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

To: David Tong who wrote (6625)	5/28/1999 9:39:00 AM
From: Keith Rosenblatt	Respond to of 13953

Trading at around $52, TD Mkt Cap is now 15.5B. When Waterhouse goes public next month, TD Bank should be trading at $52 (19 / 15.5) = $64.* That sounds good, but it certainly hasn't worked that way for Barnes & Noble. BKS (brick & mortar Barnes and Noble) has a market capitalization of ~$2B and 41% ownership of BNBN (barnesandnoble.com) after the public offering of ~20%. BNBN, as of yesterday, has a market capitalization of ~$3.4B. BKS has actually gone down since the IPO of BNBN (and didn't have much of a runup leading up to the IPO, either.) So, BKS owns $1.4B of BNBN. Does this mean that the street values BKS at only $600MM now? If you can, buy the spinoff. I wouldn't buy the parent company and expect a large pop, though.