TD AMERITRADE Earnings Preview: Analysts Expect Higher EPS, Revenue
TD AMERITRADE (NASDAQ: AMTD) unveils its next round of earnings this Tuesday, October 25, 2011. Here's Benzinga's essential guide to TD AMERITRADE's fourth quarter earnings report.
Earnings and Revenue:
Wall Street expects an EPS of 30 cents/share and revenues of $714.6 million. TD AMERITRADE's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 20 cents/share on revenues of $608.8 million. We'll know on Tuesday whether TD AMERITRADE has managed the estimated 50% increase in EPS and 17.4% rise in revenues on a year-over-year basis.
Here's how the company's reported EPS has stacked up against analyst estimates in the past:
| Quarter | Q3 | Q2 | Q1 | Q4 |
| EPS Estimate | $0.29 | $0.28 | $0.25 | $0.23 |
| EPS Actual | $0.27 | $0.30 | $0.25 | $0.20 |
Stock Performance:
Shares of TD AMERITRADE were trading at $15.44 as of October 19, 2011. Since January 1st, shares of TD AMERITRADE have declined 18.1%. For a full 12 months, the return has declined by 6.8%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.
- Long-term shareholders are already wary of 12-month losses prior to the announcement
Average Stock Rating:
The average rating by analysts for TD AMERITRADE is a Hold. This rating has strengthened slightly over the past ninety days.
Competitors:
Wondering how TD AMERITRADE compares to rivals in the same sector? Here are a few of the company's peers.
- Bank of America (NYSE: BAC): Hold with a $0.28 recent quarter EPS
- E*TRADE (NASDAQ: ETFC): Hold with a $0.24 recent quarter EPS
- Interactive Brokers Group (NASDAQ: IBKR): Hold with a $0.22 recent quarter EPS
TD AMERITRADE is in the financial/investment brokers industry, which has experienced price/earnings growth of 0.9%.
Finally, a description of the company's main areas of operation: TD Ameritrade Holding provides securities brokerage services, including trade execution, clearing services, and margin lending, through its broker-dealer subsidiaries.
Take Action:
Now that you're fully prepared, get ready to take quick action if the company reports any numbers significantly different from those listed above. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.
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