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Stock Market & Financial Investment News

News Breaks
April 4, 2014
10:39 EDTETFC, AMTDE-Trade, TD Ameritrade continue sell-off amid concerns
Shares of brokerage firms E-Trade (ETFC) and TD Ameritrade (AMTD) are dropping significantly for a second straight day amid concerns that regulators will look to eliminate one of the companies' more profitable businesses. But two research firms defended the stocks in notes to investors earlier today. WHAT'S NEW: According to Reuters, the decline in the brokerage firms was triggered by concerns that regulators will end a highly profitable business they conduct known as "payment-for-order-flow." The term refers to payments that E-Trade and TD Ameritrade receive from professional trading firms, in exchange for hundreds of thousands of orders that the brokerages send to the trading firms. A controversial and widely discussed new book mentions payment for order flows, which is also known as PFO. Meanwhile, an SEC commissioner on Wednesday said the agency should consider temporarily banning a similar type of payment, the news service reported. ANALYST REACTION: In a note to investors before the market opened today, Wells Fargo wrote that the weakness in the stocks is being caused by concerns over payment for order flows. The payments could account for 15% of TD Ameritrade's profits and 21% of E-Trade profits, Wells stated. Nevertheless, the firm thinks the decline in the stocks seem excessive. Before banning the payments, regulators will need to study data and determine that retail investors are being significantly harmed by the practice, the firm contended. It kept an Outperform rating on TD Ameritrade and a Market Perform rating on E-Trade. Also taking an upbeat view of the stocks was research firm Sterne Agee. Both stocks already reflect a "fairly high likelihood" that PFO will be banned, but such a ban is far from certain, the firm contended in a note to investors before the market opened. Meanwhile, both companies' earnings would be boosted if interest rates rise, the firm contended. Sterne Agee keeps a Buy rating on E-Trade and a Neutral rating on TD Ameritrade. PRICE ACTION: In early trading, E-Trade fell 3% to $21.50, while TD Ameritrade dropped 2.3% to $31.30.
News For ETFC;AMTD From The Last 14 Days
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October 14, 2014
08:36 EDTAMTDADP announces new business relationship with TD Ameritrade
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07:59 EDTETFC, AMTDSchwab, Ameritrade look 'deeply undervalued,' says Deutsche Bank
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October 13, 2014
10:26 EDTAMTDHigh option volume stocks
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October 9, 2014
17:40 EDTETFCE-Trade 'touched' by JPMorgan hacking incident, CNBC says
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17:28 EDTETFCCitigroup not hit by hacking incident, CNBC reports
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12:47 EDTETFCSEC takes enforcement action against E-Trade over microcaps
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06:40 EDTETFCSource of JPMorgan cyberattack still unclear, NY Times says
The source of the cyberattack on JPMorgan (JPM) and other U.S. financial institutions this summer is still unclear, according to The New York Times. The hackers may have tried to hit about a dozen financial institutions , and E-Trade(ETFC) and Fidelity Investments may have been victimized in some way, the newspaper stated, citing an unnamed source who was briefed on the matter. At least five other banks, including Citigroup (C), HSBC (HBC) and Regions Financial (RF), discovered that one of the web addresses used by those who hacked JPMorgan tried to penetrate their systems, The Times quoted unnamed sources briefed on the matter as saying. Publicly traded companies in the space include Barracuda Networks (CUDA), Check Point (CHKP), F5 Networks (FFIV), FireEye (FEYE), Fortinet (FTNT), Imperva (IMPV), Palo Alto (PANW), Proofpoint (PFPT), Qualys (QLYS) and Symantec (SYMC). Reference Link
06:39 EDTETFCFidelity attacked by JPMorgan hackers, but no data stolen, FT reports
Fidelity Investments was among 13 financial institutions attacked by hackers who are believed to have been responsible for a breach at JPMorgan Chase, but there is no indication that Fidelity customer data were stolen, the Financial Times reports, citing two sources. Reference Link
06:37 EDTETFCJPMorgan hackers linked to 13 other possible breaches, Bloomberg says
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October 8, 2014
18:26 EDTETFCCitigroup, Etrade, others attacked by same JPMorgan hackers, Bloomberg reports
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