.27 per share in 2016.

TD Ameritrade Holding (AMTD) has reported EPS (earnings per share) of $0.44 for fiscal 3Q17, thus beating analysts’ estimate of $0.41. The beat was mainly due to strong trading volumes.

The Commitment of Traders (or COT) report is categorized into four categories: producers or users, swap dealers, managed money, and other reportable.

In the first nine months of 2016, Charles Schwab (SCHW) added 55,000 new accounts to make a total of 1,088,000 accounts.

Charles Schwab’s (SCHW) Advisory Services segment had total assets of ~$1.4 trillion as of November 30, 2016. It was an 8.0% rise on a year-over-year basis.

TD Ameritrade’s stock has risen 10% in the past year and 25% over the past three months on rising assets, investment products, and inorganic expansion.

Charles Schwab’s (SCHW) stock has risen 23% during the past three months, mainly due to higher assets, strong operating performance, and improving broad markets.

In the first nine months of fiscal 2016, Charles Schwab (SCHW) added 55,000 new accounts to 1,088,000 total accounts.

Charles Schwab’s (SCHW) daily average trades rose to 543,000 in 3Q16 as compared to 518,000 in the previous quarter and 537,000 in 3Q15.

E*TRADE’s bank offers its clients FDIC insurance on a certain amount of deposits. It deploys funds primarily in low-risk securities.

E*TRADE Financial reported DARTs (daily average revenue trades) of ~151,905 during 3Q16. It included 6,500 DARTs from the OptionsHouse acquisition.

TD Ameritrade’s expenses have risen over the past couple of quarters because it has spent heavily on advertisements and marketing for luring in new assets.

TD Ameritrade (AMTD) has seen an expansion of its Investment Products division driven by investments in mutual funds and investment options.

E*TRADE Financial (ETFC) operates the federally chartered savings bank E*TRADE Bank. This structure has been deployed by many major brokers in the US.

E*TRADE Financial reported DARTs (daily average revenue trades) of ~153,000 in 2Q16. The company’s DARTs fell 8% from the previous quarter and rose 2% YoY.

Charles Schwab’s (SCHW) Advisor Services segment had total client assets of $1.2 trillion on June 30, 2016, forming 46% of the company’s total client assets.

Charles Schwab (SCHW) reported a strong pre-tax margin of 39.4% in 2Q16, as compared to 36.2% in 2Q15. For 1H16, the company has reported a 38.3% margin.

In 1H16, Charles Schwab (SCHW) added 13,000 new accounts—a YoY rise of 6%. In 2Q16, the bank’s balance sheet expanded to $153.9 billion—a YoY rise of 26%.

The JPMorgan Large-Cap Growth Fund Class A (OLGAX) has dived by 3.9% YTD in 2016. This decline makes it the worst performer among our 12 funds.

TD Ameritrade’s expenses fell by $13 million in fiscal 3Q16 compared to fiscal 2Q16, and they rose by $21 million compared to fiscal 3Q15.

TD Ameritrade’s (AMTD) spread-based revenue rose by 3% to $377 million, led by insured deposit accounts and partially offset by a decline in stock lending.

TD Ameritrade’s (AMTD) Investment Products division’s revenue rose by 12% to $96 million in fiscal 3Q16, compared to the same quarter in the previous year.