Alyeska Investment Group L.P. Takes Position in The Charles Schwab Corporation $SCHW

Key Points

• Alyeska Investment Group L.P. has acquired 1,842,082 shares of The Charles Schwab Corporation, representing a total investment of approximately $144.2 million, as indicated in their recent SEC filing.
• The Charles Schwab Corporation announced a $20 billion stock buyback plan, which allows the company to repurchase up to 11.6% of its stock, signaling confidence in its valuation.
• Recent analyst ratings for Charles Schwab show a consensus of "Moderate Buy" with an average price target of $99.60, indicating positive sentiment among analysts.

Alyeska Investment Group L.P. purchased a new stake in The Charles Schwab Corporation (NYSE:SCHW - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 1,842,082 shares of the financial services provider's stock, valued at approximately $144,198,000. Alyeska Investment Group L.P. owned 0.10% of Charles Schwab as of its most recent SEC filing.

A number of other large investors also recently made changes to their positions in SCHW. Cary Street Partners Financial LLC bought a new stake in shares of Charles Schwab in the 4th quarter valued at $1,455,000. Independent Advisor Alliance increased its position in shares of Charles Schwab by 13.8% in the 1st quarter. Independent Advisor Alliance now owns 39,103 shares of the financial services provider's stock valued at $3,061,000 after buying an additional 4,754 shares in the last quarter. Universal Beteiligungs und Servicegesellschaft mbH increased its position in shares of Charles Schwab by 6.2% in the 1st quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 1,181,563 shares of the financial services provider's stock valued at $92,493,000 after buying an additional 68,858 shares in the last quarter. Graham Capital Management L.P. increased its position in shares of Charles Schwab by 248.3% in the 4th quarter. Graham Capital Management L.P. now owns 112,376 shares of the financial services provider's stock valued at $8,317,000 after buying an additional 80,112 shares in the last quarter. Finally, World Investment Advisors increased its position in shares of Charles Schwab by 7.6% in the 1st quarter. World Investment Advisors now owns 163,007 shares of the financial services provider's stock valued at $12,760,000 after buying an additional 11,505 shares in the last quarter. Institutional investors and hedge funds own 84.38% of the company's stock.

Insider Activity at Charles Schwab

In other news, insider Paul V. Woolway sold 10,129 shares of the stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $90.01, for a total transaction of $911,711.29. Following the completion of the transaction, the insider directly owned 39,154 shares in the company, valued at $3,524,251.54. This represents a 20.55% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Jonathan S. Beatty sold 6,144 shares of the firm's stock in a transaction dated Thursday, August 28th. The shares were sold at an average price of $96.81, for a total transaction of $594,800.64. Following the completion of the sale, the insider owned 11,923 shares of the company's stock, valued at $1,154,265.63. This trade represents a 34.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 295,009 shares of company stock worth $28,717,464. Corporate insiders own 6.30% of the company's stock.

Wall Street Analyst Weigh In

SCHW has been the subject of a number of recent analyst reports. Redburn Atlantic upgraded shares of Charles Schwab from a "sell" rating to a "neutral" rating and upped their price objective for the company from $65.00 to $82.00 in a research report on Monday, June 9th. Wells Fargo & Company set a $102.00 price objective on shares of Charles Schwab and gave the company an "overweight" rating in a research report on Friday, July 18th. Keefe, Bruyette & Woods upped their price objective on shares of Charles Schwab from $102.00 to $108.00 and gave the company an "outperform" rating in a research report on Monday, July 21st. Piper Sandler upped their price objective on shares of Charles Schwab from $80.00 to $92.00 and gave the company a "neutral" rating in a research report on Tuesday, July 15th. Finally, Cowen restated a "buy" rating on shares of Charles Schwab in a research report on Tuesday, May 20th. Sixteen equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $99.60.

Charles Schwab Trading Up 0.1%

Charles Schwab stock opened at $95.97 on Wednesday. The firm has a 50-day moving average of $94.87 and a 200-day moving average of $86.06. The Charles Schwab Corporation has a one year low of $61.16 and a one year high of $99.59. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.55 and a quick ratio of 0.55. The company has a market cap of $174.21 billion, a price-to-earnings ratio of 25.80, a P/E/G ratio of 0.94 and a beta of 0.96.

Charles Schwab (NYSE:SCHW - Get Free Report) last posted its quarterly earnings data on Friday, July 18th. The financial services provider reported $1.14 EPS for the quarter, topping analysts' consensus estimates of $1.10 by $0.04. Charles Schwab had a net margin of 33.68% and a return on equity of 19.30%. The company had revenue of $5.85 billion during the quarter, compared to the consensus estimate of $5.64 billion. During the same period in the prior year, the business posted $0.73 EPS. The company's quarterly revenue was up 24.8% on a year-over-year basis. On average, equities analysts expect that The Charles Schwab Corporation will post 4.22 earnings per share for the current fiscal year.

Charles Schwab announced that its Board of Directors has initiated a stock buyback plan on Thursday, July 24th that permits the company to repurchase $20.00 billion in shares. This repurchase authorization permits the financial services provider to purchase up to 11.6% of its stock through open market purchases. Stock repurchase plans are often a sign that the company's board believes its stock is undervalued.

Charles Schwab Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Stockholders of record on Friday, August 8th were paid a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date was Friday, August 8th. Charles Schwab's dividend payout ratio is currently 29.03%.

About Charles Schwab

The Charles Schwab Corporation, together with its subsidiaries, operates as a savings and loan holding company that provides wealth management, securities brokerage, banking, asset management, custody, and financial advisory services in the United States and internationally. The company operates in two segments, Investor Services and Advisor Services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.