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Non-Tech : E*Trade (NYSE:ET) -- Ignore unavailable to you. Want to Upgrade?


To: Spytrdr who wrote (12891)4/2/2000 2:02:00 PM
From: P Wright  Respond to of 13953
 
Is anybody else concerned about the excessive amount of stock options E*TRADE has issued. If my math is correct it would take 383 days of revenues to pay out the current options based on a shareprice of $31. To me this is obscene and I am starting to believe this is one area that may finally topple a lot of the .com stocks.

options cost = (options outstanding * (market price - avg exercise price)) / TTM revenues * 365

=(32,821,000 * (31 - 7.84)) / 722,851,000 * 365
= 383 days