Online stock brokerage operator TD Ameritrade Holding Corp. ( AMTD ) on Tuesday saw its "Outperform" rating reiterated by analysts at FBR Capital Markets.
The firm also backed its $20 price target on AMTD, which implies a 13% upside to the stock's Monday closing price of $17.29.
An FBR analyst commented, "We are reiterating our rating and price target on AMTD following the release of client metrics last night, which were modestly ahead of expectations, highlighted by a strong recovery in trading activity. We continue to believe that the underlying core client asset growth and cash flow generation of Ameritrade's overall business remain strong, giving management the flexibility to redeploy meaningful levels of capital back to shareholders while also keeping powder dry for additional accretive acquisitions…We are maintaining our FY11 and FY12 EPS estimates of $1.02 and $1.21, respectively."
TD Ameritrade shares were mostly flat in premarket trading Tuesday.
The Bottom Line
Shares of TD Ameritrade ( AMTD ) have a 1.16% dividend yield, based on last night's closing stock price of $17.29. The stock has technical support in the $15 price area. If the shares can firm up, we see overhead resistance around the $18-$19 price levels.
TD Ameritrade Holding Corp. ( AMTD ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.1 out of 5 stars.
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