E*TRADE Financial (ETFC) Cut to Outperform at Raymond James

Raymond James lowered shares of E*TRADE Financial (NASDAQ:ETFC) from a strong-buy rating to an outperform rating in a research note released on Tuesday, MarketBeat Ratings reports. Raymond James currently has $64.00 price objective on the financial services provider’s stock.

A number of other analysts have also weighed in on ETFC. Deutsche Bank cut their target price on shares of E*TRADE Financial from $72.00 to $70.00 and set a buy rating on the stock in a research report on Wednesday, August 22nd. Zacks Investment Research upgraded shares of E*TRADE Financial from a hold rating to a buy rating and set a $67.00 target price on the stock in a research report on Monday, July 16th. Wells Fargo & Co restated a buy rating on shares of E*TRADE Financial in a research report on Wednesday, July 11th. Morgan Stanley set a $70.00 target price on shares of E*TRADE Financial and gave the company a buy rating in a research report on Tuesday, September 18th. Finally, Jefferies Financial Group upgraded shares of E*TRADE Financial from a hold rating to a buy rating and set a $65.00 target price on the stock in a research report on Wednesday, September 19th. They noted that the move was a valuation call. One equities research analyst has rated the stock with a sell rating, two have given a hold rating and sixteen have given a buy rating to the company’s stock. E*TRADE Financial currently has a consensus rating of Buy and a consensus price target of $65.00.

Shares of NASDAQ ETFC traded up $0.56 during trading hours on Tuesday, hitting $51.06. 2,898,543 shares of the stock were exchanged, compared to its average volume of 3,986,112. The company has a current ratio of 0.28, a quick ratio of 0.28 and a debt-to-equity ratio of 0.32. The firm has a market capitalization of $12.73 billion, a price-to-earnings ratio of 23.32, a P/E/G ratio of 0.76 and a beta of 1.08. E*TRADE Financial has a 1-year low of $42.56 and a 1-year high of $66.46.

E*TRADE Financial (NASDAQ:ETFC) last posted its quarterly earnings results on Thursday, October 18th. The financial services provider reported $1.00 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.83 by $0.17. The business had revenue of $720.00 million for the quarter, compared to analyst estimates of $710.62 million. E*TRADE Financial had a net margin of 32.83% and a return on equity of 15.45%. The firm’s revenue for the quarter was up 20.2% on a year-over-year basis. During the same quarter last year, the business posted $0.49 EPS. On average, equities research analysts forecast that E*TRADE Financial will post 3.77 earnings per share for the current year.

The firm also recently declared a quarterly dividend, which will be paid on Thursday, November 15th. Stockholders of record on Tuesday, October 30th will be paid a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a dividend yield of 1.10%. The ex-dividend date is Monday, October 29th. E*TRADE Financial’s payout ratio is currently 25.57%.

E*TRADE Financial declared that its board has initiated a stock buyback plan on Thursday, October 18th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 7.7% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

Several hedge funds have recently added to or reduced their stakes in the company. Commerce Bank raised its stake in shares of E*TRADE Financial by 6.2% during the third quarter. Commerce Bank now owns 18,396 shares of the financial services provider’s stock valued at $964,000 after acquiring an additional 1,075 shares during the last quarter. Stratos Wealth Partners LTD. bought a new position in shares of E*TRADE Financial during the third quarter valued at $102,000. Strategy Asset Managers LLC bought a new position in shares of E*TRADE Financial during the third quarter valued at $2,255,000. Engineers Gate Manager LP bought a new position in E*TRADE Financial during the third quarter worth $4,076,000. Finally, Parallel Advisors LLC raised its stake in E*TRADE Financial by 64.1% during the third quarter. Parallel Advisors LLC now owns 2,755 shares of the financial services provider’s stock worth $144,000 after buying an additional 1,076 shares during the last quarter. 91.15% of the stock is owned by hedge funds and other institutional investors.

About E*TRADE Financial

E*TRADE Financial Corporation, a financial services company, provides brokerage and related products and services primarily to individual retail investors under the E*TRADE Financial brand. It also offers investor-focused banking products, primarily sweep deposits to retail investors; Federal Deposit Insurance Corporation insurance services; clearing and settlement services; investment advisory services; and financial corporate services, such as software and services for managing equity compensation plans to its corporate clients.

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Analyst Recommendations for E*TRADE Financial (NASDAQ:ETFC)

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