Charles Schwab (NYSE:SCHW) Insider Sells 2,000 Shares of Stock

Key Points

• Insider sale: Charles Schwab insider Jonathan Beatty sold 2,000 shares on July 2 at an average price of $97.03, totaling about $194,060. The sale reduced his holdings by 10.13% and was made under a pre-arranged Rule 10b5-1 plan.
• Stock and earnings backdrop: SCHW shares recently traded up to $100.62, near their 52-week high of $107.50. The company beat quarterly EPS and revenue estimates, posting $1.43 EPS on $6.48 billion in revenue, with revenue up 15.8% year over year.
• Dividend and analyst view: Schwab paid a quarterly dividend of $0.32 per share, implying a 1.3% annual yield and a 25.4% payout ratio. Analysts remain generally positive, with a consensus rating of Moderate Buy and an average price target of $116.00.

The Charles Schwab Corporation (NYSE:SCHW - Get Free Report) insider Jonathan Beatty sold 2,000 shares of the firm's stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $97.03, for a total transaction of $194,060.00. Following the transaction, the insider owned 17,738 shares of the company's stock, valued at approximately $1,721,118.14. This represents a 10.13% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Charles Schwab Price Performance

Shares of SCHW stock traded up $3.62 during trading hours on Monday, hitting $100.62. The company had a trading volume of 11,287,870 shares, compared to its average volume of 11,184,285. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.62 and a current ratio of 0.62. The firm has a market capitalization of $174.99 billion, a price-to-earnings ratio of 19.96, a PEG ratio of 0.89 and a beta of 0.77. The Charles Schwab Corporation has a 12 month low of $83.96 and a 12 month high of $107.50. The firm's fifty day moving average is $90.46 and its 200 day moving average is $95.16.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its quarterly earnings results on Thursday, April 16th. The financial services provider reported $1.43 EPS for the quarter, beating the consensus estimate of $1.39 by $0.04. Charles Schwab had a return on equity of 23.05% and a net margin of 37.99%.The business had revenue of $6.48 billion for the quarter, compared to analyst estimates of $6.39 billion. During the same quarter in the previous year, the firm earned $1.04 EPS. Charles Schwab's quarterly revenue was up 15.8% on a year-over-year basis. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. On average, sell-side analysts predict that The Charles Schwab Corporation will post 6.14 EPS for the current fiscal year.

Charles Schwab Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, May 22nd. Investors of record on Friday, May 8th were issued a dividend of $0.32 per share. This represents a $1.28 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend was Friday, May 8th. Charles Schwab's dividend payout ratio (DPR) is currently 25.40%.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on the stock. Raymond James Financial lifted their target price on shares of Charles Schwab from $126.00 to $137.00 and gave the company an "outperform" rating in a research note on Friday, May 15th. Piper Sandler raised their price target on Charles Schwab from $103.00 to $105.00 and gave the company a "neutral" rating in a report on Friday, May 15th. Morgan Stanley cut their price target on Charles Schwab from $135.00 to $125.00 and set an "overweight" rating for the company in a report on Friday, April 17th. UBS Group decreased their price target on shares of Charles Schwab from $125.00 to $119.00 and set a "buy" rating on the stock in a research note on Wednesday, April 8th. Finally, Deutsche Bank Aktiengesellschaft reissued a "buy" rating and issued a $128.00 price target on shares of Charles Schwab in a report on Friday, May 15th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $116.00.

Institutional Trading of Charles Schwab

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Brookwood Investment Group LLC lifted its holdings in Charles Schwab by 192.6% during the fourth quarter. Brookwood Investment Group LLC now owns 12,236 shares of the financial services provider's stock worth $1,222,000 after acquiring an additional 8,054 shares in the last quarter. Juno Financial Group LLC bought a new position in Charles Schwab in the fourth quarter valued at approximately $2,591,000. Swiss Life Asset Management Ltd lifted its stake in Charles Schwab by 4.2% in the fourth quarter. Swiss Life Asset Management Ltd now owns 407,179 shares of the financial services provider's stock valued at $40,681,000 after buying an additional 16,482 shares in the last quarter. Geode Capital Management LLC boosted its holdings in shares of Charles Schwab by 0.3% in the fourth quarter. Geode Capital Management LLC now owns 37,667,640 shares of the financial services provider's stock valued at $3,747,646,000 after buying an additional 98,242 shares during the period. Finally, Busey Bank raised its holdings in shares of Charles Schwab by 15.5% during the fourth quarter. Busey Bank now owns 258,962 shares of the financial services provider's stock worth $25,873,000 after acquiring an additional 34,745 shares during the period. 84.38% of the stock is owned by institutional investors.

Charles Schwab Company Profile

Charles Schwab Corporation NYSE: SCHW is a diversified financial services firm that provides brokerage, banking, wealth management and advisory services to individual investors, independent investment advisors and institutional clients. Its primary offerings include retail brokerage accounts, online trading platforms, Schwab-branded mutual funds and exchange-traded funds (ETFs), retirement plan services, custodial services for independent Registered Investment Advisors (RIAs), and banking products through Charles Schwab Bank.

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