Arax Advisory Partners Sells 131,232 Shares of The Charles Schwab Corporation $SCHW

Key Points

• Arax Advisory Partners cut its stake in Charles Schwab by 79.8% in the fourth quarter, selling 131,232 shares and leaving it with 33,252 shares worth about $3.32 million.
• Charles Schwab has seen supportive analyst sentiment, with several firms raising price targets or reaffirming bullish ratings; the stock currently carries a Moderate Buy consensus and a $116 average target.
• The company recently posted strong quarterly results, beating EPS and revenue estimates, while also paying a quarterly dividend of $0.32 per share for a 1.4% annualized yield.

Arax Advisory Partners reduced its position in shares of The Charles Schwab Corporation (NYSE:SCHW - Free Report) by 79.8% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 33,252 shares of the financial services provider's stock after selling 131,232 shares during the period. Arax Advisory Partners' holdings in Charles Schwab were worth $3,322,000 at the end of the most recent quarter.

Other hedge funds have also added to or reduced their stakes in the company. Dogwood Wealth Management LLC raised its position in Charles Schwab by 99.2% in the fourth quarter. Dogwood Wealth Management LLC now owns 247 shares of the financial services provider's stock worth $25,000 after acquiring an additional 123 shares during the period. Piscataqua Savings Bank bought a new stake in Charles Schwab in the fourth quarter worth about $26,000. GoalVest Advisory LLC bought a new stake in Charles Schwab in the fourth quarter worth about $28,000. Beacon Financial Strategies CORP bought a new stake in Charles Schwab in the fourth quarter worth about $29,000. Finally, Optima Capital LLC bought a new stake in Charles Schwab in the fourth quarter worth about $30,000. Institutional investors own 84.38% of the company's stock.

Key Headlines Impacting Charles Schwab

Here are the key news stories impacting Charles Schwab this week:

• Positive Sentiment: Schwab reported monthly activity highlights for May, and the company said the month set records, reinforcing confidence in client growth and trading momentum. Schwab Reports Monthly Activity Highlights
• Positive Sentiment: Market commentary says the stock is also getting a lift from a broader rebound in financials and renewed investor focus on Schwab’s strong client and trading trends. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum
• Positive Sentiment: Recent analyst actions have been constructive, with firms raising earnings estimates and maintaining buy-style ratings, which supports the bullish setup for SCHW. Charles Schwab stock research page
• Neutral Sentiment: Schwab also announced the closure and liquidation of its Schwab Ariel Opportunities ETF, a fund-level action that appears unlikely to materially affect the parent company’s near-term stock performance. Schwab Asset Management Announces Closure and Liquidation of the Schwab Ariel Opportunities ETF (SAEF)
• Negative Sentiment: There is still some caution in the background from mixed institutional positioning and heavy insider selling over the past six months, which could limit upside if sentiment weakens. Charles Schwab jumps as financials rebound and investors refocus on Schwab’s strong client/trading momentum

Analyst Ratings Changes

Several brokerages have commented on SCHW. Weiss Ratings raised shares of Charles Schwab from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Monday, March 23rd. Piper Sandler lifted their price objective on shares of Charles Schwab from $103.00 to $105.00 and gave the stock a "neutral" rating in a research report on Friday, May 15th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $128.00 price objective on shares of Charles Schwab in a research report on Friday, May 15th. Keefe, Bruyette & Woods began coverage on shares of Charles Schwab in a research report on Wednesday, April 8th. They issued an "outperform" rating and a $110.00 price objective on the stock. Finally, JPMorgan Chase & Co. lifted their price objective on shares of Charles Schwab from $128.00 to $131.00 and gave the stock an "overweight" rating in a research report on Friday, April 17th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $116.00.

Insider Activity at Charles Schwab

In related news, Director Frank C. Herringer sold 2,520 shares of the business's stock in a transaction that occurred on Tuesday, April 28th. The shares were sold at an average price of $90.60, for a total transaction of $228,312.00. Following the completion of the transaction, the director owned 177,508 shares of the company's stock, valued at approximately $16,082,224.80. The trade was a 1.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Nigel J. Murtagh sold 41,297 shares of the business's stock in a transaction that occurred on Tuesday, April 14th. The shares were sold at an average price of $99.00, for a total transaction of $4,088,403.00. Following the transaction, the insider directly owned 57,972 shares of the company's stock, valued at approximately $5,739,228. This represents a 41.60% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 59,700 shares of company stock valued at $5,889,131. Corporate insiders own 6.30% of the company's stock.

Charles Schwab Stock Down 0.1%

Charles Schwab stock opened at $91.04 on Monday. The Charles Schwab Corporation has a 1-year low of $83.96 and a 1-year high of $107.50. The firm has a market capitalization of $158.32 billion, a price-to-earnings ratio of 18.06, a P/E/G ratio of 0.86 and a beta of 0.78. The company has a current ratio of 0.62, a quick ratio of 0.62 and a debt-to-equity ratio of 0.48. The firm has a 50 day simple moving average of $91.05 and a 200 day simple moving average of $95.29.

Charles Schwab (NYSE:SCHW - Get Free Report) last released its quarterly earnings data on Thursday, April 16th. The financial services provider reported $1.43 earnings per share for the quarter, beating analysts' consensus estimates of $1.39 by $0.04. Charles Schwab had a net margin of 37.99% and a return on equity of 23.05%. The business had revenue of $6.48 billion during the quarter, compared to analyst estimates of $6.39 billion. During the same period in the previous year, the business earned $1.04 EPS. Charles Schwab's revenue was up 15.8% compared to the same quarter last year. Charles Schwab has set its FY 2026 guidance at 5.700-5.800 EPS. On average, analysts predict that The Charles Schwab Corporation will post 6.13 earnings per share for the current year.

Charles Schwab Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 22nd. Investors of record on Friday, May 8th were paid a dividend of $0.32 per share. The ex-dividend date of this dividend was Friday, May 8th. This represents a $1.28 annualized dividend and a yield of 1.4%. Charles Schwab's payout ratio is currently 25.40%.

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.

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.