3 Top Retail Broker Stocks: Buy, Sell or Hold?

Schwab, TD Ameritrade and E*Trade are crushing the market, but the easy money might have been made

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3 Top Retail Broker Stocks: Buy, Sell or Hold?

trader charts 185 3 Top Retail Broker Stocks: Buy, Sell or Hold?If retail investors are so sour on stocks, then why are shares in the big retail brokers going gangbusters this year?

Charles Schwab (SCHW) is up 51% so far in 2013. TD Ameritrade (AMTD) has rallied 63%. And E*Trade (ETFC), once thought to be a dead man walking, is up more than 90% for the year-to-date.

True, some retail investors are dipping their toes back into the equity waters. The housing and job markets are improving, which helps bolster confidence. And, more importantly, despite a tough August, stocks remain close to all-time highs.

Still, retail interest is nowhere close to what it used to be. Volume on the major exchanges is languishing at levels not seen in almost two decades.

The fact remains that five long years after Lehman Brothers went bankrupt and helped trigger the second epic equities crash in less than 10 years, mom-and-pop investors are still leery of the stock market.

On the other hand, you can’t fight the tape. Clearly the market sees something in these retail brokerage stocks. Here’s a quick look to help decide whether they’re worth the risk.


Article printed from InvestorPlace Media, http://investorplace.com/2013/09/retail-discount-broker-schwab-etrade-ameritrade/.

©2014 InvestorPlace Media, LLC

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