The Dividend Daily

Online stock trading company TD Ameritrade Holding Corp. (AMTD) said Tuesday that its fiscal fourth quarter profit fell 9% from last year, hurt by higher expenses and lower interest rates on investments.

The Omaha-based company reported fiscal fourth quarter net income of $156.7 million, or 26 per share, compared with $172 million, or 29 cents per share, in the year-ago period. Revenue rose less than 1% from last year to $657.9 million.

On average, Wall Street analysts expected a lower profit of 22 cents per share on $630.48 million in revenue.

As the equity markets recovered from the March lows, so did Ameritrade’s trading revenue. The company said it averaged 35% more trades per day than last year, while trading-based revenue rose almost 38%.

Looking ahead, the company predicted a full-year 2010 profit of $1.10 to $1.40 per share, while analysts currently expect $1.29 per share.

TD Ameritrade shares fell 19 cents, or -1%, in morning trading Tuesday.

The Bottom Line
Shares of AMTD are off 52-week highs of $21 a share. The stock has near-term technical support in the $16-$18 price area. If the shares can firm up, we see overhead resistance around the $21-$23 price levels. We do not currently rate this non-dividend paying stock, but we do follow the company closely.

TD Ameritrade Holding Corp. (AMTD) does not currently pay a dividend.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.