Nomura Securities Maintains a 'Buy' on E*TRADE (ETFC); Looking For Comfort as CEO Sparks Renewed Speculation
Tweet Send to a FriendGet Alerts ETFC Hot Sheet
Price: $11.32 -1.31%
Rating Summary:
3 Buy, 8 Hold, 4 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Rating Summary:
3 Buy, 8 Hold, 4 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Trade ETFC Now!
Nomura Securities maintains a 'Buy' on E*TRADE (NASDAQ: ETFC) price target of $10.50.
Analyst, Keith Murray, said, "E*TRADE’s recent CEO change sparked renewed press talk about a potential sale of the company. We continue to think that E*TRADE will eventually be sold, but a potential buyer will need to feel comfortable taking on E*TRADE’s loan book ($11.8bn as of 2Q12). While the loan book has characteristics that raise eyebrows (110% LTV on the 1-4 family loans, 114% CLTV on the home equity loans, mostly 2005-2007 vintages, over 80% originated by a third party), we want to highlight some of the positive trends that E*TRADE’s book is experiencing. Some signs of improvement in housing prices. E*TRADE’s loans are most heavily concentrated in California (47% of 1-4 family loans and 32% of home equity loans), followed by New York (7% of both the 1-4 family and home equity books) and Florida (also 7% of both the 1-4 family and home equity books)."
For an analyst ratings summary and ratings history on E*TRADE click here. For more ratings news on E*TRADE click here.
Shares of E*TRADE closed at $8.53 yesterday, with a 52 week range of $7.08-$12.45.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Analyst, Keith Murray, said, "E*TRADE’s recent CEO change sparked renewed press talk about a potential sale of the company. We continue to think that E*TRADE will eventually be sold, but a potential buyer will need to feel comfortable taking on E*TRADE’s loan book ($11.8bn as of 2Q12). While the loan book has characteristics that raise eyebrows (110% LTV on the 1-4 family loans, 114% CLTV on the home equity loans, mostly 2005-2007 vintages, over 80% originated by a third party), we want to highlight some of the positive trends that E*TRADE’s book is experiencing. Some signs of improvement in housing prices. E*TRADE’s loans are most heavily concentrated in California (47% of 1-4 family loans and 32% of home equity loans), followed by New York (7% of both the 1-4 family and home equity books) and Florida (also 7% of both the 1-4 family and home equity books)."
For an analyst ratings summary and ratings history on E*TRADE click here. For more ratings news on E*TRADE click here.
Shares of E*TRADE closed at $8.53 yesterday, with a 52 week range of $7.08-$12.45.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- J.P. Morgan (JPM) CEO Dimon Might Have Enough Votes to Stay Chairman - NY Times
- Pentair (PNR) Sales Growth Accelerating as Synergies w/ Flow Control Pan Out - Analyst
- Saks (SKS) Price Target Goes Up to $18.50 at Maxim Group Amid Takeover Reports
Create E-mail Alert Related Categories
Analyst Comments, Rumors, Trader TalkRelated Entities
Nomura
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
