FY2026 EPS Estimate for Charles Schwab Decreased by Analyst

Key Points

• Erste Group Bank lowered Charles Schwab’s FY2026 EPS estimate to $6.45 from $6.50, though it remains slightly above the $6.42 consensus forecast.
• Charles Schwab’s latest quarterly results exceeded expectations, with EPS of $1.69 versus the $1.66 consensus; revenue rose 16.9% year over year to $7.17 billion.
• Analysts maintain a generally positive outlook, with a “Moderate Buy” consensus rating and an average price target of $120.18. The company also declared a quarterly dividend of $0.32 per share, yielding about 1.4%.

The Charles Schwab Corporation (NYSE:SCHW - Free Report) - Equities research analysts at Erste Group Bank lowered their FY2026 earnings estimates for shares of Charles Schwab in a report issued on Wednesday, October 21st. Erste Group Bank analyst S. Lingnau now anticipates that the financial services provider will post earnings per share of $6.45 for the year, down from their prior estimate of $6.50. The consensus estimate for Charles Schwab's current full-year earnings is $6.42 per share.

Charles Schwab (NYSE:SCHW - Get Free Report) last announced its earnings results on Thursday, October 15th. The financial services provider reported $1.69 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.66 by $0.03. Charles Schwab had a return on equity of 25.79% and a net margin of 39.33%. The company had revenue of $7.17 billion for the quarter, compared to analyst estimates of $7.18 billion. During the same quarter in the previous year, the company earned $1.31 earnings per share. The firm's quarterly revenue was up 16.9% compared to the same quarter last year.

Other equities analysts also recently issued reports about the company. Compass Point lifted their target price on Charles Schwab from $135.00 to $136.00 and gave the company a "buy" rating in a research report on Tuesday, October 6th. Deutsche Bank Aktiengesellschaft set a $125.00 price target on shares of Charles Schwab and gave the stock a "buy" rating in a research report on Friday, October 16th. Piper Sandler lowered their price objective on shares of Charles Schwab from $118.00 to $100.00 and set a "neutral" rating for the company in a research note on Friday, October 2nd. Evercore dropped their price objective on shares of Charles Schwab from $107.00 to $104.00 in a report on Friday, October 16th. Finally, Bank of America upped their target price on shares of Charles Schwab from $91.00 to $95.00 and gave the stock an "underperform" rating in a research note on Monday, October 5th. Eighteen research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Charles Schwab currently has an average rating of "Moderate Buy" and a consensus price target of $120.18.

Charles Schwab Price Performance

SCHW stock opened at $91.46 on Friday. The business's fifty day moving average price is $103.07 and its 200 day moving average price is $98.11. Charles Schwab has a 12-month low of $83.96 and a 12-month high of $114.53. The company has a current ratio of 0.64, a quick ratio of 0.64 and a debt-to-equity ratio of 0.52. The company has a market capitalization of $158.17 billion, a PE ratio of 15.61, a P/E/G ratio of 0.81 and a beta of 0.79.

Charles Schwab Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Friday, November 13th will be paid a $0.32 dividend. The ex-dividend date is Friday, November 13th. This represents a $1.28 dividend on an annualized basis and a yield of 1.4%. Charles Schwab's payout ratio is currently 21.84%.

Insider Activity

In other Charles Schwab news, insider Nigel Murtagh sold 32,947 shares of the stock in a transaction that occurred on Monday, July 27th. The shares were sold at an average price of $104.01, for a total value of $3,426,817.47. Following the sale, the insider directly owned 57,972 shares of the company's stock, valued at approximately $6,029,667.72. This represents a 36.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Paula Sneed sold 5,263 shares of the firm's stock in a transaction on Friday, August 7th. The shares were sold at an average price of $107.15, for a total transaction of $563,930.45. Following the completion of the sale, the director owned 91,711 shares in the company, valued at $9,826,833.65. The trade was a 5.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 632,577 shares of company stock worth $68,214,123. Insiders own 6.30% of the company's stock.

Institutional Trading of Charles Schwab

Institutional investors have recently bought and sold shares of the business. Compass Financial Management LLC purchased a new stake in Charles Schwab during the second quarter worth approximately $27,000. Scarborough Advisors LLC acquired a new position in Charles Schwab in the first quarter valued at approximately $29,000. Main Street Group LTD purchased a new position in Charles Schwab in the first quarter valued at approximately $33,000. J.Safra Asset Management Corp purchased a new position in Charles Schwab in the second quarter valued at approximately $39,000. Finally, Washington Trust Advisors Inc. raised its holdings in Charles Schwab by 118.0% during the second quarter. Washington Trust Advisors Inc. now owns 447 shares of the financial services provider's stock worth $41,000 after purchasing an additional 242 shares in the last quarter. 84.38% of the stock is owned by hedge funds and other institutional investors.

Charles Schwab Company Profile

The Charles Schwab Corporation NYSE: SCHW is a financial services company that provides investment, wealth management, banking and related services to individual investors, financial professionals and institutional clients. Through its brokerage business, Schwab offers trading and custody services for stocks, exchange-traded funds, mutual funds, options, fixed-income securities and other investments, along with retirement accounts and investment research tools.

The company also provides advisory and wealth management services, including managed portfolios, financial planning and support for registered investment advisors.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.