Ameritrade Holding Corporation

1. Ameritrade wants to improve its position in deep-discount brokerage market.

2. Requires investment in technology to improve service and capacity and advertisment.
3. Avg Return on equity during 1975-1996 = 40%
4. Return during last five year > 40%
5. In March 1997, raised $22.5 mn in IPO

age market.

y and advertisment.

Charles Schwab
Date
Shares
30-Sep-87
30-Oct-87
30-Nov-87
31-Dec-87
29-Jan-88
29-Feb-88
31-Mar-88
29-Apr-88
31-May-88
30-Jun-88
29-Jul-88
31-Aug-88
30-Sep-88
31-Oct-88
30-Nov-88
30-Dec-88
31-Jan-89
28-Feb-89
31-Mar-89
28-Apr-89
31-May-89
30-Jun-89
31-Jul-89
31-Aug-89
29-Sep-89
31-Oct-89
30-Nov-89
29-Dec-89
31-Jan-90
28-Feb-90
30-Mar-90
30-Apr-90
31-May-90
29-Jun-90
31-Jul-90
31-Aug-90
28-Sep-90
31-Oct-90
30-Nov-90
31-Dec-90
31-Jan-91
28-Feb-91
28-Mar-91
30-Apr-91

29,121
29,121
29,121
25,388
25,388
25,388
25,388
25,388
25,388
25,294
25,294
25,294
25,328
25,328
25,328
25,354
25,354
25,354
25,354
25,354
25,354
25,352
25,352
25,352
25,386
25,386
25,386
25,332
25,332
25,332
25,332
25,332
25,332
25,099
25,099
25,099
25,255
25,255
25,255
24,464
24,464
24,464
24,464
24,464

Price Dividend
15.875
7.875
6.625
6.000
6.500
9.000
7.375
7.625
6.875
7.250
7.500
6.750
6.750
7.500
6.750
6.750
10.250
8.625
8.875
10.125
11.750
11.000
16.500
15.750
14.000
13.000
12.500
13.875
13.500
15.250
17.000
15.125
15.750
15.250
13.625
12.625
11.375
12.625
11.875
11.375
16.000
18.250
20.250
18.125

0.030
0.030
0.030
0.030
0.030
0.030
0.040
0.040
0.040

Stock Split Split Ratio

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

Dividend Adjusted Price

15.875
7.875
6.625
6.000
6.500
9.000
7.375
7.625
6.875
7.250
7.500
6.750
6.750
7.500
6.750
6.750
10.250
8.625
8.875
10.125
11.780
11.000
16.530
15.750
14.000
13.030
12.500
13.875
13.530
15.250
17.000
15.155
15.750
15.250
13.655
12.625
11.375
12.665
11.875
11.375
16.040
18.250
20.250
18.165

31-May-91
28-Jun-91
31-Jul-91
30-Aug-91
30-Sep-91
31-Oct-91
29-Nov-91
31-Dec-91
31-Jan-92
28-Feb-92
31-Mar-92
30-Apr-92
29-May-92
30-Jun-92
31-Jul-92
31-Aug-92
30-Sep-92
30-Oct-92
30-Nov-92
31-Dec-92
29-Jan-93
26-Feb-93
31-Mar-93
30-Apr-93
28-May-93
30-Jun-93
30-Jul-93
31-Aug-93
30-Sep-93
29-Oct-93
30-Nov-93
31-Dec-93
31-Jan-94
28-Feb-94
31-Mar-94
29-Apr-94
31-May-94
30-Jun-94
29-Jul-94
31-Aug-94
30-Sep-94
31-Oct-94
30-Nov-94
30-Dec-94
31-Jan-95
28-Feb-95
31-Mar-95

24,464
24,435
24,435
24,435
25,596
25,596
25,596
38,394
38,394
38,394
38,479
38,479
38,479
38,626
38,626
38,626
38,149
38,149
38,149
37,741
37,741
37,741
37,741
37,741
37,741
56,612
56,612
56,612
57,625
57,625
57,815
57,815
57,815
57,815
57,815
57,815
57,815
57,114
57,114
57,114
56,829
56,829
57,325
57,325
57,325
57,325
85,988

22.500
24.750
27.500
28.375
31.125
37.750
32.750
30.375
31.875
33.250
34.625
28.500
28.875
23.500
24.625
22.500
18.000
20.250
24.875
26.125
30.250
32.375
36.500
32.750
35.250
28.500
29.000
32.875
34.500
34.625
31.875
32.375
29.500
27.500
26.875
28.375
30.250
24.750
26.750
30.750
29.625
35.375
31.875
34.875
40.000
44.375
32.250

0.050
0.060
0.040
0.060
0.060
0.060
0.060
0.075
0.050
0.050
0.070
0.070
0.070
0.070
0.090
-

3 for 2

3 for 2

3 for 2

1
1
1
1
1
1
1
1.5
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.5
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.5

22.500
24.750
27.550
28.375
31.125
37.810
32.750
30.375
31.915
33.250
34.625
28.560
28.875
23.500
24.685
22.500
18.000
20.310
24.875
26.125
30.310
32.375
36.500
32.825
35.250
28.500
29.050
32.875
34.500
34.675
31.875
32.375
29.570
27.500
26.875
28.445
30.250
24.750
26.820
30.750
29.625
35.445
31.875
34.875
40.090
44.375
32.250

28-Apr-95
31-May-95
30-Jun-95
31-Jul-95
31-Aug-95
29-Sep-95
31-Oct-95
30-Nov-95
29-Dec-95
31-Jan-96
29-Feb-96
29-Mar-96
30-Apr-96
31-May-96
28-Jun-96
31-Jul-96
30-Aug-96
30-Sep-96
31-Oct-96
29-Nov-96
31-Dec-96
31-Jan-97
28-Feb-97
31-Mar-97
30-Apr-97
30-May-97
30-Jun-97
31-Jul-97
29-Aug-97

85,988
85,988
85,896
85,896
87,061
174,122
174,122
174,678
174,678
174,678
174,678
174,678
174,032
174,032
174,989
174,989
174,989
175,166
175,166
175,166
175,173
175,173
175,173
175,173
175,068
175,068
175,813
176,422
176,422

E*Trade
Date

Shares

30-Aug-96
30-Sep-96
31-Oct-96
29-Nov-96
31-Dec-96
31-Jan-97
28-Feb-97
31-Mar-97
30-Apr-97
30-May-97
30-Jun-97
31-Jul-97
29-Aug-97

29,393
29,539
29,539
29,539
29,545
29,545
29,545
30,440
30,440
30,440
30,958
30,958
30,958

34.250
35.000
43.875
46.125
46.625
29.000
22.875
24.250
20.125
25.125
25.500
25.875
24.500
24.250
24.500
24.125
25.000
23.000
25.000
30.250
32.000
37.500
37.500
32.000
36.625
40.625
40.500
47.000
42.750

0.060
0.080
0.040
0.040
0.040
0.050
0.050
0.050
0.050
0.050

Price Dividend
10.500
13.188
11.125
10.938
11.500
17.625
24.000
18.000
15.000
17.625
19.625
30.500
32.125

2 for 1

1
1
1
1
1
2
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

Stock Split Split Ratio

1
1
1
1
1
1
1
1
1
1
1
1
1

34.310
35.000
43.875
46.205
46.625
29.000
22.915
24.250
20.125
25.165
25.500
25.875
24.540
24.250
24.500
24.175
25.000
23.000
25.050
30.250
32.000
37.500
37.550
32.000
36.625
40.675
40.500
47.000
42.800

Dividend Adjusted Price

10.500
13.188
11.125
10.938
11.500
17.625
24.000
18.000
15.000
17.625
19.625
30.500
32.125

Quick & Reilly

Date
Shares
31-Jan-84
29-Feb-84
30-Mar-84
30-Apr-84
31-May-84
29-Jun-84
31-Jul-84
31-Aug-84
28-Sep-84
31-Oct-84
30-Nov-84
31-Dec-84
31-Jan-85
28-Feb-85
29-Mar-85
30-Apr-85
31-May-85
28-Jun-85
31-Jul-85
30-Aug-85
30-Sep-85
31-Oct-85
29-Nov-85
31-Dec-85
31-Jan-86
28-Feb-86
31-Mar-86
30-Apr-86
30-May-86
30-Jun-86
31-Jul-86
29-Aug-86
30-Sep-86
31-Oct-86
28-Nov-86
31-Dec-86
30-Jan-87
27-Feb-87
31-Mar-87
30-Apr-87
29-May-87
30-Jun-87
31-Jul-87
31-Aug-87

6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
6,318
11,149
11,149
11,149
11,149
11,149
11,149
11,149
11,149
11,149
11,149
11,149
16,724
16,724
9,477
9,477
9,477

Price Dividend
17.625
15.000
14.875
17.125
17.375
18.000
14.750
18.000
17.000
17.875
15.250
15.500
23.375
23.750
23.125
20.625
22.625
24.000
24.125
22.875
20.125
22.250
25.500
32.500
36.375
39.125
39.000
30.375
33.375
35.500
29.000
28.750
23.875
32.125
29.500
26.750
36.125
36.875
36.000
21.375
21.500
19.250
20.250
24.625

0.050
0.050
0.050
0.050
0.110
0.060
0.060
0.060
0.170
0.070
0.070
0.070
0.200
0.055
0.055

Stock Split Split Ratio

3 for 2

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.5
1
1
1
1

Dividend Adjusted Price

17.625
15.050
14.875
17.125
17.375
18.050
14.750
18.050
17.000
17.875
15.300
15.500
23.375
23.860
23.125
20.625
22.685
24.000
24.125
22.935
20.125
22.250
25.560
32.500
36.375
39.295
39.000
30.375
33.445
35.500
29.000
28.820
23.875
32.125
29.570
26.750
36.125
37.075
36.000
21.375
21.555
19.250
20.250
24.680

30-Sep-87
30-Oct-87
30-Nov-87
31-Dec-87
29-Jan-88
29-Feb-88
31-Mar-88
29-Apr-88
31-May-88
30-Jun-88
29-Jul-88
31-Aug-88
30-Sep-88
31-Oct-88
30-Nov-88
30-Dec-88
31-Jan-89
28-Feb-89
31-Mar-89
28-Apr-89
31-May-89
30-Jun-89
31-Jul-89
31-Aug-89
29-Sep-89
31-Oct-89
30-Nov-89
29-Dec-89
31-Jan-90
28-Feb-90
30-Mar-90
30-Apr-90
31-May-90
29-Jun-90
31-Jul-90
31-Aug-90
28-Sep-90
31-Oct-90
30-Nov-90
31-Dec-90
31-Jan-91
28-Feb-91
28-Mar-91
30-Apr-91
31-May-91
28-Jun-91
31-Jul-91

9,477
9,477
9,477
9,477
9,477
9,477
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,452
9,437
9,437
9,437
9,210
9,210
9,210
9,452
9,452

23.000
12.125
11.625
12.500
12.625
13.500
12.250
12.625
11.500
11.875
11.500
11.250
11.750
11.750
11.500
10.875
15.000
13.750
13.250
13.000
16.125
14.000
16.500
17.000
16.750
15.750
14.875
13.625
12.000
13.625
13.250
13.000
15.250
14.000
13.500
11.375
10.375
9.750
10.125
10.250
13.125
16.125
18.875
17.500
17.750
17.000
19.625

0.055
0.180
0.060
0.060
0.060
0.060
0.060
0.060
0.060
0.130
0.070
0.070
0.070
0.070
0.070
-

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

23.000
12.125
11.680
12.500
12.625
13.680
12.250
12.625
11.560
11.875
11.500
11.310
11.750
11.750
11.560
10.875
15.000
13.810
13.250
13.000
16.185
14.000
16.500
17.060
16.750
15.750
14.935
13.625
12.000
13.755
13.250
13.000
15.320
14.000
13.500
11.445
10.375
9.750
10.195
10.250
13.125
16.195
18.875
17.500
17.820
17.000
19.625

30-Aug-91
30-Sep-91
31-Oct-91
29-Nov-91
31-Dec-91
31-Jan-92
28-Feb-92
31-Mar-92
30-Apr-92
29-May-92
30-Jun-92
31-Jul-92
31-Aug-92
30-Sep-92
30-Oct-92
30-Nov-92
31-Dec-92
29-Jan-93
26-Feb-93
31-Mar-93
30-Apr-93
28-May-93
30-Jun-93
30-Jul-93
31-Aug-93
30-Sep-93
29-Oct-93
30-Nov-93
31-Dec-93
31-Jan-94
28-Feb-94
31-Mar-94
29-Apr-94
31-May-94
30-Jun-94
29-Jul-94
31-Aug-94
30-Sep-94
31-Oct-94
30-Nov-94
30-Dec-94
31-Jan-95
28-Feb-95
31-Mar-95
28-Apr-95
31-May-95
30-Jun-95

9,452
9,210
9,210
9,210
9,220
9,220
9,220
9,292
9,292
9,292
9,292
9,292
9,292
9,884
9,884
9,884
9,884
9,884
9,884
9,824
9,824
9,824
10,315
10,623
10,623
10,643
10,643
10,678
11,212
10,678
11,238
11,238
11,238
11,238
11,168
11,168
11,121
11,121
11,111
11,111
11,111
11,075
11,075
11,075
11,075
11,075
16,613

20.625
19.250
20.375
20.000
27.750
27.500
28.500
28.625
21.500
21.500
21.000
20.125
19.625
20.125
21.000
25.375
24.750
27.000
26.000
27.125
25.125
26.125
28.875
30.750
35.000
36.250
35.875
34.250
35.750
35.375
28.375
25.625
26.375
26.875
25.375
24.750
29.250
25.875
25.750
24.750
28.375
30.875
35.000
35.500
40.625
47.000
36.625

0.070
0.070
0.180
0.080
0.080
0.080
0.220
0.100
1.443
0.100
0.100
1.788
0.270
0.120
0.120
0.120
0.290
0.150

3 for 2

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.5

20.695
19.250
20.375
20.070
27.750
27.500
28.680
28.625
21.500
21.580
21.000
20.125
19.705
20.125
21.000
25.455
24.750
27.000
26.220
27.125
25.125
26.225
30.318
30.750
35.100
36.250
35.875
34.350
37.538
35.375
28.645
25.625
26.375
26.995
25.375
24.750
29.370
25.875
25.750
24.870
28.375
30.875
35.290
35.500
40.625
47.000
36.775

31-Jul-95
31-Aug-95
29-Sep-95
31-Oct-95
30-Nov-95
29-Dec-95
31-Jan-96
29-Feb-96
29-Mar-96
30-Apr-96
31-May-96
28-Jun-96
31-Jul-96
30-Aug-96
30-Sep-96
31-Oct-96
29-Nov-96
31-Dec-96
31-Jan-97
28-Feb-97
31-Mar-97
30-Apr-97
30-May-97
30-Jun-97
31-Jul-97
29-Aug-97

16,613
16,613
16,613
24,920
24,952
24,952
25,056
25,056
25,056
25,056
25,056
25,056
25,178
25,178
25,178
25,178
25,178
25,178
25,173
25,173
37,760
37,760
37,760
38,606
38,664
38,664

38.500
37.375
45.875
23.750
25.375
20.500
23.250
26.250
29.500
30.500
33.875
32.500
28.375
29.250
26.500
26.250
28.375
29.875
36.625
35.000
20.875
22.125
23.000
23.250
26.250
34.250

0.100
0.070
0.080
0.070
0.080
0.080
0.190
0.060
0.060

Waterhouse Investor Services

Date
Shares
Price Dividend
29-May-87
30-Jun-87
31-Jul-87
31-Aug-87
30-Sep-87
30-Oct-87
30-Nov-87
31-Dec-87
29-Jan-88
29-Feb-88
31-Mar-88
29-Apr-88
31-May-88
30-Jun-88
29-Jul-88
31-Aug-88
30-Sep-88

2,572
2,572
2,572
2,572
2,572
2,572
2,572
2,572
2,572
2,482
2,482
2,482
2,482
2,482
2,482
2,482
2,482

6.938
8.000
8.250
7.500
8.000
6.250
6.000
5.250
4.500
4.750
6.000
5.875
6.250
5.000
3.500
3.250
4.000

3 for 2

3 for 2

1
1
1
1.5
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.5
1
1
1
1
1

Stock Split Split Ratio

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

38.500
37.475
45.875
23.750
25.445
20.500
23.250
26.330
29.500
30.500
33.945
32.500
28.375
29.330
26.500
26.250
28.455
29.875
36.625
35.190
20.875
22.125
23.060
23.250
26.250
34.310

Dividend Adjusted Price

6.938
8.000
8.250
7.500
8.000
6.250
6.000
5.250
4.500
4.750
6.000
5.875
6.250
5.000
3.500
3.250
4.000

31-Oct-88
30-Nov-88
30-Dec-88
31-Jan-89
28-Feb-89
31-Mar-89
28-Apr-89
31-May-89
30-Jun-89
31-Jul-89
31-Aug-89
29-Sep-89
31-Oct-89
30-Nov-89
29-Dec-89
31-Jan-90
28-Feb-90
30-Mar-90
30-Apr-90
31-May-90
29-Jun-90
31-Jul-90
31-Aug-90
28-Sep-90
31-Oct-90
30-Nov-90
31-Dec-90
31-Jan-91
28-Feb-91
28-Mar-91
30-Apr-91
31-May-91
28-Jun-91
31-Jul-91
30-Aug-91
30-Sep-91
31-Oct-91
29-Nov-91
31-Dec-91
31-Jan-92
28-Feb-92
31-Mar-92
30-Apr-92
29-May-92
30-Jun-92
31-Jul-92
31-Aug-92

2,482
2,482
2,482
2,482
2,472
2,472
2,472
2,420
2,420
2,420
2,419
2,419
2,419
2,417
2,417
2,417
2,420
2,420
2,420
2,572
2,572
2,572
2,377
2,377
2,377
2,370
2,370
2,370
2,320
2,320
2,320
2,320
2,900
2,900
2,943
2,943
2,943
2,943
2,943
2,943
4,415
4,466
4,466
4,466
4,466
4,466
4,466

3.375
3.500
2.750
3.750
3.750
4.750
4.250
5.000
6.000
6.000
5.750
5.625
5.375
5.000
4.500
4.375
3.750
4.250
4.375
4.250
4.750
4.625
4.375
4.250
4.000
3.750
3.625
3.750
4.500
6.125
7.000
8.250
8.000
10.375
10.750
14.250
14.000
15.500
27.500
26.500
21.750
25.375
20.625
21.750
17.125
17.625
13.750

0.120
0.150
0.160
0.200

5 for 4

3 for 2

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.25
1
1
1
1
1
1
1
1.5
1
1
1
1
1
1

3.375
3.500
2.750
3.750
3.750
4.750
4.250
5.000
6.000
6.000
5.870
5.625
5.375
5.000
4.500
4.375
3.750
4.250
4.375
4.250
4.750
4.625
4.525
4.250
4.000
3.750
3.625
3.750
4.500
6.125
7.000
8.250
8.000
10.375
10.910
14.250
14.000
15.500
27.500
26.500
21.750
25.375
20.625
21.750
17.125
17.625
13.950

30-Sep-92
30-Oct-92
30-Nov-92
31-Dec-92
29-Jan-93
26-Feb-93
31-Mar-93
30-Apr-93
28-May-93
30-Jun-93
30-Jul-93
31-Aug-93
30-Sep-93
29-Oct-93
30-Nov-93
31-Dec-93
31-Jan-94
28-Feb-94
31-Mar-94
29-Apr-94
31-May-94
30-Jun-94
29-Jul-94
31-Aug-94
30-Sep-94
31-Oct-94
30-Nov-94
30-Dec-94
31-Jan-95
28-Feb-95
31-Mar-95
28-Apr-95
31-May-95
30-Jun-95
31-Jul-95
31-Aug-95
29-Sep-95
31-Oct-95
30-Nov-95
29-Dec-95
31-Jan-96
29-Feb-96
29-Mar-96
30-Apr-96
31-May-96
28-Jun-96
31-Jul-96

4,847
4,847
4,847
4,847
4,847
4,847
6,071
6,071
6,071
6,072
6,072
6,072
6,072
6,072
9,108
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,150
9,154
9,154
9,154
9,154
9,154
9,154
9,154
9,154
9,154
11,442
11,442
11,442
11,452
11,452
11,452
11,452
11,452
11,458
11,458
11,501

14.375
15.625
20.750
20.500
25.250
24.375
20.500
18.500
27.250
33.500
33.000
42.625
50.125
47.250
25.750
21.250
21.250
20.500
17.625
16.000
15.250
13.375
13.000
17.000
14.125
16.125
14.250
12.250
14.500
17.375
16.125
15.625
17.500
23.000
27.625
28.625
25.500
19.750
19.750
24.750
23.625
24.625
33.375
36.250
36.625
37.125
37.625

0.250
0.200
0.250
-

5 for 4

3 for 2

5 for 4

1
1
1
1
1
1
1.25
1
1
1
1
1
1
1
1.5
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1.25
1
1
1
1
1
1
1
1
1
1

14.375
15.625
20.750
20.500
25.250
24.375
20.500
18.500
27.250
33.500
33.000
42.875
50.125
47.250
25.750
21.250
21.250
20.500
17.625
16.000
15.250
13.375
13.000
17.200
14.125
16.125
14.250
12.250
14.500
17.375
16.125
15.625
17.500
23.000
27.625
28.875
25.500
19.750
19.750
24.750
23.625
24.625
33.375
36.250
36.625
37.125
37.625

30-Aug-96
30-Sep-96

11,501
11,501

37.375
37.875

0.220
-

1
1

37.595
37.875

Split Adjusted Price

Growth

15.875
7.875
6.625
6.000
6.500
9.000
7.375
7.625
6.875
7.250
7.500
6.750
6.750
7.500
6.750
6.750
10.250
8.625
8.875
10.125
11.780
11.000
16.530
15.750
14.000
13.030
12.500
13.875
13.530
15.250
17.000
15.155
15.750
15.250
13.655
12.625
11.375
12.665
11.875
11.375
16.040
18.250
20.250
18.165

-0.504
-0.159
-0.094
0.083
0.385
-0.181
0.034
-0.098
0.055
0.034
-0.100
0.000
0.111
-0.100
0.000
0.519
-0.159
0.029
0.141
0.163
-0.066
0.503
-0.047
-0.111
-0.069
-0.041
0.110
-0.025
0.127
0.115
-0.109
0.039
-0.032
-0.105
-0.075
-0.099
0.113
-0.062
-0.042
0.410
0.138
0.110
-0.103

Note:
1 Dividend adjusted price :
Price is the shares will drop to the extent of dividend annouced, hence
actual price will be addition of share price and dividend paid.
2 Split Adjusted price
similarly due to split shre price will drop to the factor of split ratio
hence the actual price will be split ratio multiplied by Share price

22.500
24.750
27.550
28.375
31.125
37.810
32.750
45.563
31.915
33.250
34.625
28.560
28.875
23.500
24.685
22.500
18.000
20.310
24.875
26.125
30.310
32.375
36.500
32.825
35.250
42.750
29.050
32.875
34.500
34.675
31.875
32.375
29.570
27.500
26.875
28.445
30.250
24.750
26.820
30.750
29.625
35.445
31.875
34.875
40.090
44.375
48.375

0.239
0.100
0.113
0.030
0.097
0.215
-0.134
0.391
0.051
0.042
0.041
-0.175
0.011
-0.186
0.050
-0.089
-0.200
0.128
0.225
0.050
0.160
0.068
0.127
-0.101
0.074
0.213
0.019
0.132
0.049
0.005
-0.081
0.016
-0.087
-0.070
-0.023
0.058
0.063
-0.182
0.084
0.147
-0.037
0.196
-0.101
0.094
0.150
0.107
0.090

34.310
35.000
43.875
46.205
46.625
58.000
22.915
24.250
20.125
25.165
25.500
25.875
24.540
24.250
24.500
24.175
25.000
23.000
25.050
30.250
32.000
37.500
37.550
32.000
36.625
40.675
40.500
47.000
42.800

0.064
0.020
0.254
0.053
0.009
0.244
-0.210
0.058
-0.170
0.250
0.013
0.015
-0.052
-0.012
0.010
-0.013
0.034
-0.080
0.089
0.208
0.058
0.172
0.001
-0.148
0.145
0.111
-0.004
0.160
-0.089

Split Adjusted Price

Growth

10.500
13.188
11.125
10.938
11.500
17.625
24.000
18.000
15.000
17.625
19.625
30.500
32.125

0.256
-0.156
-0.017
0.051
0.533
0.362
-0.250
-0.167
0.175
0.113
0.554
0.053

Split Adjusted Price

Growth

17.625
15.050
14.875
17.125
17.375
18.050
14.750
18.050
17.000
17.875
15.300
15.500
23.375
23.860
23.125
20.625
22.685
24.000
24.125
22.935
20.125
22.250
25.560
32.500
36.375
39.295
39.000
30.375
33.445
35.500
29.000
28.820
23.875
32.125
29.570
26.750
36.125
37.075
36.000
32.063
21.555
19.250
20.250
24.680

-0.146
-0.012
0.151
0.015
0.039
-0.183
0.224
-0.058
0.051
-0.144
0.013
0.508
0.021
-0.031
-0.108
0.100
0.058
0.005
-0.049
-0.123
0.106
0.149
0.272
0.119
0.080
-0.008
-0.221
0.101
0.061
-0.183
-0.006
-0.172
0.346
-0.080
-0.095
0.350
0.026
-0.029
-0.109
0.008
-0.107
0.052
0.219

23.000
12.125
11.680
12.500
12.625
13.680
12.250
12.625
11.560
11.875
11.500
11.310
11.750
11.750
11.560
10.875
15.000
13.810
13.250
13.000
16.185
14.000
16.500
17.060
16.750
15.750
14.935
13.625
12.000
13.755
13.250
13.000
15.320
14.000
13.500
11.445
10.375
9.750
10.195
10.250
13.125
16.195
18.875
17.500
17.820
17.000
19.625

-0.068
-0.473
-0.037
0.070
0.010
0.084
-0.105
0.031
-0.084
0.027
-0.032
-0.017
0.039
0.000
-0.016
-0.059
0.379
-0.079
-0.041
-0.019
0.245
-0.135
0.179
0.034
-0.018
-0.060
-0.052
-0.088
-0.119
0.146
-0.037
-0.019
0.178
-0.086
-0.036
-0.152
-0.093
-0.060
0.046
0.005
0.280
0.234
0.165
-0.073
0.018
-0.046
0.154

20.695
19.250
20.375
20.070
27.750
27.500
28.680
28.625
21.500
21.580
21.000
20.125
19.705
20.125
21.000
25.455
24.750
27.000
26.220
27.125
25.125
26.225
30.318
30.750
35.100
36.250
35.875
34.350
37.538
35.375
28.645
25.625
26.375
26.995
25.375
24.750
29.370
25.875
25.750
24.870
28.375
30.875
35.290
35.500
40.625
47.000
55.163

0.055
-0.070
0.058
-0.015
0.383
-0.009
0.043
-0.002
-0.249
0.004
-0.027
-0.042
-0.021
0.021
0.043
0.212
-0.028
0.091
-0.029
0.035
-0.074
0.044
0.156
0.014
0.141
0.033
-0.010
-0.043
0.093
-0.058
-0.190
-0.105
0.029
0.024
-0.060
-0.025
0.187
-0.119
-0.005
-0.034
0.141
0.088
0.143
0.006
0.144
0.157
0.174

38.500
37.475
45.875
35.625
25.445
20.500
23.250
26.330
29.500
30.500
33.945
32.500
28.375
29.330
26.500
26.250
28.455
29.875
36.625
35.190
31.313
22.125
23.060
23.250
26.250
34.310

0.047
-0.027
0.224
-0.223
0.071
-0.194
0.134
0.132
0.120
0.034
0.113
-0.043
-0.127
0.034
-0.096
-0.009
0.084
0.050
0.226
-0.039
-0.110
0.060
0.042
0.008
0.129
0.307

Split Adjusted Price

Growth

6.938
8.000
8.250
7.500
8.000
6.250
6.000
5.250
4.500
4.750
6.000
5.875
6.250
5.000
3.500
3.250
4.000

0.153
0.031
-0.091
0.067
-0.219
-0.040
-0.125
-0.143
0.056
0.263
-0.021
0.064
-0.200
-0.300
-0.071
0.231

3.375
3.500
2.750
3.750
3.750
4.750
4.250
5.000
6.000
6.000
5.870
5.625
5.375
5.000
4.500
4.375
3.750
4.250
4.375
4.250
4.750
4.625
4.525
4.250
4.000
3.750
3.625
3.750
4.500
6.125
7.000
8.250
10.000
10.375
10.910
14.250
14.000
15.500
27.500
26.500
32.625
25.375
20.625
21.750
17.125
17.625
13.950

-0.156
0.037
-0.214
0.364
0.000
0.267
-0.105
0.176
0.200
0.000
-0.022
-0.042
-0.044
-0.070
-0.100
-0.028
-0.143
0.133
0.029
-0.029
0.118
-0.026
-0.022
-0.061
-0.059
-0.063
-0.033
0.034
0.200
0.361
0.143
0.179
0.212
0.297
0.052
0.306
-0.018
0.107
0.774
-0.036
0.231
0.167
-0.187
0.055
-0.213
0.029
-0.209

14.375
15.625
20.750
20.500
25.250
24.375
25.625
18.500
27.250
33.500
33.000
42.875
50.125
47.250
38.625
21.250
21.250
20.500
17.625
16.000
15.250
13.375
13.000
17.200
14.125
16.125
14.250
12.250
14.500
17.375
16.125
15.625
17.500
23.000
27.625
28.875
31.875
19.750
19.750
24.750
23.625
24.625
33.375
36.250
36.625
37.125
37.625

0.030
0.087
0.328
-0.012
0.232
-0.035
0.051
-0.098
0.473
0.229
-0.015
0.299
0.169
-0.057
-0.183
-0.175
0.000
-0.035
-0.140
-0.092
-0.047
-0.123
-0.028
0.323
-0.179
0.142
-0.116
-0.140
0.184
0.198
-0.072
-0.031
0.120
0.314
0.201
0.045
0.104
-0.225
0.000
0.253
-0.045
0.042
0.355
0.086
0.010
0.014
0.013

37.595
37.875

-0.001
0.007

ividend annouced, hence

d dividend paid.

e factor of split ratio

plied by Share price

Date

VW NYSE, EW NYSE,
AMEX, and AMEX, and
NASDAQ NASDAQ

31-Jan-84

-0.012910

0.005760

29-Feb-84

-0.039170

-0.053810

30-Mar-84

0.013450

0.007100

30-Apr-84

0.002730

-0.019420

31-May-84

-0.052350

-0.050770

29-Jun-84

0.023590

0.013800

31-Jul-84

-0.020350

-0.047450

31-Aug-84

0.112570

0.089620

28-Sep-84

0.000390

0.000270

31-Oct-84

0.000130

-0.020890

30-Nov-84

-0.010620

-0.031410

31-Dec-84

0.023790

0.005050

31-Jan-85

0.085730

0.122760

28-Feb-85

0.017000

0.047140

29-Mar-85

-0.001930

-0.008530

30-Apr-85

-0.002180

-0.011290

31-May-85

0.055870

0.022930

28-Jun-85

0.017190

0.003470

31-Jul-85

-0.000540

0.019510

30-Aug-85

-0.004800

-0.003410

30-Sep-85

-0.039650

-0.056140

31-Oct-85

0.044570

0.018960

29-Nov-85

0.069270

0.053270

31-Dec-85

0.043060

0.029130

31-Jan-86

0.009860

0.043400

28-Feb-86

0.072840

0.062360

31-Mar-86

0.053880

0.047720

30-Apr-86

-0.008060

0.015840

30-May-86

0.050810

0.036630

30-Jun-86

0.014300

0.008960

31-Jul-86

-0.059690

-0.073610

29-Aug-86

0.066390

0.022110

30-Sep-86

-0.079140

-0.060490

31-Oct-86

0.049440

0.024620

28-Nov-86

0.015170

-0.006280

31-Dec-86

-0.026540

-0.034530

30-Jan-87

0.128370

0.116820

27-Feb-87

0.047630

0.074950

31-Mar-87

0.023240

0.033090

30-Apr-87

-0.017130

-0.019610

29-May-87

0.005220

0.000710

30-Jun-87

0.043830

0.022010

31-Jul-87

0.044050

0.034700

Charles
Schwab

E*Trade

Quick &
Reilly

Waterho
use
Investor
Services

AG
Edwards

Bear
Stearns

0.026040

-0.14610
-0.01163
0.15126
0.01460
0.03885
-0.18283
0.22373
-0.05817
0.05147
-0.14406
0.01307
0.50806
0.02075
-0.03080
-0.10811
0.09988
0.05797
0.00521
-0.04933
-0.12252
0.10559
0.14876
0.27152
0.11923
0.08027
-0.00751
-0.22115
0.10107
0.06144
-0.18310
-0.00621
-0.17158
0.34555
-0.07953
-0.09537
0.35047
0.02630
-0.02900
-0.10938
0.00842
-0.10694
0.05195

-0.111680
-0.042290
0.012050
-0.017860
0.100610
0.016670
0.178140
-0.032710
0.024150
-0.066040
-0.017170
0.331610
-0.007780
-0.036860
-0.094260
0.085970
0.102500
-0.064640
-0.036590
-0.132490
0.088240

0.1531
0.0313

0.099100

-0.103450

0.141800

0.193590

0.039710

0.156760

0.149310

0.130840

0.083990

0.128720

-0.086830

0.065640

0.026070

0.003620

-0.066370

-0.168520

-0.067630

-0.141920

0.104660

0.160310

-0.094340

-0.145530

0.151040

0.217050

-0.022620

-0.057320

-0.040740

-0.102160

0.334950

0.318180

0.000000

-0.022990

0.044950

-0.024650

-0.122380

-0.121020

-0.023900

-0.028990

-0.104650

0.022090

0.073390

-0.007350

31-Aug-87

0.037230

0.015590

30-Sep-87

-0.020740

-0.015510

30-Oct-87

-0.224870

-0.270850

30-Nov-87

-0.072900

-0.052300

31-Dec-87

0.070410

0.027940

29-Jan-88

0.045340

0.078110

29-Feb-88

0.051610

0.062010

31-Mar-88

-0.017060

0.034370

29-Apr-88

0.011000

0.015250

31-May-88

0.000940

-0.017020

30-Jun-88

0.051390

0.048480

29-Jul-88

-0.007180

0.000550

31-Aug-88

-0.027940

-0.023710

30-Sep-88

0.037280

0.018700

31-Oct-88

0.017650

-0.011780

30-Nov-88

-0.016400

-0.036700

30-Dec-88

0.020800

0.019540

31-Jan-89

0.065940

0.063130

28-Feb-89

-0.016360

0.002790

31-Mar-89

0.021550

0.017030

28-Apr-89

0.048530

0.030680

31-May-89

0.039650

0.027370

30-Jun-89

-0.004980

-0.008330

31-Jul-89

0.077720

0.031610

31-Aug-89

0.022280

0.019290

29-Sep-89

-0.001750

0.004470

31-Oct-89

-0.029380

-0.050950

30-Nov-89

0.017850

-0.008220

29-Dec-89

0.018280

-0.012170

31-Jan-90

-0.070050

-0.045810

28-Feb-90

0.014980

0.015750

30-Mar-90

0.024150

0.022040

30-Apr-90

-0.028160

-0.026720

31-May-90

0.088870

0.046650

29-Jun-90

-0.004300

0.005380

31-Jul-90

-0.009380

-0.027290

31-Aug-90

-0.091730

-0.109790

28-Sep-90

-0.053870

-0.080490

31-Oct-90

-0.012420

-0.056330

30-Nov-90

0.065980

0.036650

31-Dec-90

0.029540

-0.003870

31-Jan-91

0.049040

0.085250

28-Feb-91

0.075690

0.133650

28-Mar-91

0.028780

0.077820

30-Apr-91

0.003350

0.031020

31-May-91

0.040590

0.030340

28-Jun-91

-0.044240

-0.034500

-0.504
-0.159
-0.094
0.083
0.385
-0.181
0.034
-0.098
0.055
0.034
-0.100
0.000
0.111
-0.100
0.000
0.519
-0.159
0.029
0.141
0.163
-0.066
0.503
-0.047
-0.111
-0.069
-0.041
0.110
-0.025
0.127
0.115
-0.109
0.039
-0.032
-0.105
-0.075
-0.099
0.113
-0.062
-0.042
0.410
0.138
0.110
-0.103
0.239
0.100

0.21877
-0.06807
-0.47283
-0.03670
0.07021
0.01000
0.08356
-0.10453
0.03061
-0.08436
0.02725
-0.03158
-0.01652
0.03890
0.00000
-0.01617
-0.05926
0.37931
-0.07933
-0.04055
-0.01887
0.24500
-0.13500
0.17857
0.03394
-0.01817
-0.05970
-0.05175
-0.08771
-0.11927
0.14625
-0.03671
-0.01887
0.17846
-0.08616
-0.03571
-0.15222
-0.09349
-0.06024
0.04564
0.00539
0.28049
0.23390
0.16548
-0.07285
0.01829
-0.04602

-0.0909
0.0667
-0.2188
-0.0400
-0.1250
-0.1429
0.0556
0.2632
-0.0208
0.0638
-0.2000
-0.3000
-0.0714
0.2308
-0.1563
0.0370
-0.2143
0.3636
0.0000
0.2667
-0.1053
0.1765
0.2000
0.0000
-0.0217
-0.0417
-0.0444
-0.0698
-0.1000
-0.0278
-0.1429
0.1333
0.0294
-0.0286
0.1176
-0.0263
-0.0216
-0.0608
-0.0588
-0.0625
-0.0333
0.0345
0.2000
0.3611
0.1429
0.1786
0.2121

0.027180

0.103700

-0.071130

0.080270

-0.337840

-0.400000

-0.174420

-0.145830

0.033330

0.023900

0.080650

0.144580

0.062390

0.157890

-0.035460

-0.054550

0.029410

0.019420

-0.042860

-0.085710

0.159400

0.093750

-0.006490

-0.067310

-0.039220

-0.041240

0.084080

0.028670

-0.006330

0.084210

-0.057320

0.029130

0.042970

-0.038100

0.169930

0.178220

-0.044690

0.001010

-0.038830

0.025420

-0.006130

-0.041320

0.154320

0.068710

-0.003420

0.034190

0.178380

0.107440

0.087160

0.034850

0.008270

-0.083970

-0.148150

-0.075000

0.103260

-0.034950

-0.096750

0.009430

-0.115380

-0.028040

0.055900

0.060770

0.137410

-0.038460

-0.104170

-0.020000

0.203490

0.179290

-0.007920

-0.009170

-0.058820

-0.083330

-0.081460

-0.097780

-0.268570

-0.142860

0.046880

-0.097220

0.119400

0.124920

0.095730

0.125000

0.202450

0.135800

0.168370

0.142610

0.136940

0.125000

0.019310

0.034190

0.075760

0.094630

-0.099720

-0.128000

31-Jul-91

0.046830

0.034920

30-Aug-91

0.026910

0.028570

30-Sep-91

-0.011060

0.008670

31-Oct-91

0.017720

0.023860

29-Nov-91

-0.037270

-0.025390

31-Dec-91

0.107040

0.036450

31-Jan-92

-0.001650

0.149480

28-Feb-92

0.013290

0.052010

31-Mar-92

-0.023680

-0.014120

30-Apr-92

0.013850

-0.032890

29-May-92

0.006520

0.005500

30-Jun-92

-0.019240

-0.039700

31-Jul-92

0.039930

0.027280

31-Aug-92

-0.020760

-0.024440

30-Sep-92

0.012420

0.011930

30-Oct-92

0.010900

0.016320

30-Nov-92

0.040190

0.067730

31-Dec-92

0.017540

0.035650

29-Jan-93

0.012330

0.066740

26-Feb-93

0.005450

-0.007910

31-Mar-93

0.025010

0.030880

30-Apr-93

-0.025510

-0.012760

28-May-93

0.029420

0.037950

30-Jun-93

0.005130

0.011970

30-Jul-93

-0.000760

0.014100

31-Aug-93

0.039340

0.040400

30-Sep-93

0.000610

0.025790

29-Oct-93

0.018040

0.040090

30-Nov-93

-0.017350

-0.024370

31-Dec-93

0.019450

0.016120

31-Jan-94

0.031330

0.048920

28-Feb-94

-0.024090

-0.009490

31-Mar-94

-0.045740

-0.046020

29-Apr-94

0.009830

-0.010820

31-May-94

0.009500

-0.000270

30-Jun-94

-0.027380

-0.026570

29-Jul-94

0.030410

0.015470

31-Aug-94

0.042830

0.036790

30-Sep-94

-0.018650

0.004500

31-Oct-94

0.014870

-0.002400

30-Nov-94

-0.037070

-0.040570

30-Dec-94

0.012750

-0.012860

31-Jan-95

0.020550

0.027710

28-Feb-95

0.039620

0.027990

31-Mar-95

0.026970

0.018740

28-Apr-95

0.024880

0.025980

31-May-95

0.034160

0.020500

0.113
0.030
0.097
0.215
-0.134
0.391
0.051
0.042
0.041
-0.175
0.011
-0.186
0.050
-0.089
-0.200
0.128
0.225
0.050
0.160
0.068
0.127
-0.101
0.074
0.213
0.019
0.132
0.049
0.005
-0.081
0.016
-0.087
-0.070
-0.023
0.058
0.063
-0.182
0.084
0.147
-0.037
0.196
-0.101
0.094
0.150
0.107
0.090
0.064
0.020

0.15441
0.05452
-0.06982
0.05844
-0.01497
0.38266
-0.00901
0.04291
-0.00192
-0.24891
0.00372
-0.02688
-0.04167
-0.02087
0.02131
0.04348
0.21214
-0.02770
0.09091
-0.02889
0.03452
-0.07373
0.04378
0.15607
0.01425
0.14146
0.03276
-0.01034
-0.04251
0.09281
-0.05762
-0.19025
-0.10543
0.02927
0.02351
-0.06001
-0.02463
0.18667
-0.11900
-0.00483
-0.03417
0.14093
0.08811
0.14300
0.00595
0.14437
0.15692

0.2969
0.0516
0.3061
-0.0175
0.1071
0.7742
-0.0364
0.2311
0.1667
-0.1872
0.0545
-0.2126
0.0292
-0.2085
0.0305
0.0870
0.3280
-0.0120
0.2317
-0.0347
0.0513
-0.0976
0.4730
0.2294
-0.0149
0.2992
0.1691
-0.0574
-0.1825
-0.1748
0.0000
-0.0353
-0.1402
-0.0922
-0.0469
-0.1230
-0.0280
0.3231
-0.1788
0.1416
-0.1163
-0.1404
0.1837
0.1983
-0.0719
-0.0310
0.1200

0.198820

0.110090

0.025220

-0.014880

0.202900

0.016950

0.076310

0.058330

-0.126870

-0.039760

0.299660

0.182610

-0.056110

0.066180

-0.066430

0.080000

-0.088760

-0.077420

-0.163220

-0.006990

0.098770

0.006690

-0.078430

-0.022220

-0.006130

-0.045450

0.043460

-0.014290

-0.071430

0.016260

0.115380

0.024000

0.166670

0.100390

-0.063840

0.045110

0.089950

-0.014390

-0.019420

-0.005840

0.080200

0.081480

-0.050690

0.089040

-0.052430

0.133330

0.051550

0.050280

0.063730

0.026600

0.010140

0.039900

0.082570

0.042110

0.046610

-0.111110

-0.032390

0.018180

-0.032970

-0.016850

0.016300

0.114290

-0.048130

-0.106670

-0.190340

-0.098270

-0.013990

0.083330

0.071770

0.019820

-0.080000

-0.165640

0.014490

-0.051470

0.150000

0.141090

-0.086210

-0.123290

0.013700

0.015630

-0.060000

-0.029230

0.043480

-0.016000

0.020830

0.081300

0.224490

0.136840

-0.016000

-0.013330

0.039770

0.114860

-0.010930

0.038180

30-Jun-95

0.030840

0.048690

31-Jul-95

0.040670

0.055180

31-Aug-95

0.009340

0.030380

29-Sep-95

0.036390

0.025990

31-Oct-95

-0.011150

-0.040580

30-Nov-95

0.042970

0.017200

29-Dec-95

0.015400

0.009780

31-Jan-96

0.028090

0.033290

29-Feb-96

0.016050

0.031540

29-Mar-96

0.011200

0.024120

30-Apr-96

0.025130

0.057330

31-May-96

0.026720

0.061050

28-Jun-96

-0.007660

-0.030600

31-Jul-96

-0.053390

-0.078620

30-Aug-96

0.032220

0.044770

30-Sep-96

0.052990

0.028970

31-Oct-96

0.013940

-0.019970

29-Nov-96

0.065730

0.024770

31-Dec-96

-0.011350

-0.001420

31-Jan-97

0.053040

0.061720

28-Feb-97

-0.000880

-0.010430

31-Mar-97

-0.044390

-0.047880

30-Apr-97

0.042460

-0.021390

30-May-97

0.071250

0.085170

30-Jun-97

0.044200

0.044240

31-Jul-97

0.076310

0.048620

29-Aug-97

-0.036450

0.027020

0.254
0.053
0.009
0.244
-0.210
0.058
-0.170
0.250
0.013
0.015
-0.052
-0.012
0.010
-0.013
0.034
-0.080
0.089
0.208
0.058
0.172
0.001
-0.148
0.145
0.111
-0.004
0.160
-0.089

0.256
-0.156
-0.017
0.051
0.533
0.362
-0.250
-0.167
0.175
0.113
0.554
0.053

0.17367
0.04691
-0.02662
0.22415
-0.22343
0.07137
-0.19434
0.13415
0.13247
0.12039
0.03390
0.11295
-0.04257
-0.12692
0.03366
-0.09649
-0.00943
0.08400
0.04990
0.22594
-0.03918
-0.11019
0.05988
0.04226
0.00824
0.12903
0.30705

0.3143
0.2011
0.0452
0.1039
-0.2255
0.0000
0.2532
-0.0455
0.0423
0.3553
0.0861
0.0103
0.0137
0.0135
-0.0008
0.0074

0.000660

0.055560

0.088890

0.035090

-0.005100

-0.061020

0.098050

0.042420

-0.042250

-0.075580

0.065100

0.101890

-0.115740

-0.086210

0.052360

0.157230

-0.034830

0.060870

0.032370

0.020620

-0.055280

0.015150

0.090430

0.014180

0.064780

-0.020730

0.009220

-0.047620

0.022830

0.045560

0.045890

-0.005350

0.025750

0.016130

0.046030

0.170370

0.081120

0.013640

0.011150

0.076230

0.044120

0.055000

-0.128730

-0.125000

0.138210

0.161900

0.060710

0.070490

0.156360

0.051920

-0.011700

0.199270

-0.059170

-0.031400

Calculation Of Company Beta from past 5 ye

Charles
Schwab

E*Trade

Quick &
Reilly

Waterho
use
Investor
Services

VW NYSE,
AMEX, and
NASDAQ

2.23

3.02

1.81

3.23

1.39

1.75

EW NYSE,
AMEX, and
NASDAQ

1.49

4.49

1.87

2.84

0.91

1.40

AG
Edwards

Bear
Stearns

Industries of similar kind that of Amritrade, and hence used for calcu
relatively lower period data available, hence not included

Industry of dissimilar kind

Lehman
Bros.

Mecklermedia

Merrill
Lynch

Morgan
Stanley
Dean
Witter

Netscape

Paine
Webber

Raymond
James

-0.013280

-0.042860

0.040000

-0.167330

-0.175370

-0.102560

-0.019140

0.073300

-0.050000

-0.011710

0.080510

-0.067670

-0.044780

-0.113730

-0.072580

0.119790

0.084960

-0.043480

-0.076280

-0.090160

0.018180

0.304570

0.189190

0.214290

-0.077820

-0.105300

-0.029410

0.023630

0.029790

0.015150

-0.091290

-0.041320

-0.179100

-0.013700

-0.046550

-0.054550

0.277780

0.431820

0.430770

-0.023190

-0.022220

0.027030

-0.085820

0.026620

0.013160

-0.034290

-0.123810

-0.025970

0.089360

0.065220

0.013330

0.011720

-0.040140

0.039470

0.040930

-0.092530

0.017720

-0.052240

-0.038430

0.025000

-0.141730

-0.049180

-0.048780

0.100920

0.008620

0.000000

0.127500

0.197440

0.256410

0.022300

0.003580

0.015920

0.152730

0.107140

0.288890

0.036590

0.068390

0.103450

0.036360

0.171880

-0.102720

0.012230
0.051150

-0.137430

-0.100000

-0.008080

0.013420

0.051530

-0.007410

-0.054610

-0.062910

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0.023490

0.052210

-0.062070

Yahoo!

0.032570

0.069370

0.023050

0.169120

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0.023730

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0.044780

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0.053100

f Company Beta from past 5 year growth data

Lehman
Bros.

Mecklermedia

Merrill
Lynch

Morgan
Stanley
Dean
Witter

Netscape

Paine
Webber

Raymond
James

Yahoo!

2.14

1.62

1.82

1.59

2.18

1.87

1.68

3.71

1.12

1.15

1.42

1.16

1.40

1.51

1.65

3.16

trade, and hence used for calculation of industry beta

, hence not included

Tax Rate

35%

Based on Income Statement

Charles
Schwab

Quick & Reilly

Waterhouse
Investor Services

2.23

1.81

3.23

0.08

0.38

0.087

0.000

0.613

Tax Adjustment

0.057

0.000

0.398

Unlevered Beta

2.11

1.81

2.31

Levered Beta
Debt to Capital
Ratio
Debt to Equity
Ratio

Industy Average Beta

2.08

b unlevered =

b levered
1+(1-t)[Debt to Equity Ratio]

CAPM model to Calculate the cost of capital for the project

The capital asset pricing model (CAPM) states that the expected return on equity, Rs , is the sum of the
whereRs = R F + bi [R M R F ]

hence, Cost of Equity

bi

2.08

RF

5.20%

RM

12.70%

Rs

20.77%

Industry average Risk factor

Risk free Return
Expected Market return

Cost of capital is equal to Cost of Equity in case of no debt is taken

In case debt is taken Cost of capital will change accordingly.

on equity, Rs , is the sum of the risk-free rate of interest, R F , and a premium for bearing market risk, bi [R M R F ]:

From previous sheet

Average Annual Return on T-Bills (Chosen because of lowest Standard deviation, hence most stable)
Taking Return of a large company stocks (Exhibit 3)

hence most stable)

Qualitative Analysis

1 The cost of capital for the project is high at more than 20%. Though the company
returns, when company is trying to reduce its prices significantly ( from $ 29.95 to
2 Company is actually trying to take advantages of emerging Economies of Scale,

3 Era of late 90's has seen substancial growth in technological sector, specially in I

4 Discount brokerage business has other uncontrollable risks, like market is fully d

5 Projected Fund requirement for the project is $155mn, and have raised $22.5 m
Taking Debt may reduce the Cost of Capital, but will also increase the risk in term

re than 20%. Though the company had seen handsom return on its privious years(avg 40%) it would difficult to reproduce same
rices significantly ( from $ 29.95 to $8.00 per trade)

of emerging Economies of Scale, but it will take long time to realize such gains, even if heaively advertise.
technological sector, specially in IT and it keep on changing, so one time investment will not be suifficiant.

trollable risks, like market is fully dependent upon stock market performance.

$155mn, and have raised $22.5 mn in IPO. Remaining fund requirement can not be fulfilled by company resources (see Company Balance S
ut will also increase the risk in terms of control over the project.

ult to reproduce same

esources (see Company Balance Sheet)