Credit Suisse First Boston Announces Investment Opinion

Credit Suisse First Boston Announces Investment Opinion

PALO ALTO, Calif.–(BUSINESS WIRE)–July 19, 1999–

Credit Suisse First Boston Initiates Coverage of TD Waterhouse

with a Strong Buy Rating

Credit Suisse First Boston Technology Group analyst Bill Burnham initiated coverage of TD Waterhouse (TWE) today with a Strong Buy rating. EPS estimates for FY99 and FY00 are $0.26 and $0.30, respectively. Burnham has set a 12-month price target of $35.

TD Waterhouse is a global leader in online financial services and is one of the world’s largest online trading firms. “As the most global online trading firm and the only online firm to offer an integrated bank, Waterhouse is ideally positioned to exploit the two keys to long term success in online financial services: globalization and product diversification,” wrote Burnham in a research note issued this morning.

At $12/trade, Waterhouse offers one of the most compelling value propositions in the industry, believes Burnham. “This superior value proposition has resulted in lower account acquisition costs and increasing market share,” he writes. “At current valuations, Waterhouse is the cheapest stock in the online trading industry despite its strong growth prospects and relatively attractive metrics.” Burnham expects this discount to dissipate in the coming months as Waterhouse demonstrates the strength of its model.

For more information or to obtain a copy of this report, please contact Nate Meyer at 650-614-5048 or Bill Burnham at 415-836-7711.

Credit Suisse First Boston is a leading global investment banking firm, providing comprehensive financial advisory, capital raising, sales and trading, and financial products for users and suppliers of capital around the world. It operates in over 60 offices across more than 30 countries and has over 14,000 employees. For the year ended December 31, 1998, CSFB had $6.7 billion in revenues, $7.1 billion in equity and $291 billion in assets. The Firm is a wholly owned subsidiary of the Zurich-based Credit Suisse Group.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

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