RJ eyed as takeover target, report says

Raymond James Financial Inc. could be a takeover target or at least an attractive buy for investors looking to place their money in strong financial stocks, according to a column in Barron's. "Without suggesting it will be acquired any time soon-the risk-reward considerations looks favorable [for the St. Petersburg, Fla.-based brokerage company]," the report stated. Taking into account what Charlotte, N.C.-based Wachovia Corp. paid to purchase A.G. Edwards & Sons Inc. of St. Louis, based on client-asset levels Raymond James would be worth close to $4 billion, without a premium, for its asset-management unit and its bank, according to the report. Shares of Raymond James are trading near two-year lows, partly on concerns involving the rapid growth of Raymond James Bank, according to the report. However, the report stated that the bank's book of mostly purchased loans seems "fairly sound," and a good portion of it was acquired late last year when the market turmoil made decent commercial paper available at good prices. Raymond James declined to comment for this article.