E*TRADE Financial Corp (ETFC)
Financial | Investment Brokerage - National
CEO: Karl A. Roessner
E*TRADE Financial Corp receives an in our proprietary multi-factor ranking approach that blends valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. E*TRADE Financial Corp's valuation score is comprised of a P/E ratio of 18.3x, a P/B ratio of 1.6x, a P/S ratio of 4.8x, and an EV/EBITDA ratio of 7.7x. .
WARREN BUFFETT RANKING
E*TRADE Financial Corp ranks 353 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a weak score, meaning it ranks poorly on valuation, moat, volatility, and financial strength factors.
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our analysis of its moat reveals neither a durable moat or enduring competitive advantages.
Interest coverage of 10.1x, a debt/equity ratio of 22% and a Moat Rank of 248 translate to a strong Financial Strength score.
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 29.7% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 91.
VALUE + YIELD
E*TRADE Financial Corp currently does not pay a dividend so it ranks last among S&P 500 companies using our dividend ranking methodology.
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. 29.7% 5 year annualized EPS growth, -3% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 4.4% combine to produce this average score.