AMTD Shares Rise After Earnings, Schwab Investors Take Profits

TD Ameritrade Holding Corporation (NASDAQ:AMTD) from reporting a profit boost in the first quarter. Net income for TD Ameritrade Holding Corporation rose to $152 million (27 cents per share) vs. $145 million (25 cents per share) in the same quarter a year earlier. This marks a rise of 4.8% from the year earlier quarter. Revenue fell 0.6% to $653.4 million from the year earlier quarter. AMTD beat the mean analyst estimate of 26 cents per share. It fell short of the average revenue estimate of $671.5 million.

“We continue to execute well against our growth strategy in the face of a difficult market environment,” said Fred Tomczyk, president and chief executive officer. “Maintaining our industry-leading growth rate, we gathered $10.2 billion in net new client assets, an annualized growth rate of 11 percent. We remain focused on maintaining this organic growth momentum, keeping our expenses in check and using our strong balance sheet and free cash flow to take advantage of opportunities as they present themselves.”

Competitors to Watch: The Charles Schwab Corp. (NYSE:SCHW), E TRADE Financial Corp. (NASDAQ:ETFC), optionsXpress Hldgs., Inc. (NASDAQ:OXPS), TradeStation Group, Inc. (NASDAQ:TRAD), Raymond James Financial, Inc. (NYSE:RJF), Interactive Brokers Group, Inc. (NASDAQ:IBKR), National Holdings Corp. (NHLD), Investors Capital Hldgs. Ltd (AMEX:ICH), Bank of America Corp. (NYSE:BAC), and Oppenheimer Hldgs. Inc. (NYSE:OPY).

The Charles Schwab Corporation (NYSE:SCHW) reported its results for the fourth quarter. Net income for The Charles Schwab Corporation rose to $163 million (13 cents per share) vs. $119 million (10 cents per share) in the same quarter a year earlier. This marks a rise of 37% from the year earlier quarter. Revenue was $1.11 billion last quarter. SCHW fell in line with the mean analyst estimate of 13 cents per share. Analysts were expecting revenue of $1.11 billion.

President and CEO Walt Bettinger said, “Throughout 2011, we continued to successfully grow our business, deliver strong near-term profitability and build the company’s earnings power in the midst of a sustained tough operating environment. We ended 2011 with solid client metrics — net new assets totaled $10.5 billion in December, the highest of the year excluding significant one-time flows, and core net new assets totaled an industry-leading $82.3 billion for the year, up from $78.1 billion in 2010. Client assets totaled $1.68 trillion as of month-end December 2011, up 7% year-over-year. Additionally, we added over 1.1 million new brokerage accounts to our client base during 2011 and ended the year serving 8.6 million active brokerage accounts, 780,000 banking accounts and 1.49 million corporate retirement plan participants, which were up 7%, 13% and 1%, respectively.”

Competitors to Watch: optionsXpress Hldgs., Inc. (NASDAQ:OXPS), TD Ameritrade Holding Corp. (NASDAQ:AMTD), E TRADE Financial Corp. (NASDAQ:ETFC), Interactive Brokers Group, Inc. (NASDAQ:IBKR), LPL Investment Hldgs. Inc. (NASDAQ:LPLA), TradeStation Group, Inc. (NASDAQ:TRAD), Investment Tech. Group (NYSE:ITG), Bank of America Corp. (NYSE:BAC), Penson Worldwide, Inc. (NASDAQ:PNSN), and Raymond James Financial, Inc. (NYSE:RJF).